Leaders of the Management and Artificial Intelligence in Digital Society specialization list the 7 signs, that AI will change management and business.
We already know, that artificial intelligence will affect business, because the whole world is talking about it. But what evidence do we have? Written by the creators of the Artificial Intelligence focused program at Kozminski University: dr. Aleksandra Przegalińska, prof. Dariusz Jemielniak and dr Agata Stasik.
1. Artificial intelligence is quick decision-making.
AlphaZero, an artificial intelligence developed by Google, has done something extraordinary. It defeated not just a human in a chess game, but the most powerful existing chess engine from Stockfish. Stockfish collects all available and relevant game schemes. From the developers, AlphaZero only got detailed rules of the game, without strategy or any historical experience. As a result, AlphaZero won 28 out of 100 games played, and the rest were a tie. So, what does this have to do with business? Well, chess is a very complicated, logical game. If an AI can learn to make perfect decisions so quickly, it's easy to imagine what the possibility of doing so is, in management.
Imagine that Artificial Intelligence becomes a part of the office of an international corporation's board. It imports the rules of the game in which the company competes, and begins to operate based on powerful computing, machine learning and deep learning. It will process all multi-level and intersecting data better and faster than 25 thousand employees. It will also make better decisions that increase the probability of a “business checkmate” or a tie.
2. AI performs the function of a production specialist.
The production process in companies has been robotized for a long time. However, computers can also manage it automatically. Already today, it happens that an algorithm replaces a production planning specialist. AI deals with the massive amount of data needed to make calculations, tries to reproduce human experience, and even, using an evolutionary algorithm, learns to take into account unusual and irregular variables.
3. Artificial intelligence serves clients.
AI is used in bot-control programs that are responsible for customer service. Such internet consultants have been known to us for several years, and in the beginning were the main objects of jokes and malicious "tests" conducted by users. The little, clumsy bots could not deal with questions on a subject going beyond the one to which they received preparation for. This is due to the fact that then, they were in the form of programs, based on established schemes. Today, in addition to higher efficiency, or more efficient data processing, they learn from every conversation and situation, looking for better solutions.
Google, during a recent development conference, demonstrated a voice assistant controlled by Google Duplex AI. The assistant calls the hairdresser himself and makes a voice reservation for the user. He conducts a natural conversation - he answers questions, settles the details, nods, even makes minor language mistakes. This shows the incredible possibilities of this technology, which is still in development. Business applications for AI can be grown and multiplied.
4. AI recruits employees.
An ideal place to use AI in business and management, is the recruitment process. Currently, this has also gained popularity. Instead of CVs, certificates, job interviews and even databases about candidates, we have IT recruitment agencies that develop new techniques of custom-matching employees with employers. Algorithmiko has a method of creating the so-called “professional DNA candidate”. In data filtering, it goes beyond what the candidate has done so far, trying to determine his real potential, which is what he could do well in the future. Interestingly, Algorithmiko looks not only at the candidate and the employer, but also at the market. If an analysis of press publications or job offers shows that the importance of some competencies increases, the algorithm starts to appreciate this aspect more in the assessment of the candidates. Precire Technologies, in turn, focuses on a deep analysis of the speech of a person looking for employment. However, it does not examine the content, only the way of speaking: pitch, modulation, tone, terms, speed, accents. The result is adjusted and compared with the database of 5,000 previously examined people and tested in ordinary psychological tests. This is all possible thanks to AI algorithms.
5. AI algorithms manage health care administration.
One of the fields, in the context of which AI is often referred to, is medicine. The usual references, are to disease diagnoses and drug development. Meanwhile, a university hospital in London has decided to use intelligent algorithms to manage health care. The institution started cooperation with the Alan Turing Institute. Its main aim, is to improve the efficiency of the clinic. How will artificial intelligence help with this? It will analyze which patients require the fastest possible assistance, and which can remain waiting a little longer. Diagnostics will also be woven in here. The AI will further estimate the risk, that some patients will not attend appointments. The system will analyze factors such as the age of specific people, health status, weather, distance to the hospital, etc. On dates when there is a risk that patients will not come, they will be given an extra allowance to make better use of the hospital’s facilities. The first tests showed 85 percent of the effectiveness of such a prognosis supported by machine learning.
6. Artificial Intelligence will become a player on the stock market.
Until now, there have been only rumors about the application of AI on the stock market. Successful operations with shares today, are dependent not only on the proper assessment of the situation, leading to buy or sell decisions. These activities must be carried out at a precisely determined moment, immediately selected on the basis of intelligent machine analysis (and not after long reflections of a human being) and in many places at once. They are said to be specialized bots, which are the only ones capable of performing such operations.
7. Artificial intelligence will measure the credibility of citizens.
In the fall of 2016, the Chinese government announced the introduction of a new rating system for its citizens. Anyone who breaks accepted social norms, and thus deserves to be called an unreliable person, will have to face sanctions limiting civil rights. The algorithms decide who is, and who is not, trustworthy - based on every piece of information available on the web. So, we already know one country that intends to use artificial intelligence to manage a whole country.
Are there only plus sides of artificial intelligence?
Of course not. If AI can carry out an action, find an answer that the author of the code could not, and even did not attempt to program, then artificial intelligence can also do things that we would not want it to or threaten us. It is absolutely logical, not a conspiracy theory. 3 thousand employees of Google along with scientists specializing in AI expressed a similar fear in open protests, appealing to the Korean University of Technology. Both groups objected to the use of artificial intelligence for military purposes. RAND Corporation warns in its report that the introduction of AI in the military sphere may trigger a nuclear conflict, because the technological advantage of one of the parties has a chance to become a prerequisite for algorithms to achieve benefits through a pre-emptive attack. And all of this, is not science fiction anymore.
Learn more about the Management and Artificial Intelligence in Digital Society specialization on the Bachelor in Management program.