AI Dangers for Small Business Owners to Keep in Mind
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AI Dangers for Small Business Owners to Keep in Mind
Kate Gingold
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AI Dangers for Small Business Owners to Keep in Mind

While Artificial Intelligence has lots of potential to help our businesses, there are pitfalls as well, so let’s pause the discussion to identify some of the hazards.

It’s exciting to brainstorm AI assistance with tedious tasks that will make our businesses more efficient, but it’s essential that we acknowledge there are challenges as well. Here are a few that we need to consider before integrating AI tools into our workday:

Algorithm Bias 

AI systems learn from data, but if that data contains biases, our AI tools may produce unfair or inaccurate results. For example, biased hiring algorithms may favor certain candidates over others. In one study, AI assumed that kindergarten teachers were female, a bias that isn't necessary and may be problematic.

To minimize bias, diverse and representative data is needed to train AI models. The major AI companies are trying to eliminate bias through better training and through the use of human oversight to ensure fairness. Also, some AI tools that we might use in our businesses may include built-in bias detection.

Ethical Considerations 

The attraction of AI tools is to grow our businesses while offloading some of the work. Unfortunately, careless use of AI can hurt more than help. The trust we have painstakingly built with customers and employees can be blown up by the obvious rejection of human interaction in favor of the artificial.

To counteract that response, we need to be transparent about how we are using AI in our businesses and by providing explainable human reasons for following any AI-made decisions. And certainly deceptive AI tactics such as fake reviews or chatbots pretending to be humans should be avoided at all costs.

Customer Data Protection

Artificial Intelligence tools often rely on customer data, which means privacy should be a top priority. Mishandling data can lead to security breaches and legal consequences, and nobody wants that to happen.

Whether we are engineering our own AI prompts or using commercial AI tools, it’s important to follow protection laws such as the General Data Protection Regulation and the California Consumer Privacy Act. Other best practices include limiting data collection to what’s absolutely necessary, encrypting sensitive information, and informing people on how their data is being used.

By thinking ahead and taking proactive steps, small business owners will be able to leverage Artificial Intelligence effectively while still maintaining the trust and ethical responsibility on which our customers and employees depend. AI is a powerful tool, but like Uncle Ben said, "with great power comes great responsibility."

Are you looking to implement AI tools for your business? The Sprocket team can help you add form-filling assistants, chatbots, and similar AI tools to your website. Call us today to learn more!

Photo by Eamon Up North:\

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Kate Gingold

Kate GingoldKate Gingold

I have been writing a blog with web marketing tips and techniques every other week since 2003. In addition to blogging and client content writing, I write books and a blog on local history.

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I have been writing a blog with web marketing tips and techniques every other week since 2003. In addition to blogging and client content writing, I write books and a blog on local history.

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