AI Is Reshaping Everything—Adapt or Be Left Behind, Warns PR Leader

On this episode of Capital and Power, Adam Shapiro sits down with Dr. Kathy Bloomgarden, CEO of Ruder Finn and one of the most respected minds in global communications. Recently named PR Agency Leader of the Year by Campaign Magazine, Bloomgarden is an early adopter of AI in public relations—and a powerful voice urging companies to prepare for the disruption ahead. Her message in this conversation is direct: if you’re not thinking seriously about AI, you’re already behind.

WATCH: “The worst thing you can do is keep doing what works."

From the outset, Bloomgarden frames artificial intelligence not as a technical tool, but as a societal shift. “It’s going to change the world and it’s going to affect every single person,” she declares. She calls AI “intelligence on tap,” comparing its ubiquity and utility to the electrical grid—something that will quietly power nearly every aspect of business and life. But with that power comes disruption, and Bloomgarden stresses that companies must adapt not incrementally, but radically.

Drawing on the ideas of Clay Christensen, she outlines the difference between sustainable and disruptive innovation. A slightly better iPhone camera, she explains, is sustainable innovation—safe, expected, and ultimately forgettable. But when the phone itself disappears and we shift to voice commands or wearable tech? That’s disruption. And in Bloomgarden’s view, we are already crossing that threshold.

At Ruder Finn, she makes sure her team operates with this mindset. “If you could have written this plan last year, it’s not good enough,” she tells them. The agency constantly tests new tools through its in-house RF TechLab, exploring everything from digital twins to AI-driven market research. For Bloomgarden, the innovation curve is not a roadmap—it’s a moving target. And in her view, fear of failure is fatal. “There’s nothing wrong with failing… If you haven’t failed, you haven’t tried.”

The conversation also tackles AI’s impact on jobs. With some firms using AI as an excuse to cut staff, Bloomgarden offers a counterpoint: “If you put your head in the sand and say, I'm not going to adopt AI, you will disappear.” But she insists that AI should be used to enhance human potential, not eliminate it. In her view, the companies using AI to empower their teams—like Reddit giving engineers AI tools—will outperform those using it purely to downsize.

Her perspective on AI and storytelling is especially compelling. Bloomgarden believes many companies are already seeing bottom-line benefits from AI—increased supply chain efficiency, faster pharma R&D, better clinical trial recruitment—but the results haven’t been widely appreciated. Why? Because no one is telling the story well. “I would argue that that’s actually because storytelling hasn’t yet progressed,” she says. This failure to communicate AI’s tangible value creates skepticism among shareholders and the public alike.

Asked how she would advise high-profile tech leaders, Bloomgarden draws on wisdom from her longtime collaborator John Chambers, the former CEO of Cisco. “Your competition is not the competitors in your industry. Your competition is a market transition,” she says. For executives like Satya Nadella, she applauds Microsoft’s pivot toward AI through tools like Copilot, which her firm now uses routinely. “It’s really fantastic for us,” she adds.

Bloomgarden is particularly focused on the next generation of workers. She argues it’s a “massive miss” when companies overlook young, AI-native professionals who are more willing to experiment and adapt. Echoing a principle from Zach Kass, formerly of OpenAI, she warns: “Never hire someone for a job... because that job will change.” Instead, hire for mindset, agility, and curiosity.

She also highlights how AI is reshaping the information ecosystem. Tools like Perplexity and ChatGPT are already displacing traditional search engines, and that comes with consequences. Bloomgarden warns that these models flatten authority—giving equal weight to content from “Tom’s Hardware” and The New York Times—which raises serious concerns about credibility. The RF TechLab is already building solutions to help clients understand how AI aggregates information and how to maintain trust in a world of AI-generated summaries.

One standout example she shares is Coach’s use of digital twins to test handbag designs. This lets customers co-create colorways, patterns, and materials in real time. “Just an amazing experience,” Bloomgarden says, and a glimpse into how AI can create immersive, multisensory brand interactions in the near future.

So, will AI ever replace human storytelling? “The human is never going to be replaced, but the human is going to do more,” she replies. Storytelling is evolving—from press releases to podcasts to interactive media—and humans remain at the center of making those stories resonate. AI may assist, but the voice, intent, and emotional arc still require a human touch.

Ultimately, Bloomgarden’s core message is one of cautious optimism. The companies that succeed in the AI era will be those who embrace experimentation, elevate their narratives, and empower their people. Asked to summarize her outlook in a single line, she offers: “Seize the opportunities from disruptive innovation.”

This Capital and Power episode is a must-listen for anyone trying to lead—or survive—in the age of intelligent machines. Bloomgarden doesn’t just talk about the future. She’s building it.