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Insights · · 1 min read

Why AI needs an ontology before it needs a bigger model

Before we put AI in front of a decision, we write down what your business means by its own words. That is why every number arrives with its source.

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Most AI pilots fail on a question that sounds simple: what do we mean by “customer”? Finance, sales and support each have an answer, and a model asked to predict churn inherits all three.

The problem with asking a model directly

  • A model querying tables guesses what each column means.
  • Different teams define the same measure in different ways.
  • When the data cannot answer, an ungrounded system still produces something that looks like an answer.

Four parts, in plain words

  1. Ontology: a shared vocabulary of your business.
  2. Knowledge graph: a connected model of your organisation, with the source and date of every fact.
  3. Semantic layer: one agreed definition of every measure.
  4. Grounded AI: answers that cite your own data, and say so when the data cannot answer.

What the evidence says

In a 2023 benchmark, GPT-4 answered 16% of 43 enterprise questions correctly when it queried a SQL database directly, and 54% when the same data was described by a knowledge graph (Sequeda, Allemang and Jacob, 2023). It is one benchmark on one insurance data model, not a promise, and we measure the same on each client’s own test questions.

What to do next

  • Pick one decision that matters.
  • Write down the words that decision depends on, with the people who make it.
  • Connect only the data that decision needs.