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FRAMEWORK

AI Disruption Scorecard

A six-dimension framework for gauging a company's exposure to AI disruption. Drawing on insights from 50+ AI experts and search fund operators, each dimension is scored on a 1–5 scale to benchmark relative exposure, surface vulnerabilities, and prioritize strategic responses.

SCORING METHODOLOGY

Each dimension is assessed on a 1–5 scale, where 1 indicates minimal exposure to AI disruption and 5 indicates maximum exposure. The total score (range: 6–30) determines a company's overall disruption category.

24–30HIGH

Core product or service is at risk of displacement. Survival requires rapid adaptation or reinvention.

15–23MEDIUM

Core offering remains viable, but AI can materially enhance efficiency, customer experience, and growth. Companies that invest early can capture significant upside.

6–14LOW

Structural factors (regulation, human judgment, relationship-driven sales) delay major AI impact for 3+ years. Adoption of AI can still strengthen long-term positioning.

SIX DIMENSIONS

01

Task Automation

Automation potential of internal processes

KEY QUESTIONS

  • How structured, rules-based, or repetitive are the tasks involved in delivering the product?
  • Are the inputs and outputs well-defined?
  • Are tasks already being outsourced or commoditized?
LOW EXPOSURE (1)

Tasks involve high variability, unstructured inputs, real-time problem-solving, or physical world complexity (e.g., disaster mitigation services)

HIGH EXPOSURE (5)

Tasks are repeatable, predictable, digital, and rules-based with clear steps and minimal edge cases (e.g., call center technical support)

02

Value Proposition

Risk of AI displacing the core value of the product/service

KEY QUESTIONS

  • What are the stakes of errors in the product or service?
  • How critical is human judgement, creativity, or empathy to delivering value?
  • How tailored is the product or service to each customer's unique context?
LOW EXPOSURE (1)

Product depends on high stakes, nuanced, and individually customized decisions where human judgement is core (e.g., emergency medical services)

HIGH EXPOSURE (5)

Core value is standardized, low-stakes, and easily replicable by AI with minimal human input (e.g., simple tax returns)

03

Data Moat

Access to data that can provide a long-term sustaining advantage

KEY QUESTIONS

  • Does the company own or have exclusive access to high-quality, structured, proprietary data?
  • Does product value improve meaningfully as more data is generated (data network effects)?
  • Are there clear legal and contractual rights to leverage customer data?
LOW EXPOSURE (1)

Exclusive rights to large volumes of high-quality, structured proprietary data that competitors cannot access (e.g., Nielsen data)

HIGH EXPOSURE (5)

Reliance on public or 3rd party data sources that competitors can also access; contracts prohibit data re-use

04

Customer

Complexity and replaceability of customer relationship

KEY QUESTIONS

  • How strong are your customer relationships (transactional or trust-based)?
  • Are customer needs highly customized or standardized?
  • How high are switching costs?
LOW EXPOSURE (1)

High $ value, multi-year contracts with complex customer needs requiring deep human engagement (e.g., defense cloud computing)

HIGH EXPOSURE (5)

Low $ value, short-term, transactional purchases with little customer loyalty (e.g., one-click online shopping)

05

Industry

Speed and likelihood of AI disruption across the industry

KEY QUESTIONS

  • How fast does this industry adopt new tech?
  • How heavily is the industry regulated?
  • How reliant is the industry on physical and human assets?
LOW EXPOSURE (1)

Highly regulated, asset-intensive industries with slow adoption cycles (e.g., utilities)

HIGH EXPOSURE (5)

Fast, digital-first industries with low physical overhead and low regulatory oversight (e.g., SaaS)

06

Competition

Intensity and nature of AI-driven competitive threats

KEY QUESTIONS

  • Are startups/VCs/big tech flooding the space with AI-driven offerings?
  • Do structural moats (brand, IP, domain expertise) deter new entrants?
  • Are well-resourced large incumbents investing heavily in AI?
LOW EXPOSURE (1)

Niche market with limited TAM, strong structural moats, and slow-moving incumbents (e.g., niche assisted living software)

HIGH EXPOSURE (5)

Large, high-growth market where Big Tech/AI-native entrants are already shipping AI products (e.g., legal tech)

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