Balancing Risk & Reward With Generative AI

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Business leaders are eager to realize the enormous potential that ChatGPT as well as other generative AI models can offer.", "description": "When ChatGPT launched in November 2022, it took just two months to garner a record 100 million users and capture broad market attention. 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Business leaders are eager to realize the enormous potential that ChatGPT as well as other generative AI models can offer.</p><p><strong>Our key insights: </strong>Business leaders need to understand both the risks and rewards associated with GenAI.</p><ul><li>Given the potential disruptive impact of GenAI on businesses, it is imperative for leaders to actively engage with and experiment with this technology to stay competitive and adapt to the changing business landscape.</li><li>Despite the hype around GenAI, business leaders need to realize this technology is nascent and requires an awareness of and preparation for the associated risks. Some of these risks are still emerging, and only time will tell how the legal and regulatory landscape will evolve to mitigate or alter these prospects.</li><li>Consideration of ethics, governance, security, compliance and change management should form the foundation of any AI program.</li><li>Policymakers must develop a governance framework that supports both scalability and flexibility, allowing consideration for each GenAI use case based on several key characteristics. Developed policies must be granular enough to address a variety of AI usage scenarios and avoid the hazards of a one-size-fits-all approach to governance.</li><li>Embracing emerging technologies like GenAI can enhance operational efficiency and help an organization better meet the evolving needs and expectations of customers.</li><li>Moving forward requires fostering a culture of continuous learning and encouraging collaboration across teams to leverage GenAI technologies effectively and drive sustainable growth.</li></ul><p><strong>Realizing GenAI’s promise: </strong>GenAI presents a wide range of opportunities for organizations to innovate, enhance customer interactions and streamline operations, which can fuel growth and enhance competitiveness. This technology supports numerous use cases that can be piloted today:</p><ul><li><strong>Insights and decision support: </strong>Analyze large volumes of data to create actionable insights that improve decision making.</li><li><strong>Automation: </strong>Automate repetitive tasks, which reduces human error and increases velocity while also adapting to change.</li><li><strong>New business models: </strong>Fuel new business opportunities, such as creating interactive products or new services.</li><li><strong>Risk management and compliance: </strong>Monitor changes in regulations, as well as validate compliance, while also taking the necessary action to mitigate violations.</li></ul><p><strong>The bottom line: </strong>With GenAI, it all comes down to finding the right balance between risk and reward to uncover the benefits the technology can offer.</p><p><strong>Go deeper: </strong><a href="https://www.protiviti.com/sites/default/files/2023-10/success-with-gen-ai-requires-balancing-risk-with-reward-protiviti.pdf" target="_blank">Read more</a> about the best practices and steps that need to be taken to leverage GenAI successfully.</p> </div> </div> </div> <div class="column is-3-widescreen is-5-desktop is-offset-1-desktop is-hidden-touch"> <div class="o-pageHeroBanner__asideDsm"> <div class="m-ctaWithIcons m-ctaWithIcons--justifyEnd"> <div class="m-ctaWithIcons__wrapper flex-align-between"> <a href="/sites/default/files/2023-10/success-with-gen-ai-requires-balancing-risk-with-reward-protiviti.pdf" target="_blank" onclick="" class="a-button is-inline-block ghost_cta" target="_blank" aria-label="Download about, ">Download</a> <ul class="m-ctaWithIcons__smIcons is-flex"> <li class="m-ctaWithIcons__item"> <a class="m-ctaWithIcons__smLink is-flex is-justify-content-center is-align-items-center" 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