Generative Artificial Intelligence in the Business Environment

Advances in Generative Artificial Intelligence

Recent advances in generative artificial intelligence (AI) have had a significant impact on society, particularly in the interaction between humans and machines. The launch of ChatGPT in November 2022 demonstrated the potential of this type of application, making it clear that machines can now not only understand language and images but also generate original content that expresses concepts and ideas of their own creation.

Such was the initial impact that, in March 2023, a group of prominent figures signed an open letter requesting a "pause on giant AI experiments." One of their main arguments was that "advanced AI could represent a profound change in the history of life on Earth and should be planned and managed with the corresponding care and resources." Among the signatories were Elon Musk, Steve Wozniak, and Yuval Noah Harari.

However, this pause has not materialized. To date, countless applications have emerged that allow the generation of texts, images, audio, and unprecedented videos, produced by systems trained on vast amounts of information. These include new versions of ChatGPT itself, Copilot, DALL-E, Midjourney, and Bard, to name just a few of the most well-known.

Expansion of Generative AI in the Business Environment

OpenAI, the developer of ChatGPT, released an application programming interface (API) that allows developers to integrate AI into their applications, as well as a version of its conversational bot designed for enterprise work teams.

Microsoft, for its part, launched the Copilot product, integrated into its enterprise platforms 365 and Dynamics. SAP and other enterprise management products are also adopting AI into their application suites. As a result, the supply of generative AI for various business applications is growing rapidly.

Impact and Adoption in Companies

The Organisation for Economic Co-operation and Development (OECD) published the results of a survey of workers and employers in the financial and manufacturing industries. The study reveals that workers in these sectors tend to be very positive about the impact of AI on their work. Approximately 80% of AI users said that the technology had improved their job performance, compared to 8% who stated that AI had made it worse. However, some workers expressed concern about the impact of AI on job stability and wages.

A survey we recently conducted (published in the IEEE Engineering Management Review journal) explored the views of electrical and computer engineers on the impact of AI on their jobs. The questionnaire covered demographic information, levels of AI knowledge, preferred tools, applications used, perceived impact, and attitudes toward job replacement. The study included participants from 20 countries across the Americas.

According to this research, 79% of engineers indicated having a medium or low level of knowledge of generative AI tools. Nevertheless, even with these low levels of knowledge, 69% of participants confirmed having used AI tools in their work within the past six months, with a notable adoption rate of 85% among respondents under 30 years of age.

In line with the OECD survey, 79% of respondents reported a positive impact on their work. Only 0.4% considered the impact on their work to have been negative. However, 15% of respondents expressed concern about job security due to AI.

Preliminary results from another survey we conducted across three organizations that provide technology services in Uruguay indicate that 82% of workers have medium, low, or no knowledge of generative AI, yet 72% of those same workers regularly use some form of these tools for their work. Eighty-two percent indicated that the impact of AI use was positive for improving productivity in their work, while 16% reported that current or near-future AI applications could put their jobs at risk.

All of these surveys present very similar results. In general, they indicate that there is limited knowledge about how generative AI technologies work (even among technically skilled personnel). Nevertheless, there is widespread adoption for use at work and a very positive perception of these technologies. However, a significant percentage of people believe their jobs may be at risk in the near future.

Current Challenges and Expectations

In November 2023, the consulting firm Gartner placed generative AI at the "peak of inflated expectations" in its classic hype cycle analysis. According to this assessment, the plateau of productivity will not be reached for another 2 to 5 years.

Those of us who have been intensively using this type of application are already beginning to experience a certain decline toward the inevitable trough of disillusionment. Once the incredible impact of a machine being able to generate original textual, visual, and audio content wears off, the final results do not always meet expectations in terms of the completeness and accuracy anticipated.

Nevertheless, the constant release of new features and applications, along with the naturalness with which conversations can be maintained, continue to fuel the optimistic outlook and the high degree of adoption at work reported in the surveys.

Corporate AI Policies

It is important for business leaders to recognize that, even in the absence of specific policies and guidelines, it is very likely that their employees are already using generative AI tools. These applications do not always guarantee the accuracy of the information they generate. Furthermore, the security of data processed by public AI systems may be uncertain.

This scenario, combined with generally limited knowledge about their operation, can present significant risks for companies and organizations. It is therefore necessary to develop corporate policies that establish guidelines for the appropriate, responsible, secure, and ethical use of AI tools and to implement training plans. Awareness about proper use and the potential problems and risks associated with using these technologies should be promoted.

Toward a Strategic Integration of AI in the Workplace

The general optimism about the future of AI in the workplace can be leveraged to promote these tools within companies and organizations. It is advisable to foster open communication so that workers can express their concerns related to AI, particularly regarding job security and role changes.

Likewise, leaders must develop corporate policies and strategically select which AI tools to use in order to improve efficiency while simultaneously maintaining security and an emphasis on human creativity and critical judgment.

Jose Joskowicz, Principal Engineer.

Jose is a Telecommunications Engineer from Universidad de la Republica (Udelar) and holds a PhD in Telematics Engineering from the University of Vigo, Spain. He holds an international certification as a Project Management Professional (PMP) issued by the Project Management Institute (PMI). He is an associate professor (grade 4) at the Faculty of Engineering at Udelar, a lecturer at Universidad de Montevideo, and a member of the National System of Researchers.

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