{"id":15235,"date":"2019-10-23T08:47:54","date_gmt":"2019-10-23T08:47:54","guid":{"rendered":"https:\/\/www.icebreakerexecutive.com\/?p=15235"},"modified":"2019-10-23T08:47:54","modified_gmt":"2019-10-23T08:47:54","slug":"house-of-lords-all-party-parliamentary-group-the-enterprise-adoption-of-ai-21-oct-2019","status":"publish","type":"post","link":"https:\/\/winningthinking.co.uk\/?p=15235","title":{"rendered":"House of Lords All Party Parliamentary Group the Enterprise Adoption Of AI 21 Oct 2019"},"content":{"rendered":"<p>House of Lords All Party Parliamentary Group the Enterprise Adoption Of AI 21 Oct 2019<\/p>\n<p>Panel Representation from REC, Rialto, KPMG, PWC, Goldsmiths Uni<\/p>\n<p>Observations and notes from the meeting:<\/p>\n<p>Exec Summary<\/p>\n<p>The business case is missing the negative impact that we can\u2019t manage: too many issues raised with weak and conflicting analysis. Dissent even at Gov level is squashed e.g. \u201c we can\u2019t cover all of the issues!). The Big 4 dominate these APPG panel discussions and the tech discussion. The big4 are conflicted, their analysis is weak conflicted and makes little sense:<\/p>\n<p><a href=\"https:\/\/www.icebreakerexecutive.com\/house-of-lords-all-party-parliamentary-group-the-enterprise-adoption-of-ai-21-oct-2019\/rialto-big4-self-serving-advice\/\" rel=\"attachment wp-att-15240\"><img decoding=\"async\" class=\"alignnone size-full wp-image-15240\" src=\"https:\/\/www.icebreakerexecutive.com\/wp-content\/uploads\/2019\/10\/rialto-big4-self-serving-advice.jpg\" alt=\"\" width=\"1183\" height=\"297\" \/><\/a><\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0pressure to push the tech gravy train<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0regardless even when it does not look like tech is good for their client\u2019s business nor society.<\/p>\n<p><a href=\"https:\/\/www.icebreakerexecutive.com\/house-of-lords-all-party-parliamentary-group-the-enterprise-adoption-of-ai-21-oct-2019\/conflicting-ai-advice\/\" rel=\"attachment wp-att-15238\"><img decoding=\"async\" class=\"alignnone size-full wp-image-15238\" src=\"https:\/\/www.icebreakerexecutive.com\/wp-content\/uploads\/2019\/10\/conflicting-ai-advice.jpg\" alt=\"\" width=\"1163\" height=\"795\" \/><\/a><\/p>\n<p>Macro picture<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0What does good look like? Who is accountable?<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0People are losing our ability to stay in control, exponential development rate and fear of missing out, and becoming addicted \/ excessive time to the connected society<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0UK ONS 1m fewer jobs paying more than \u00a3100k and the skills required are greater<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Big 4 analysis is weak, what is their motivation to sell \/ not? No macro picture: conflicting analysis \/ No view of big picture or indication of viability. Overselling upside?<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0We still know so little about people and people well-being, tech plays to FOMO fears 42%\u00a0have no tech business plan<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Impact on reducing wages, due to relative reduced human value add<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Focus on product commodification to enable digitise reduces value add<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Reckless statements; KPMG \u00a3630bn to pay for \u00a390bn retraining costs<\/p>\n<p>o\u00a0\u00a0Who will pay for mass retraining?<\/p>\n<p>o\u00a0\u00a0Won\u2019t be able to train fast enough anyway \u2013 even the techies<\/p>\n<p>o\u00a0\u00a0There are near term techie job losses due to the next wave of chip design \/ 5G<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0PWCs 2018 report needs challenging underlying assumptions look flawed<\/p>\n<p>Competitive picture<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Customer focus \u2013 bots, and intensity of surveillance, often no people contact option<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Parasitic vs value-adding? 90% of Fin Tech\u2019s are payment orientated<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Revenue reductions \u2013 value and profit loss<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Loss of competitive advantage- digitisation makes it easier to switch<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Loss-making startups \u201cdestruction vs disruption\u201d, anticompetitive and free of charge services \u2013 giving away sustainable sources of value. Paradoxically anticompetitive legislation was based up overcharging not giving value away!<\/p>\n<p>Society impacts without solutions<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Odd utopia positioning: middle management: \u201cdefine dream job\u201d, how to achieve using tech, open possibility, growth mindset (abused and normalised!)