From Prose to Prototypes - How AI-Powered Rapid Prototyping Transforms Business-IT Collaboration

The communication gap between business departments and IT has been a primary driver of IT project failure for decades. Empirical research consistently documents that translation losses in requirements communication — not technological hurdles — account for 30 to 50 percent of total project costs through avoidable rework. AI-native builders such as Lovable, v0, and Bolt now enable domain experts to translate their ideas directly into clickable prototypes without waiting for IT resources, thereby radically shortening the traditional multi-stage translation chain from textual specification to functional code. This paper examines the scientific evidence for prototyping as a communication tool, analyzes the capabilities and limitations of AI-native builders, and develops a structured six-phase process model from Minimum Viable Specification to Handover Package. Three handover models — Throw-away, Scaffold, and Review — are proposed to structure the transition from prototype to production. The paper further addresses the transformation of organizational roles, with IT shifting from gatekeeper to enabler, and analyzes the governance structures, risk mitigation strategies, and competency development required for sustainable implementation. A Center of Excellence is identified as the critical coordinating body for scaling these initiatives. The findings indicate that functional prototypes can serve as a common language between business and IT, systematically reducing decades of translation losses — provided they are embedded in a structured framework of governance, clear handover models, and continuous organizational development.