Why Your Company Needs an AI Strategy Urgently: Protect and Grow Your Business

The AI ​​revolution is ongoing, and I believe that almost any business or organization can benefit from automating routine tasks, increasing decision-making and improving operations and processes. .

However, AI can destroy a business if not used carefully. So, it really surprises me that most companies and organizations don’t have any kind of formal AI strategy.

Among the most serious risks are breach of privacy and confidentiality, disclosure of sensitive information, and willful infringement of copyright.

Creating such a strategy should be at the top of every organization’s to-do list, regardless of size or industry. So, in this article, I will examine the risks that companies are putting themselves in by allowing the uncontrolled use of AI, as well as the benefits of a well-thought-out strategy when it comes to managing the complex and sometimes complex waters. business risk. AI.

Why is using AI dangerous?

Long gone are the days when only big companies like Google or Microsoft used AI. Every day, millions of businesses use empowering technology like chatbots for customer support, content creation and audience analysis in marketing, screening job applicants in HR, finding deals of fraud, improving supply chain performance or extracting business intelligence from their data.

Unfortunately, in my experience, many of them are unaware of the dangers they are putting themselves in.

Privacy and security issues are perhaps the most obvious, but they are surprisingly often overlooked. Employees who use tools like ChatGPT to summarize or respond to emails are often unaware that they may be exposing private information to the world.

However, others simply assume it’s not a problem because they haven’t been told not to!

Several companies have fallen victim to the risks associated with lack of control around AI.

For example, in 2023, Samsung banned the use of ChatGPT after discovering that employees had entered sensitive data.

Another example is that HR departments are regularly using AI tools to evaluate job applicants. However, unless due care is taken to reduce the risk of bias, this can lead to discrimination, which may leave the business open to legal action.

The same is true of businesses that use AI tools to make decisions that can affect people’s lives – for example, processing loan applications or providing healthcare equipment.

When it comes to IP and copyright issues, businesses that rely on AI-generated content can find themselves using content without permission. Several court cases are currently being brought by artists and media organizations, who say their work was used to train the algorithm without their permission. The outcome is uncertain at this time, but it could cause more problems for businesses that use these tools.

And accountability is also an important issue. Are businesses and employees fully aware of their need to take responsibility for the decisions AI makes on their behalf? The lack of transparency and explainability associated with many AI systems can make it difficult for them to do so. But this is unlikely to serve as an excuse if they find themselves in hot water for their actions!

Getting any of these things wrong can cause significant financial, legal and reputational damage to the company. So what can be done?

How AI Strategy Reduces Risk

If a business wants to take advantage of the transformative opportunities offered by AI, a clear, detailed and comprehensive AI strategy is essential.

Establishing guidelines on what is acceptable and unacceptable use of AI should be the first step to protect against potential harm. However, it is important to understand that an effective AI strategy goes beyond risk reduction – it is also very helpful for innovation and growth.

A well-designed AI strategy not only protects; it strengthens. By clearly articulating how AI should be used to improve productivity and drive innovation, it provides a framework for employees to confidently explore and leverage AI technologies. This clarity fosters an environment where creative solutions are contained within safe and ethical boundaries.

Addressing these issues proactively will help businesses identify the technical details needed for safe and responsible use of AI.

For example, understanding the data policies around cloud-based public AI tools like ChatGPT allows businesses to recognize where other private, secure systems – such as infrastructure – can be valuable.

When this policy is in place, any organization puts itself in a more difficult position. Rather than stifling them, it will empower organizations with the knowledge that they can experiment and innovate with confidence. An AI strategy acts as a launching pad, creating a framework for the responsible and effective use of AI that can drive competitive advantage.

The rapid adoption of AI across industries and the risks posed by this mean that an AI strategy is not just a good idea – it is essential to future-proofing any business.

In addition, putting an acceptable strategy for the use of AI in place helps the company position itself as a serious player in the AI ​​game, rather than another business jumping on the bandwagon. At a time when AI capabilities are rapidly becoming a hallmark of industry leadership, having a clear AI strategy positions your company as a responsible, forward-thinking player. This can attract investors, partners and top talent who prioritize ethical values ​​and corporate responsibility.

It also helps demonstrate to customers, investors and other stakeholders that the organization is committed to building trust and implementing AI in a transparent and ethical manner.

This will be very important when it comes to recruiting and retaining talent. People with the experience and expertise needed to implement organizational AI systems are in high demand. Naturally, they are attracted to companies that can demonstrate that they are serious and mature in their thinking and practices when it comes to AI.

This is something I believe all leaders must prioritize if they want to take advantage of the opportunities offered by AI. A comprehensive AI strategy not only protects; it also enables. It explains to all employees how AI should be used to improve productivity and innovation, fostering an environment where creative solutions are nurtured within safe and appropriate boundaries.