<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Operating model \u2013 move from silo \u2013 fluid, customer-facing<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Flawed unaffordable assumptions UBI \u201cLeisure\u201d \u2013 no one will pay for people to do nothing reducing tax collections will not make this possible<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Can\u2019t reskills those with lower IQs: people will become marginalised from work<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0People first vs cost-benefit<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Government debate closing discussions around managing the downside<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Industries such as cars will employ fewer workers \u2013 simpler products electrification vs combustion engine<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Do we all want to be techies?<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Augmentation vs automation of roles \u2013 the interface is damaging manipulation, polarising, generalising;<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Tech in recruitment \u2013 will create generalisations from data, people are not standard? Trends to commoditisation of labour<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Increasing labour dissatisfaction with roles 35% fed up, only 9% of young want a promotion!<\/p>\n<p>Business Risk<\/p>\n<p>o\u00a0\u00a0Sophisticated AI &#8211; Cyber-attacks \u2013 won\u2019t be able to cope<\/p>\n<p>o\u00a0\u00a0Google vs amazon moist advanced AI, collaborating with Chinas JD.com profitless growth \u2013 focussed on zero jobs!<\/p>\n<p>Regulatory<\/p>\n<p>o\u00a0\u00a0How can we protect ourselves from China? Without having to follow their race \u2013 bottom<\/p>\n<p>o\u00a0\u00a0Ultimately competition of tech intermediators is a race to the bottom: price fight<\/p>\n<p>o\u00a0\u00a0ICO \/ FCA Regulation will lag \u2013 and never catch up, smoking took 50 years! Needs a new regulator<\/p>\n<p>o\u00a0\u00a0GDPR, is unrealistic meaningful standards cant cope with machine learning \u2013 the reason why only recourse refer to a person, people won\u2019t understand the decisions \/output<\/p>\n<p>o\u00a0\u00a0governance explain-ability how can tech decisions be understood and rationalised?<\/p>\n<p>Operating issues<\/p>\n<p><strong>REC Tom Hadley<\/strong><\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Job role most important decision someone makes<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Jobs slow being removed from the market<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0The focus is on specific roles and tech reinforces<\/p>\n<p>Questions<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Who will manage the relationship<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Interviews robots \u2013 love it!<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Sifting<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Regulatory aspects \u2013 H&amp;S etc, gov regs<\/p>\n<p>\u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Equitable fair bias<\/p>\n<p><strong>Maria Axente PWC<\/strong><\/p>\n<p>Slow adoption only 6% large scale adoption, 5 key factors:<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0What is the tech org structure, innovation team<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0People upskilling<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Trust \u2013 autonomous bias, global cultures are different, who is responsible?<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Data strategy, leveraging dormant data, open new opportunities, not just problem solving, create value?<\/p>\n<p>Role of leadership; middle management is key<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Art of possible<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Shared vision<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Risks \/ security \/ economic<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Social risks<\/p>\n<p>5.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Augment jobs, work together<\/p>\n<p>6.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Ethics<\/p>\n<p>IT is left out of the discussion &#8211; really?<\/p>\n<p>This is a link to my challenge to the PWC AI impact summary of 2018<\/p>\n<div class=\"video-shortcode\"><iframe title=\"Whilst at Micro Level AI looks OK, let&#039;s not underestimate how AI blindsides leadership at macro level.