Breezy blog

What are the limitations of AI models?

Dec 2025

AI isn’t perfect. At Breezy, we strive to help business owners understand the pros and the cons to ensure we all avoid common pitfalls when using AI.

AI systems have become remarkably capable in a short space of time. They can understand natural language, summarise information, reason through problems and take actions. This progress has led to understandable excitement, but also to unrealistic expectations. If you are considering using AI  in your business it is important to understand where today’s AI works well and where its limits still lie. This is not to discourage adoption but to ensure it is used safely, deliberately and to its strengths.

AI does not understand intent in the human sense

AI can interpret language, but it does not understand intent the way a human does. It infers meaning from patterns rather than shared experience. For example, when a customer says 'Can you move my booking forward?', a human instinctively asks follow-up questions or reads between the lines. An AI needs guidance. Does 'forward' mean earlier in the day, earlier in the week, or earlier in the calendar year?

This is not a flaw. It is a property of how the technology works. AI systems require explicit instruction about how to handle ambiguity. When they are taught to ask clarifying questions instead of guessing, reliability improves dramatically. The limitation is not that AI misunderstands language. It is that humans assume shared context that machines do not naturally possess.

The problem with unpredictable scenarios

AI models are fantastic at processing data and identifying patterns, but they lack common sense and contextual understanding. Humans can interpret ambiguous language, make nuanced decisions, and understand context naturally. AI, on the other hand, struggles with anything outside its training data and doesn’t possess an intuitive understanding of the world.

Imagine asking a virtual assistant, 'Can you turn off the light in the hallway?' If the assistant is unfamiliar with your home setup, it might struggle to interpret what 'hallway' refers to or how to locate that specific light. In a conversation, AI may misunderstand jokes, sarcasm, or idioms, because it doesn’t 'get' the context in the way humans do.

If you rely on AI for customer service or conversational assistance, be prepared for occasional misinterpretations or 'odd' responses. AI can handle straightforward tasks well but might struggle with nuanced requests or tasks that require real-world knowledge.

A customer might say, 'Can I bump my booking to next week?' and the AI may not know whether that means reschedule, cancel, or swap for credit. Left unchecked, these small gaps in understanding can lead to confusing or odd responses. This is where Breezy’s workflows help. Business owners can create prompts that add the missing common sense layer. For example when a customer asks to 'bump' or 'move' a booking, Breezy can be set up to clarify, 'Do you want to reschedule to a new date or cancel for a refund?'.

By designing prompts around the way customers naturally speak, Breezy bridges the gap between AI’s literal interpretation and the flexible, context-driven way humans communicate. This gives your business the efficiency of automation without sacrificing clarity or customer trust.

AI depends entirely on the quality of its inputs

An AI agent is only as good as the information it can access. If your booking system is outdated, inconsistent or incomplete, the agent cannot compensate for that.

  • If availability data is wrong, responses will be wrong
  • If policies are unclear, decisions will be inconsistent
  • If different parts of your website contradict each other, confusion increases

AI often exposes weaknesses that already existed in a business. Manual processes hide ambiguity because staff make judgement calls on the fly. AI forces clarity. This can feel uncomfortable, but it is also an opportunity. Businesses that clean up their rules, data and workflows often see improvements even before AI is fully deployed.

AI is not good at exceptions without guidance

AI performs best in structured environments. The moment a request falls outside the standard rules, it needs clear escalation paths.

  • High-value or VIP bookings
  • Unusual group requests
  • Last-minute changes outside policy
  • Partial refunds or special cases
  • Emotionally sensitive situations

Expecting AI to handle these autonomously is a mistake. The safe approach is to define boundaries explicitly. When a request crosses those boundaries, the agent should pause and hand off to a human. The limitation is not intelligence. It is judgment. AI cannot weigh social nuance, risk tolerance or brand reputation in the way a person can.

AI does not know when it is wrong unless you design for it

One of the most discussed weaknesses of AI is its tendency to produce confident responses even when uncertain. In practice, this only becomes a problem when systems are allowed to answer without verification. In booking and customer service contexts, this risk can be controlled. A well-designed agent does not invent availability, pricing or policies. It checks live systems. When data is missing, it asks for clarification or escalates.

If an AI ever 'hallucinates', it is usually because it was allowed to respond without grounding its answers in real data. This is a design choice, not an unavoidable outcome. The lesson is simple, AI should never be the source of truth. Your systems should be.

AI cannot replace accountability

Even when an AI agent performs an action, responsibility still sits with the business. Customers do not distinguish between a human error and an automated one. From their perspective, it is all part of the same service. This means businesses must retain visibility and control:

  • Clear logs of every action taken
  • The ability to reverse or correct decisions
  • Regular review of outcomes
  • Ownership of edge cases

AI can reduce workload, but it does not remove accountability. Any system you deploy must be observable and auditable. Many people worry about the small percentage of cases where AI makes a mistake. This concern is valid, but it helps to compare it with human performance. Human processes fail quietly and inconsistently, AI systems fail visibly and measurably.

This difference matters. When errors are observable, they can be corrected systematically. Over time, this often leads to higher overall reliability than manual handling, especially in high-volume workflows like bookings and customer support. The real limitation is not error rate. It is whether you can see, measure and improve the system.

Designing with limits in mind

The most successful AI deployments share a few traits:

  • Clear rules and policies
  • Narrow, well-defined responsibilities
  • Escalation for exceptions
  • Ongoing monitoring and refinement
  • Realistic expectations

When AI is treated as a general problem solver, disappointment follows. When it is treated as a specialised operator within a controlled environment, it performs extremely well. For booking-based businesses, this usually means letting AI handle the predictable majority of requests and reserving human attention for the rest.

Takeaway

Current AI has limits, and those limits matter. It does not understand your business intuitively. It does not exercise judgment. It does not take responsibility. But it does apply rules consistently, respond instantly and scale without fatigue. Used thoughtfully, AI becomes a stabilising force rather than a risky one. It reduces variability, exposes hidden process issues and improves responsiveness. The key is not to ask AI to behave like a human, but to design systems that allow each to do what they do best

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