More AI Hype and Traps to avoid when modelling

The latest episode of Unpivot is out, and this one is jam-packed with absolute gems.

Episode 38: More AI Hype and Traps to avoid when modelling

Hosts :Wyn Hopkins, Mark Proctor, Sue Bayes, and Giles Male

You can watch it here: https://www.youtube.com/watch?v=pUkq9fcFaUI

AI and Vibe coding  #StopTheHype

The UnPivot team have a great chat through recent AI developments in modelling and in particular the concept of "Vibe modelling". Some key takeaways:

“It does do some stuff, and some of it is impressive.” Giles Male

•    All agreed that it has huge potential but that the main issue right now is the over hype, the idea that we can do a simple prompt and it will build a 3 statement model or a CEO can ask PowerBI copilot for a report without any context. 
•    You have to spend more time building your model so that it is AI-safe than just asking your user what report they would actually like and building that.
•    Your underlying data needs to be clean and well-structured, which is typically the main issue we are facing.
•    Use it as a co-pilot rather than THE Pilot. Use it as an assistant to help you.
•    What does this mean for the future of software like Excel and PowerBI? Will they even exist if AI understands the data structures and modelling and can create output without them?

Question of the Week:   What are your top 3 modelling mistakes to avoid

The team brought up so many great pieces of advice, I really recommend watching this through yourself. Here are some key ones:

“Don’t make mistakes and get better next year!”

Sue
•    Only bring in what you need
•    Just because you can doesn’t mean you should
•    Be kind to your future-self

Wyn
•    Don’t hardcode into formulas. (Non-changing constants are ok). 
•    Use a centralised checks / errors control sheet and Add a missing mappings page

Giles
•    Do a good scoping exercise and then avoid scope creep in a model build
•    Don’t be dogmatic about modelling approach

Mark
•    Don’t try to avoid all errors, have a mechanism to surface and fix them as early as possible.
•    Plan for what your client hasn’t asked for! 
•    Balance flexibility and complexity
•    Avoid copy and paste at all costs
•    Avoid the phrase “that will only take me five minutes”

You can watch the episode here: https://www.youtube.com/watch?v=pUkq9fcFaUI

It is also available on all Podcast apps if you prefer to listen.