Harnessing AI's Potential: A Catalyst for Business and Society
- Tulsi Mahanto
- May 25, 2024
- 4 min read
Updated: May 27, 2024
Artificial intelligence (AI) is a transformative force reshaping industries, businesses, governance, and societies globally in an era marked by rapid technological advancements (Smith, 2022). AI, especially with the advent of generative AI, is now transforming business operations fundamentally. It is fostering innovation and tackling societal issues by analyzing large data sets that were never conceived earlier. The pace of development of AI is something that is both amazing and a worrying trend in some regards. This article delves into the reasons why AI is seen as a force multiplier, discusses concerns about its adoption, and offers recommendations for the successful and sustainable implementation of AI in our daily lives.
AI's Significance as a Force Multiplier
AI serves as a force multiplier in many ways. It enhances human productivity levels by at least 60% by allowing humans to use AI tools and get all their mundane tasks done in seconds. It improves efficiency and creates new opportunities in different sectors. For example According to industry reports, AI is set to generate $2.6 to $4.4 trillion worth of value when used to its fullest in 63 different use cases. AI automates mundane tasks, streamlines processes, and lowers expenses. Multiple businesses across industries are benefiting from increased productivity, better decision-making, and improved competitiveness (Brown et al., 2021). According to McKinsey, AI adoption will greatly boost economic growth, with a projected 25% annual growth rate in AI-driven industries by 2023. Healthcare, finance, and manufacturing industries are at the forefront of adopting AI technology, resulting in notable increases in productivity and faster innovation (Jones & Patel, 2023). In India, AI could impact the IT service sector since India is the leader in IT exports in the world.
AI will have an impact on both businesses and society. AI-driven solutions have broad applications in two distinct domains. In urban India, it can forecast both electricity supply and demand to balance power grids efficiently and thereby enable the integration of large amounts of renewables. Hence, it can pave the way for other global programs such as One Sun, One World, and One Grid of the Global Solar Alliance. AI can improve energy efficiency in buildings and urban environments. In rural India, AI can support both mitigation and adaptation efforts in agriculture.
Dealing with AI-related concerns
AI also raises concerns due to its inherent autonomous nature. Further, the fact that there are no regulations on AI as of now makes it even more concerning. It raises questions regarding ethics, privacy, and job displacement. Critics contend that AI algorithms could perpetuate algorithmic biases, violate privacy rights, and worsen inequalities.
Moreover, there are concerns that AI automation could result in unemployment, and in countries like India where there are large numbers of unskilled workers, the implementation of AI will eat up a few jobs that are available and create inequality in society.
Overcoming these concerns is possible. By implementing responsible AI development, strong regulations, and ethical frameworks, we can reduce the potential risks linked to AI integration (Baker & Smith, 2021).
One such idea is the creation of a novel regulatory body consisting of members from government, industry, and other experts. Just like in academia, there are journals and publishing houses that verify research papers, and then only the research papers get published. Similarly, the work of this regulatory body would come up with checks and balances that every AI technology has to follow. Any company that is coming up with a new technology has to first get approval from this regulatory body, and then only they can release the AI into the public domain. Although this is currently just an idea without any actual implementation in this field
Suggestions
To fully utilize AI as a force multiplier, organizations and policymakers should prioritize the following recommendations:
Allocate resources to AI research and development. Continued investment in AI, especially ethical AI research and development, is crucial to stimulating innovation and harnessing the full potential of AI.
Advocate for the advancement of AI education and training. The workforce, be it skilled, semi-skilled, or unskilled, should be collectively educated in the field of AI in terms of how they can include AI and speed up their work.
Promote cooperation and exchange of information: There is collaboration among governments, businesses, academia, and civil society across the world in the co-development of AI. It should start a new AI race, just as we had the space race in the last century.
Ultimately, AI has the capacity to significantly enhance the effectiveness of both business, society, and life in general. By adopting AI responsibly, addressing ethical concerns and job displacement, and implementing the recommendations provided, we can use AI's transformative potential to build a more prosperous, fair, and sustainable future for everyone.
REFERENCES
Baker, A., & Smith, J. (2021). Addressing the Ethical Implications of AI Adoption. Journal of Ethics in Technology, 13(2), 45-58.
Brown, C., White, L., & Johnson, M. (2021). The Impact of AI on Business Operations. Journal of Business Innovation, 7(3), 112-125.
Jones, R., & Patel, S. (2023). AI Adoption Trends Across Industries. McKinsey Quarterly, 47(2), 35-49.
McKinsey & Company. (2023). Driving Impact at Scale from Automation and AI. Retrieved from https://www.mckinsey.com/driving-impact-at-scale-from-automation-and-ai
Smith, A. (2022). The Rise of Artificial Intelligence: A Transformative Force for Business and Society. Journal of Technology and Innovation, 15(1), 78-92.
UNESCO. (2020). The Future of Learning and Education in the Age of AI. Retrieved from https://unesdoc.unesco.org/education-in-the-age-of-ai