AI assistants are only as smart as your information is

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Everyone is talking about AI, whether it's Microsoft Copilot, ChatGPT, or other smart assistants. Many organizations want “something with AI,” but quickly run into a problem: AI can only work well with the right information and clearly defined objectives.

The result? Tools deliver hardly any useful output, old versions are picked up, privacy-sensitive data is unintentionally exposed, and valuable knowledge remains locked up in silos.

AI is not a stand-alone solution; the value of AI arises when the technology, the structure, and the culture (people) are aligned.

The limitations of working with folders

Many AI pilots fail to get off the ground, not because of a lack of technology or computing power, but because of problems with data management. Without a well-organized and accessible database, AI cannot deliver reliable results.

In most organizations, data is fragmented:

hidden in legacy systems, hierarchical folder structures, emails, or specific software packages. As a result, not all information is available for AI analysis.

It is therefore essential to know where your data is located (application landscape), to centralize where possible, and to avoid duplication of data (one version, one location).

Many companies still work with traditional folder structures:

  • documents spread across departments,
  • versions with names like “final_v3_final_final.docx,”
  • and knowledge that remains stuck in silos.

This is confusing enough for humans.

For an AI assistant, it's just noise.

Consequence:

  • AI assistants deliver hardly any relevant results,
  • AI cannot distinguish between versions or context,
  • privacy-sensitive data can be shared unintentionally,
  • and valuable knowledge remains locked away.
Why AI only works with structured information

AI draws its power from the information your organization already possesses. However, without a clear structure, metadata, and indexing, AI rarely finds relevant results.

Many organizations develop data silos: each department works with its own tools, folders, and processes. This results in fragmented data and systems that cannot communicate with each other. By using integrated data flows (via APIs), you can prevent information from remaining isolated.

Data must be findable, accessible, interoperable, and reusable. Clear, understandable data governance helps employees apply this consistently and should ideally be part of onboarding.

Typical problems that hinder AI:

  • Documents scattered across personal drives or old folder structures
  • SharePoint libraries without metadata or clear taxonomy
  • Insufficient rights management or context, preventing AI from distinguishing between versions

Without this foundation, AI can technically access documents, but in practice it produces little useful output.

The key: AI-ready information management

The real value of AI lies not in the tool itself, but in how your organization handles information. Organizations that invest in AI-ready information management today will reap the benefits of their AI initiatives tomorrow.

Important steps include:

1. Structuring information

Setting up document libraries with metadata and clear taxonomies so that AI knows where everything is located.

2.Agreement frameworks and governance

Clear policies on naming, storage, version management, and rights, fully AI-compatible.

3.Awareness and training of teams

Employees learn how to store, name, and share documents correctly so that AI can work optimally.

Organizations that follow the above steps:

  • Have structured and accessible information
  • Have made governance and agreements AI-compatible
  • Ensure that teams understand how to work in an “AI-ready” manner
  • Can optimize the performance of AI tools

In short: AI is only as smart as the information it works with.

Do you want AI to truly add value to your organization?
Start with the basics: structured, accessible, and well-managed information management.

Our information management services can help you establish a solid foundation for smart AI applications and sustainable knowledge management.

Written on Carla Schoorens