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HR, Meet AI Providing Leadership in an Age of Smart Machines Julia Kirby, Harvard University Press Author, Only Humans Need Apply: Winners and Losers in the Age of Smart Machines @JuliaKirby After the Robot Invasion … After the Robot Invasion … Who needs HR? Why that’s a Legitimate Question We're at the very beginnings in the world of seeing how you can take AI, artificial intelligence, and really provide business applications around it. That's an area that we're investing quite actively in: finding opportunities to use AI solutions and machine-learning solutions to help us improve existing processes, become smarter at our business, serve clients better. - Don Duet, cohead of Goldman Sachs technology division Welcome to the Boston Economy Financial Services Tech/Biotech Medical/Health Care Manufacturing Fishing Tourism Education Financial Services “Robo Advisors” now answer questions for retail investors about their optimal portfolios and at what rate they should tap retirement savings. Vanguard’s Personal Advisor Services serves many thousands. Tech and Biotech Berg, a biotech startup in Framingham, MA has developed one of the world’s first cancer drugs guided in development by artificial intelligence Medical and Health Care “We now have the ability to expand the field of radiology beyond its predominant state of providing visualization for human interpretation.” – Keith J. Dreyer, Vice Chairman of Radiology at Mass General Hospital Manufacturing “There are advantages to machine intelligence to augment the capacity of warfighters – the same way Google augments our ability to process information, or a smartphone“ – Paul Scharre, Center for a New American Security Manufacturing “In the next five years AI will start moving onto machines. Eventually, the machines will be so intelligent they will start collaborating themselves and optimizing things. This is nirvana.“ – Achalesh Pandey, GE Global Research Fishing! Tourism “Otonaroid” is a humanoid robot “working” at Tokyo’s National Museum of Emerging Science and Innovation as a very knowledgeable guide for visitors Education Intelligent Tutor Systems are designed to track the “mental steps” of the learner during problemsolving tasks to diagnose misconceptions and estimate the learner’s understanding of the domain What Do These Have in Common? All feature machines doing the work of the most highly educated people … Delivering the core value of the enterprise … and relieving the people who did that work of the hardest cognitive work of their jobs Where’s the Higher Ground? Cognitive/ Analytical Computers Knowledge Work Jobs Transactional Computers Wave One took the dirty and dangerous Wave Two took the dull Wave Three takes decision-making Admin/ Service Jobs Mechanical Systems Manual Labor Jobs 18th-19th C. 20th C. 21st C. What’s left for humans? 16 A Very Different Prediction Human resources will become even more human-oriented … and good HR will become more essential than ever. Aim for Augmentation, not Automation The leverage has to go both ways Augmentation Makes a Bold Assumption It assumes that humans’ relative strengths … Strategic imagination Empathy Creativity Curiosity Passion Taste are highly leverageable Five Possible Moves to Make Room for Smart Machines ►Step Up ►Step In ►Step Aside ►Step Narrowly ►Step Forward 20 Machines Advances Are Easy to Copy Capital equipment used to be the key to competitive advantage The human contribution was plentiful and fungible But software-based capabilities are instantly disseminated Now the human element will be the constraining factor The “ATM Effect” Will Be Rampant Inventor John Shepherd-Barron thought of the idea in the bath The first ATM was installed by Barclays in Enfield, June 27, 1967 Today there are about 3.5 million in the world No enduring source of advantage Human Strengths Will Remain Key Hard to copy Hard to scale Continued source of advantage When Innovation is Essential We’re now in an innovation-based economy Machines’ strength is producing yesterday’s innovation more efficiently Humans’ strength is imagining and pursuing the new new thing Your Mission as an HR Leader First: Augment Your Own Team Your Mission as an HR Leader Second: Advocate for Augmentation throughout the enterprise Your Mission as an HR Leader Third: Help people find the right “steps” for them Your Mission as an HR Leader Fourth: Apply all you know about change management Your Mission as an HR Leader Fifth: Hire for Human Strengths You’ve Been Hiring for Digital Strengths Lake Highlands High School Slide Rule Team, 1969 You’ve had to hire for the hardest parts of the job Computational capabilities Protocol adherence Dispassionate judgment Analytical power Speed and Efficiency Single-minded focus … while hoping for the “user interface” to go along with these Now You’ll Hire for Human Strengths You’ll look for qualities that will provide an edge Ingenuity Empathy Creativity Ethics Courage Taste Humor Passion … while hoping for sufficient digital acumen Your Mission as an HR Leader Sixth: Focus more training and development on “soft” and “right brain” skills Think Bigger Instead of asking: what work will digital labor take away from us next? ... we need to ask: what work will digital labor enable us to take on next? Thank you! 34 The So-Called Robot Invasion The World of Smart Machines Level of Intelligence Human Support Repetitive Task Automation Context Awareness and Learning Self-Aware intelligence Analyze Numbers BI, Data viz, hypothesis driven analytics Operational analytics, scoring, model mgmt Machine learning, neural nets Not yet Digest Words, Images Character and speech recognition Image recognition, machine vision Q&A, NLP Not yet Task Type The Great Convergence Perform Digital Tasks (Admin and Decisions) BPM Rules engines, RPA Not yet Not yet Perform Physical Tasks Remote operation; Industrial robotics, collaborative Robotics Fully Autonomous Robots, Vehicles Not yet And It Really Is a Wave … Driving Marketing Financial Advising Drug Discovery Radiology Legal Services Insurance Underwriting Business Writing! A Scary Prospect ► ► ► ► “I am in the camp that is concerned about super intelligence…I don’t understand why some people are not concerned.” (Bill Gates) “The development of full artificial intelligence could spell the end of the human race.” (Stephen Hawking) “Advancing machine intelligence is the most important problem facing the world today.” (Nobel economist Robert Schiller) “We will soon be looking at hordes of citizens of zero economic value. Figuring out how to deal with the impacts of this development will be the greatest challenge facing free market economies in this century.” (Michael Malone, Bill Davidow) Why Bring This on Yourself? To ensure your competitive advantage Which will remain (or revert to) your human element You don’t need fewer people. You need people more focused on what only people can do. What’s Left to Humans? You have answered this in the past by saying: the next, harder level of cognitive hard work. That’s still true. But you’re thinking about things wrong now if you think “harder” refers to greater feats of computation, pattern recognition, or memory recall Ask an AI developer what’s “harder” and they’ll say empathy, creativity, humor, taste … Why are these harder? Partly because they are unstructured. Partly because people actually won’t accept them from machines. Yet it isn’t enough for your people to claim these realms; they have to keep getting better at them. The point of your digital labor investments must be to allow people to focus on raising their game. But the winning enterprises will win only if they have augmented these strengths. 41 How You’ll Manage Augmentation 1: Identify High-Impact Decisions How You’ll Manage Augmentation 2: Track Technology Developments How You’ll Manage Augmentation 3: Consider the Constraints Placed on Machine Autonomy How You’ll Manage Augmentation 4: Build Your Augmentation Solution How You’ll Manage Augmentation 5: Manage the Change How You’ll Manage Augmentation 6: Embark on a Project, but Envision a Platform How You’ll Manage Augmentation 7: Put Someone in Charge