How Building with AI Can Double the Throughput of Your Engineering Team — Brian Scanlan, Intercom
Summary
Intercom, a 15-year-old B2B SaaS company, has aggressively pivoted to an AI-first strategy, notably with its AI agent for customer support, Finn, which serves over 8,000 customers, generates nearly $100 million in revenue, and handles 2 million resolutions weekly. Finn now runs on Intercom's proprietary model, outperforming frontier models in English text-based conversations while being cheaper and faster. Internally, Intercom launched a "2x" initiative in mid-2023 to double engineering throughput without increasing team size, measuring success by code changes per R&D person. This initiative involved decisive executive guidance, organizational changes like updating job descriptions to mandate AI adoption, and full-time staffing of a dedicated 2x team. The company standardized on Cloud Code as its primary development platform, integrating it deeply into all technical work, including debugging, testing, and planning, and has achieved a doubling of pull request throughput in under a year, alongside a 17.6% automatic code approval rate and a reduction in defects.
Key takeaway
For CTOs and engineering leaders aiming to significantly boost developer productivity, Intercom's aggressive AI adoption strategy offers a clear blueprint. Your organization should mandate AI tool usage, standardize on a unified AI-powered development platform like Cloud Code, and invest in a dedicated team to build and integrate AI skills. This approach can lead to substantial gains in throughput and code quality, even enabling automated code approvals while maintaining compliance.
Key insights
Intercom doubled engineering throughput by mandating AI adoption and standardizing on an AI-powered development platform.
Principles
- Shipping fast and iteratively builds high-quality products.
- Standardize on one platform to maximize compounding benefits.
- Engineers' roles are moving "up the stack" with AI automation.
Method
Intercom's 2x initiative involved setting an ambitious goal to double engineering throughput, providing clear executive guidance, implementing organizational changes, staffing a dedicated team, and standardizing on Cloud Code as an AI-powered development platform.
In practice
- Update job descriptions to require AI tool adoption.
- Standardize on a single AI-powered development environment.
- Develop and refine small, high-quality, testable AI skills.
Topics
- AI Transformation
- Developer Productivity
- Cloud Code Platform
- AI Agents
- Engineering Throughput
Best for: Investor, Entrepreneur, CTO, AI Engineer, MLOps Engineer, Director of AI/ML
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Editorial summary, takeaway, and curation by AIssential. Original article published by AI Engineer.