Website of the KPMG event series https://kpmg.com/de/de/home/events/uebersicht/kpmg-zukunftsgipfel.html
If I invite you in this and a following post to join me on a journey to encounter AI, I do it as a social scientist and human being who wonders what is already happening and what may be coming. I was inspired to these posts firstly, by attending on 24 April 2023 the online Future Summit of KPMG Germany “Zukunftsgipfel: Digitale Transformation”[1] and secondly, because I am already observing changes in my own work in the field of international cooperation, urban and regional development.
One of the lessons I learned at the KPMG online session is that AI will impact us all, in whatever profession or country we work and live. And it is already happening. I am very curious but also concerned about what Artificial Intelligence AI will bring to my own work and to the challenges we are facing around the world.
For instance, ChatGPT is a chatbot developed by OpenAI and launched on November 30, 2022. Based on Large Language Models LLM, it enables users to refine and steer a conversation towards a desired length, format, style, level of detail, and language. This can be inspiring but also manipulating. It is just about 18 months since ChatGPT was launched but according to a poll by KPMG already one third of the companies in Germany started AI initiatives and another third is considering to do so soon. Globally, ChatGPT has already more than 100 million users. Where will it be and where will we be after another 18 months?
The development is taking place in three sectors: The development of AI infrastructure and of Large Language Models LLM (dominated by US and Chinese companies) and the development of applications (where Germany seems to be one of the advanced and strongly engaged countries).
Speakers at the KPMG Future Summit event agreed that AI will be beneficial but also disruptive and that it would be better we disrupt ourself and get ready now than to wait until we get disrupted by the transformation coming up. A steep learning curve is ahead of us.
AI as a combination of hardware, software and learning needs data strategies on the side of companies but companies and also other institutions need to understand AI as an integrative part of their overall strategies and processes. In client services and marketing AI will revolutionize client relations by not only answering direct questions but by learning (!) from the answers clients give. In return clients will develop higher expectations regarding services delivered. And yes, there are also concerns that a learning software may control users. AI is creative and there might be invisible parts of this creativity if the new sector isn’t supervised properly. Several speakers at the KPMG event referred to the new AI Act of the European Union as the most comprehensive but also pragmatic regulation on AI to date. However, individuals, NGOs and companies all have to take action now to use opportunities and to prevent being sidelined by the new technology.
In future, there will be less administrative work because AI substitutes many data management and other work processes. And where AI finds not all answers it will come up with proposals, discuss them with the user and generate better proposals. At the workshop, I got the impression that jobs like tax advisors and other admin professions might become fully or in part substituted by AI applications while more managers will be needed to supervise AI processes and outputs. Certainly, many job profiles will change within the next years. Of course, AI governance requires not only governmental oversight but also capacities for change management on the side of companies, the society and individuals. And this will generate new jobs in capacity building.
Like in other transition periods, there will be those who immediately embrace AI and those who reject the upcoming transition. After all, AI is like a rocket which is already flying while it is still under construction. Risks and opportunities go hand-in-hand. One speaker at the KPMG event, I think it was Dr Feiyu Xu (member of the supervisory boards of ZF and Airbus companies) stated that each of us is already confronted with AI before we have breakfast in the morning. I don’t know if that is already true for each of us but I agree that it soon will be the case and in the following post I want to discuss how this impacts my own fields of work.
What do you think? Did you gain already experience with artificial intelligence?
Please find the second blog post on Artificial Intelligence - AI as co-pilot in urban and regional planning and international cooperation here https://www.ugraute.de/artificial-intelligence-ii