What is it, really?
Historically, rapid technological advancement has come with its fair shareof trade-offs. Certainly, with the meteoric rise of artificial intelligence (AI), does humanity dare to gaze into the abyss? It’s a question that’s been asked in literature classes, but more recently - in the C-Suite of global business organisations. This blog post will find out the role artificial intelligence has to play in the everchanging business environment.
Defining AI is not an easy task - there can be many definitions for it among its multiple versions and subsequent definitions of these version. Sheikh et al. (2023) states that “In its strictest definition, AI stands for the imitation by computers of the intelligence inherent in humans.”
The multi-layered impacts of AI will be analysed through the lens of the UNSDG Goals Wedding Cake Framework: Society, Environment and Economy. Through the following analysis, this blog post intends on shedding light on the opportunities and concerns AI provides business organisations, concluding on a personal analysis on the role AI has in the future of our lives.
The digital physical footprint
Reducing climate-warming emissions through the optimization of business operations is a key benefit of AI in business. Essentially, through the use of predictive technologies, businesses can achieve sustainable performance by utilising data-analysis, helping businesses further understand their modus operandi.
For example, through the use of Google’s AI-based predictions alongside Breakthrough Energy’s contrail models, American Airlines were able to reduce their contrails by 54% by avoiding altitudes which may produce these emissions (Elkin, 2023). This not only decreases the impact, but also improves Business Sustainability performance significantly - positioning organisations as leaders in the CSR space. Research has shown that such an initiative is cost-effective and can reduce fuel usage when utilising the AI-predictive models. (Teoh et al., 2022).
When looking at such technologies, it is also important to acknowledge the possible repercussions. The main impact is the obvious environmental footprint AI leaves. According to Hao (2020), training one AI model can emit over 620,000 pounds of carbon dioxide.
Therefore, while it is imperative for businesses to adapt to emerging AI technologies, it is equally important to recognise the initial impact of the development of these technologies. In striking this balance, the growing relationship between AI, sustainable business performance and the environment is sure to prosper. THE DIGITAL-PHYSICAL FOOTPRINT
Becoming Human
The positive impacts of AI on sustainable business performance - specifically pertaining to wider human society - is clear to see. In this instance, the specific aspect of AI in play is the use of algorithms to predict, or adjust certain outcomes. This section of the blog will discuss how business organisation utilise predictive AI to protect and preserve many communities across the world, thereby elevating their sustainability performance.
An example in which AI creates sustainable business performance is by facilitating more efficient processes, especially regarding output. The utilisation of AI has allowed employees to boost productivity, customer engagement and enhanced decision making (Microsoft, 2023). Additionally, the reduction of time allocated to mundane tasks improves business performance, thereby improving the general efficiency of tasks.
Conversely, when interacting with such complex topics such as race, it’s clear to see that the neutrality of AI algorithms disappear. A specific point of concern is the use of predictive AI, which creates a discriminatory model with biased data input. For example, when business utilise AI for recruitment, distinctively black names were less likely to receive a response on average than distinctively white names (Peyush, 2022).
Therefore, utilising AI with raw input in processes such as job recruitment must be overseen by human control, with more control given to the recruiter, rather than AI. BECOMING HUMAN
Artificial Economies
Artificial Intelligence plays a crucial role in the development of a nation’s economy. As estimated by PwC (2018), AI has the capacity to grow a nation’s economy, and has the capacity to contribute to up to $15.7 trillion to global economies by 2030. Economists believe that automation creates a domino effect of further innovation, ultimately leading to increased productivity and job growth - two key metrics of economic growth (Furman & Seamans, 2019).
For example, from 1994-2014, Germany’s integration of robotic automation eliminated 275,000 manufacturing jobs which were, in the long term, offset by gains in the service sector (Dauth et al., 2017). Therefore, anxieties created by job insecurity due to AI automation can be comforted by the fact that they are not completely eliminated, rather, transformed. Equally, a balanced perspective must be considered when analysing these benefits.
Within the current economic system of capitalism, inequality is a key symptom. According to the International Monetary Fund (2024), AI will only increase inequality within countries, highlighting the importance of integrating social safety nets for all individuals effected by this growth.
So what?
After all this discussion, it’s time to give my honest truth: AI won’t save or destroy us – we will. As someone who considers themselves more progressive politically, I am cognisant about the impacts such technologies, especially pertaining to inequality. To whom is AI going to benefit? Is it really going to create a technological, tool-in- hand revolution? Or is it going to keep fattening the pockets of the already ultra-rich?
While AI is still in its embryotic stage, it’s clear that the direction of this technology lies with policymakers, and government officials. Combining my upbringing in Sri Lanka and New Zealand, questioning government authority is second nature.
So - anxiety around AI isn't about it gaining consciousness, but about those who control it potentially using it to further oppress others. AI's potential for harm lies in human hands and their motivations.
To conclude, a quote from Friedrich Nietzche:
"He who fights with monsters might take care lest he thereby become a monster. And if you gaze for long into an abyss, the abyss gazes also into you." (Nietzsche, 2002).
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