AI has been making miracles happen in many spheres of life, from business to entertainment. Many entrepreneurs are now exploring AI-led solutions for business planning to get a heads-up on possible risks and tailored strategies. However, in doing so, they must address a few ethical considerations.
Ethics has remained a pain point for artificial intelligence applications. Academicians look down on students who use AI to turn in assignments. A machine-generated creative may not elicit much critical acclaim in advertising campaigns. Upon looking deeper, you can see the ramifications of pushing ethical issues under the carpet.
Here are the ethical considerations to embrace while embarking on your business planning journey using AI. They will help you create a secure business model that does not face ire with increasing data protection awareness.
#1 How Ethical Are Those Data-Driven Insights?
A core component of business planning using artificial intelligence is employing data-driven insights. These information nuggets can help you frame expert strategies and get excellent results. However, what if their source is ambiguous?
Some businesses may use insights from data that is sensitive or personal. The firm may not be legally allowed to access this data. For example, health records are confidential. However, there are reports of data breaches and third parties selling private data for monetary benefits. Framing a business strategy on such data affects the whole ethical foundation of your business.
Judging the cultural context of data insights is also an ethical concern. Harvard Business Review highlights how various cultures approach this subject differently and vary in digital representation. Can an algorithm make an unbiased judgment based on data that doesn’t cover underrepresented groups, even when they constitute a bulk of the population?
Entrepreneurs can mitigate these risks by adding context to data collection and usage policies. It can come from having meaningful conversations with stakeholders on transparency and governance.
#2 Does Your Plan Consider the Impact on Vulnerable Users?
While drawing up a business plan, you will typically segment customers. The groups could be demographic, socioeconomic, or based on day-to-day habits. However, as AI becomes more widely used, businesses must also consider the vulnerability of the identified audiences.
For example, social media companies abound in user data, like photographs and personal videos. The success of Instagram has made many entrepreneurs open to exploring ideas based on user-generated content. However, the scene is not all that rosy.
The recent Instagram lawsuit has exposed the risks of inadvertent and excessive social media use. Young adults are at risk of developing mental health challenges and eating disorders due to the constant comparison and unrealistic beauty standards. Only lately, the company has started implementing safety measures like teen accounts with controls on sensitive content and direct messaging.
Ethical business founders must consider the differential impact of their product or service on vulnerable audiences. TorHoerman Law notes how Instagram’s algorithm-driven feed shows content per the user’s preferences. This process inherently fuels compulsive scrolling. It is time to rethink this strategy to create a more ethical business offering.
#3 Is Generative AI Spreading Biased or Offensive Content?
More businesses have started using Generative AI to address customer queries or create customised products. A text prompt can produce what you want. The concept is so simple that its appeal is understandable. The problem arises when businesses use Gen AI without heeding its ethical repercussions.
Perpetuating existing biases is the riskiest problem, as it aggravates prejudice and stereotypes. In fact, Gen AI can even produce insensitive content that may land your business in legal trouble. If your firm uses a language model trained on a questionable data set, you might be putting personal data at risk of exposure.
Business owners must establish guidelines for data governance to avoid these problems. Keeping sensitive information safe is paramount, and everyone in the organisation must have clear-cut roles toward guaranteeing this.
A TechTarget feature recommends that firms use Gen AI data cautiously, treating it as synthetic. It may work well for testing and running simulations. But its accuracy is questionable and must not be taken at face value.
Using artificial intelligence to develop a lucrative business can reap brilliant results. It optimises costs and saves time while letting you get a closer look at your target audience. You can also benefit from features like forecasting and feedback, which can help attract investors. Keeping an ethical stand during the process will ensure your business is upright and honest.
With more data available for processing, the chances of ethical misconduct are high. User data can be an asset, letting you chart optimal marketing and product improvement strategies. However, following ethical guidelines for handling this data will keep your business on the right side of the law and human values.
