In AI, biases often creep in, inherited from the data they learn from, creating what's known as "AI bias." While biases like racial discrimination in facial recognition technology have gained attention, biases are not limited to specific groups and have widespread impacts. Even biases from missing or challenging-to-replicate training data, like rare weather events or cracked tiles, contribute to the problem. These biases matter because they can influence decision-making processes within AI systems.
AI bias can have far-reaching business implications, extending beyond immediate financial concerns. AI systems perpetuate societal prejudices and create the risk of discriminatory outcomes, it's essential to recognize that the same bias can hinder businesses' ability to adopt AI and automate their data collection and operations. This dual impact underscores the critical importance of addressing AI bias comprehensively. Biased algorithms erode trust among customers, stakeholders, and the general public, resulting in reputational damage and decreased brand loyalty, ultimately affecting long-term profitability and market competitiveness. AI bias's legal and regulatory implications can’t be overlooked, potentially exposing businesses to litigation, fines, and increased regulatory scrutiny.
In the article, What AI can and can’t do (yet) for your business, authors Michael Chui, James Manyika, and Mehdi Miremadi of McKinsey noted, “Such biases tend to stay embedded because recognizing them, and taking steps to address them, requires a deep mastery of data-science techniques, as well as a more meta-understanding of existing social forces, including data collection. In all, debiasing is proving to be among the most daunting obstacles, and certainly the most socially fraught, to date.”
Recruitment Bias
Imagine a company using a fancy computer system to hire new employees. But if that system learns from past hiring decisions, it might pick certain people unfairly based on things like race or gender. This hurts the company's reputation and could get them in legal trouble. Plus, it makes it harder to have a diverse team, which is important for developing new ideas.
Credit Scoring Bias
Let's say a bank uses a smart computer program to decide who gets loans. But if that program learns from biased data, it might unfairly deny loans to certain groups of people. This makes it harder for those folks to get ahead financially and hurts the bank's reputation. It could also lead to trouble with the law and make it tough for the bank to compete with others.
At Plainsight, we champion transparency and continuous refinement in AI systems. We aim to create more accurate and ethically sound systems through these efforts. By prioritizing transparency and continual improvement, we can help pave the way for a future where AI operates with reduced bias, making immediate implementation possible without once compromising fairness.