Business schools face challenges integrating AI into education, with a significant gap between deans' enthusiasm and faculty adoption. While 85% of deans believe their institutions encourage AI use, only 63% of faculty agree. Furthermore, 80% of deans want faculty to use AI, but only 55% of faculty concur. Students widely use AI for basic tasks like information retrieval and drafting, but lack strategic application skills. The core issue lies in pedagogical approaches rather than technology itself, requiring better support for faculty to bridge this divide and teach sensible AI utilization.