- Zeb Lowe previews a special Power House episode exploring automation, AI and what comes next.
- The core argument: rising productivity from automation is not the root cause of the industry’s cost problem — the problem is economic.
- The episode asks how firms should design services and policy to keep humans central as machines reshape work.
- Leaders face choices on pricing, workforce strategy and regulation to avoid unintended harm.
What the episode intends to tackle
In a special Power House episode, host Zeb Lowe previews upcoming conversations about automation and artificial intelligence across the industry. The episode reframes a familiar narrative: while automation and AI are accelerating productivity, they are not the primary cause of the sector’s persistent cost pressures. Instead, Lowe points to an economic problem — how gains are captured, how markets are structured, and how costs are distributed.
Why costs are an economic, not a technology, problem
The headline idea is simple but important: technology often increases output or lowers unit labor time, but it does not automatically reduce consumer prices or operating costs for businesses. Whether productivity gains translate into lower costs depends on business models, competitive dynamics, regulation and where value accrues. If efficiency gains are absorbed into higher margins, land costs, or are offset by other rising expenses, the visible cost problem persists.
This distinction matters because the solutions differ. Fixing a technical issue calls for better software or automation tools; fixing an economic issue calls for changes in pricing strategy, market incentives, policy choices and organizational design.
Designing for the human in the age of the machine
The episode signals a shift toward human-centered design as a corrective. That means designing systems so automation amplifies human skills rather than replaces essential human judgment and service. Practical approaches include:
1) Reimagining roles
Staff roles should be redesigned so humans handle tasks where judgment, empathy and complex decision-making matter, while repetitive work is automated. This preserves service quality and consumer trust.
2) Rethinking pricing and value capture
Firms must decide whether automation is used to cut prices, expand services, or increase margins. Transparent pricing and competitive practices will determine who benefits from productivity gains.
3) Policy and market design
Regulators and industry groups can shape incentives so automation leads to broader consumer benefits rather than concentrated gains for a few players.
What leaders should listen for
Lowe’s preview suggests the episode will dig into how firms can avoid common mistakes: assuming technology alone solves structural problems, underinvesting in training, or overlooking distributional effects. Industry leaders should expect practical discussion of governance, workforce transition and customer-facing design choices that keep humans central.
Why this matters
The stakes are high: mishandling automation can raise social and market tensions, hollow out service quality, and leave cost problems unsolved. The Power House episode aims to move the conversation beyond tool selection and toward designing systems that deliver productivity while protecting value for customers and workers.
For listeners and decision-makers, the takeaway is clear: automation and AI are powerful, but without economic and organizational changes they won’t solve the industry’s cost challenge on their own.
Image Referance: https://www.housingwire.com/podcast/what-comes-after-automation-and-ai-designing-for-the-human-in-the-age-of-the-machine/