EY CEO Survey: Two thirds see AI as ‘force for good”, but ethical concerns persist

In a landscape where South African enterprises are increasingly relying on digital transformation to stay competitive, the EY CEO Outlook Pulse survey has found CEOs’ faith in artificial intelligence (AI) benefits tempered by concerns about associated risks and ethical concerns.

The survey canvassed the opinions of 1 200 global CEOs and has revealed how executives currently use AI as well as their plans to leverage the technology in the future.

Kavi Pather, EY Africa Artificial Intelligence and Advanced Analytics Leader said: “The headline-grabbing explosion of generative AI has captured the imagination of business leaders, investors and consumers alike.

“Tens of billions of dollars have been invested into generative AI applications, with marketing and sales and software coding being the most-funded use cases.

“CEOs clearly see the huge upside opportunities of AI.”

According to the survey, they recognise its potential to drive productivity and positive outcomes for all stakeholders.

“Two-thirds (65%) agree or somewhat agree that AI is a force for good – driving business efficiency and therefore creating positive outcomes for society, such as innovations in health care treatments.

“A similar cohort believes the impact of AI replacing humans in the workforce will be counterbalanced by the new roles and career opportunities that the technology creates.

“Interestingly, they reject fears that AI could negatively impact workforce numbers,” Pather added.

But CEOs are simultaneously concerned about any unintended consequences of AI – reflecting a broader confluence of views in media, society and contemporary culture where the exciting potential of artificial intelligence is often contrasted with the tropes of dystopian science fiction.

“Almost two-thirds (65%) of CEOs say more work is needed to address the social, ethical and criminal risks inherent in the new AI-fueled future – from cyberattacks to disinformation and deepfakes. A similar number also worry that not enough is being done to manage the significant implications and unintended consequences for both the business community and society more broadly, “ Pather noted.

Government policymakers and regulators have a significant role to play in establishing rules and guardrails for how generative AI is used. And CEOs also see a role for the business community to engage much more on the ethical implications of AI and the impact of its use on key areas, such as privacy. They also highlight AI’s potential to disrupt the entire digital environment that exists today, especially with regard to privacy and online security.

Despite these concerns, CEOs are devising investment strategies to maximize the current and future benefits that AI can bring to their businesses.

Capital allocation is being focused on these new technologies. With nearly a half of CEOs already fully integrating AI-driven product or service changes into their capital allocation process and actively investing in AI-driven innovation.

“As South African businesses, like their global counterparts, grapple with the AI revolution, the results of the EY CEO Survey are a timely reminder of the nuanced relationship leaders have with emerging technologies like AI. While the technology offers promising advancements in various sectors, CEOs are rightly cautious about the ethical and social implications.

“It's a balancing act between innovation and responsibility. With 45% of CEOs planning significant investments in AI in the coming year, businesses are well-positioned to be part of this transformative trend.

“However it is incumbent leaders to navigate the complex terrain of AI with a keen eye on ethics, risk and appropriate governance. Only then will they unlock AI's potential as a force for good in both business and society.” Pather concluded.