\" src=\"https:\/\/player.vimeo.com\/video\/365124016?dnt=1&amp;app_id=122963\" width=\"853\" height=\"480\" frameborder=\"0\" allow=\"autoplay; fullscreen; picture-in-picture; clipboard-write\"><\/iframe><\/div>\n<p><strong>Chris Brewer Goldsmiths Uni<\/strong><\/p>\n<p>Microsoft 6m research<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a048% are experimenting<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a08% scaling<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a031% not using AI at all<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Use grew from 11-24% last year<\/p>\n<p>3 areas<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Experiment and democratisation<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a011.5% better results (measures?)<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0What should AI do vs can do?<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0ROI<\/p>\n<p>5.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Reskilling<\/p>\n<p>Adult learning will be an ongoing requirement plan 10 years ahead<\/p>\n<p>Tech makes bias visible vs reinforces bias, and focus to create steps to resolve it<\/p>\n<p><strong>Richard Chiumento CEO Rialto <a href=\"https:\/\/www.icebreakerexecutive.com\/house-of-lords-all-party-parliamentary-group-the-enterprise-adoption-of-ai-21-oct-2019\/rialto-appg-evidence-summary-for-21-10-2019\/\" rel=\"attachment wp-att-15241\">Rialto APPG evidence summary for 21.10.2019<\/a><\/strong><\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0The pace and progressing exponential rate<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0270% increase in implementing AI<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Final innovation \u2013 end of the human race<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a050% of fortune 500 companies have gone, lack of digital \u2013 or digital?<\/p>\n<p>Warehouse employment comparison: picking 27000 orders; now employ 40 vs 600 staff originally<\/p>\n<p>Last year 16.5bn investment in AI<\/p>\n<p>There are now 1m jobs that pay more than \u00a3100k<\/p>\n<p>Conflicting picture in terms of work impact, WEF, Oxford Uni, PWC, &amp; KPMG<\/p>\n<p>IBM estimate 120m will have to be reskilled<\/p>\n<p>\u201cLeisure\u201d \u2013 who will pick up the tab?<\/p>\n<p>Stagnating wages,<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a01 robot per 1000 workers reduces wages 5%<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Average skills vs skills greater gap than ever<\/p>\n<p>Recommendations<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0C suite director reskilling<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Lifelong learning, importance to keep up<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Inconsistent in skills learning must be faster<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Contradictory evidence<\/p>\n<p>5.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Tax robots<\/p>\n<p>6.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Legal obligations to reskill \u2013 who will pay for will cost 90Bn per 1m workers<\/p>\n<p>7.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Each individual take own responsibility, stay curious keep up \/ give up!<\/p>\n<p>8.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0MIT suggests plan personal development ahead 10 years<\/p>\n<p><strong>KPMG Justin Anderson<\/strong><\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Value impact of data and algorithms to company valuations<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a3630Bn tech upside to UK economy??! \u2013 another conflict<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Middle management is key, often left out, Kanban systems etc help<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Accelerate<\/p>\n<p>5.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Define successful outcome, productivity\/efficiency<\/p>\n<p>How to push<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Data systems<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Outside in<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Inside out<\/p>\n<p>UK framework<\/p>\n<p>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Made up of Ocado, gov officials, academic<\/p>\n<p>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Need multi-industry input<\/p>\n<p>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Women?<\/p>\n<p>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0agility<\/p>\n","protected":false},"excerpt":{"rendered":"<p>House of Lords All Party Parliamentary Group the Enterprise Adoption  [&#8230;]<\/p>\n","protected":false},"author":5,"featured_media":15237,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[31],"tags":[],"class_list":["post-15235","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-artificial-inteligence"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>House of Lords All Party Parliamentary Group the Enterprise Adoption Of AI 21 Oct 2019 - www.winningthinking.co.uk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/winningthinking.co.uk\/?p=15235\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"House of Lords All Party 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