The big picture: Dow is facing internal governance and funding challenges with Workday's new 'Flex Credits' model, hindering its adoption of agentic AI despite recognizing its potential.

Why it matters: This case highlights a growing tension between IT and HR over budget ownership and accountability for AI consumption, impacting enterprise-wide technology adoption and workforce strategy.

Between the lines:

• Workday's 'Flex Credits' shift payment from per-user licenses to consumption-based AI usage.
• Dow's HR Digital Product & AI Leader, Sarah Jo Rowley, questions who governs and funds AI consumption to prevent budget overages.
• Concerns exist about skill degradation among employees as AI agents take over tasks.

Staffing & HR impact: The debate over AI funding and governance directly impacts HR's ability to strategically deploy new technologies, potentially slowing down efficiency gains and requiring new compliance frameworks for AI accountability.

The bottom line: Companies must proactively define internal AI governance and funding models to unlock the full potential of agentic AI without creating internal friction or unexpected costs.