The challenges and rewards of AI: Is your organisation on board?
The challenges and rewards of AI: Is your organisation on board?
by Alex Antic, Strategic Data Science Expert; Chair, Virtual Roundtables, Global Investment Institute
There are very few CEO’s, Board Directors and Senior Executives, in organisations across industries and domains, who need to be convinced of the benefit of integrating data and analytics into their business to deliver impact and change.
It’s become clear to most leaders that data and analytics is integral to not only staying ahead of their competition, but to simply be in the game! Much of this awareness is driven by all the hype surrounding Artificial Intelligence (AI), and the much-publicised success of numerous well-known organisations, such as the tech giants - FAANG (ie Facebook, Amazon, Apple, Netflix and Google).
Unless you’re at the helm of one of these aforementioned tech titans, however, you’ll quickly realise that establishing a successful, scalable and sustainable AI capability can be challenging. There are three areas that you need to get right: technological, cultural and ethical, none of which are trivial if you’re new to the game. For instance, should you centralise or distribute your Data Science/Analytics capability – and will you need a Chief Data Officer (CDO) to oversee it? Will your organisation need a data strategy, and possibly data literacy training?, and how do you identify and address any ethical/bias/fairness issues?
Over the past few years, I’ve seen conversations around the Board table shift from a focus on the technological aspects of AI, to ethical and societal discussions. This has mainly been prompted by increasing societal/customer/shareholder/regulator demand for the responsible use of AI, as the impact of AI on all our lives soars, and the rate of adoption surges.
Savvy organisations have realised that having a governance process and framework to support AI and intelligent automation - especially AI ethics - is mandatory, and not simply a check-box exercise. It’s now become a core foundation that business leaders and senior executives need to understand, especially as the demand of responsible/explainable/transparent decision making rapidly grows.
However, many business leaders struggle to know how to navigate the complex path of establishing not only an AI capability, but also a framework to support responsible and strategic decision making – with appropriate levels of explainability, transparency and understanding.
This is where an AI Advisory Board (AiAB) can be invaluable. It is of even greater importance to organisations that are either establishing the capability (think start-ups and organisations that are transitioning to a data-led paradigm), or scaling up their existing analytics capability, and hence need some guidance and assurance on the optimal path forward.
One of the key benefits that an AiAB can provide is independent oversight, guidance and practical advice on key strategic issues relating to the implementation, governance and growth of an AI capability. This can potentially save organisations from very costly mistakes: financial, regulatory and reputational.
They can also help more broadly in identify risks and strategic opportunities by leveraging AI. An AiAB can act as a guiding light to Board directors and the C-suite through the technically murky waters of AI - helping identify what is fit-for-purpose for their needs, and sharing best-practice approaches. This can also include technical guidance, such as independent model validation and oversight.
Beyond this, the AiAB can be a source of knowledge and learning, allowing the Board to leverage the broad experience, insights and network of its members.
The AiAB can also guide and advise on the establishment of a robust AI governance framework, helping incorporate AI ethics and human rights into strategy and operations. Organisations that leverage data enabled technologies – especially at scale – are entrusted by society to ensure privacy, and ethical use of data for decision making, not to mention being able to explain why certain decisions were made. AiAB’s can help oversee and guide the development of ethical, fair, robust, explainable and responsible AI-powered solutions – and the pressure to do so will only increase over the next 12 months and beyond.
One of the drivers for this is by regulators. In Australia, there’s growing regulatory focus on the technological operations of organisations, especially those whose analytics-powered solutions result in direct impact on their customers/society. It’s become imperative for organisations to now have robust and appropriate governance policies and procedures to address this, and to mitigate risk and harm.
In addition, an AiAB can help increase the credibility of the organisation, and strengthen confidence in customers, stakeholders and the public – by making it clear that they’re taking these complex issues seriously by sourcing independent expertise. They can also act as a talent pool for sourcing future Board members and Senior Executives.
Nonetheless, the Board must be strategic in determining the composition of its AiAB. In order to ensure ethical use of AI for decision making, a diversity of views and experiences is needed when striving for fair and unbiased outcomes. Technology alone cannot solve these issues, and data alone is not their only source. A cross-disciplinary team is needed, with representation from varied disciplines (technical, legal, risk, privacy and policy), including broader diversity (gender, race etc) that’s representative of society.
Organisations with a mature analytics capability can also greatly benefit from an AiAB. They’re not immune to the complexities and intricacies of finding a delicate balance between social licence (what is acceptable by the public), regulation (what is required by the regulator/law) and public good (the products and/or services offered the organisation). An AiAB can help balance these challenges with the strategic goals of the organisation, and help ensure alignment with appropriate and robust governance frameworks. Another challenge faced by many organisations is that technology moves faster than legislation/regulation. This is also something that an expert AiAB can help leverage for strategic gain.
To truly reap the benefits of AI, in a responsible and scalable way, AiAB’s are an integral strategic asset. Is your organisation on board?
Dr Alex Antic
Alex is a trusted and experienced Data & Analytics Leader, Advisor, Strategist, and a highly sought-after Speaker, Educator & Advisory Board member. He has a proven record of delivering innovative, strategic and successful initiatives in industry, government & academia, by developing and leading high-performance teams, hands-on technical expertise, and strategic advisory.
Alex possesses a rare blend of technical expertise and business acumen – acting as a linchpin to help organisations achieve their strategic goals by leveraging AI technology.
With a passion for helping organisations succeed, Alex is dedicated to shaping Australia’s future through the responsible use of analytics to drive impact and change. He’s experienced at simplifying complex technical issues, and helping organisations create a data-driven evidence-based decision-making culture.
He has 18+ years post-PhD experience and knowledge in areas that include Advanced Analytics, Machine Learning, Artificial Intelligence, Mathematics, Statistics and Quantitative Analysis, developed across multiple domains: Federal Government, Asset Management, Insurance, Academia, Banking (Investment and Retail) & Consulting.
Alex was recognised in 2020 as one of the Top 10 Analytics Leaders in Australia by IAPA (Institute of Analytics Professionals of Australia). Judged by a panel of analytics and business leaders, this accolade recognises excellence in strategy, impact, advocacy, innovation and leadership.
He holds a number of board and advisory roles across industry, government, startups and academia, including:
Technical Advisory Board (Australian Computer Society)
Academic Advisory Body (State Super)
Advisory Board (University of Adelaide – School of Mathematical Sciences)
Strategic Analytics Advisor (AUSTRAC)
Advisor (AddAxis)
Honorary Chief Analytics Adviser (Australian National University – Software Innovation Institute)
His qualifications include a PhD in Applied Mathematics, First Class Honours in Pure Mathematics, and a degree in Computer Science.
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