NTT Data Report: Organizations Struggle to Balance Rapid AI Growth with Accountability and Ethics            

More than 80 percent of executives acknowledge that leadership, governance, and workforce readiness are failing to keep pace with AI advancements, putting investment, security, and public trust at risk, according to new research from global IT services firm NTT Data.

“The chasm between AI’s breakneck innovation and the systems and frameworks needed to govern its responsibility — is growing,’’ Andrew Wells, NTT Data’s chief data and AI officer, told eWeek. “Somehow, it’s our nature to believe that, as a market matures, risk drops.”

The AI Responsibility Gap Is Widening

Wells said he was surprised by “how fractured the C-suite is on this issue: There is no consensus, statistically, on the responsibility-innovation balance.” More than 60 percent of respondents acknowledge the gap is a significant issue, while 81 percent of top-performing organizations place high importance on balancing innovation with responsibility, Wells noted.

The report, The AI Responsibility Gap: Why Leadership Is the Missing Link, also finds that more than 80 percent of respondent leaders cited unclear government regulations as barriers to AI investment and implementation, leading to delayed adoption.

Significantly, security and ethics are taking lower priority than AI ambitions — the report finds that 89 percent of C-suite leaders worry about AI security risks associated with GenAI deployments. Yet only 24 percent of CISOs believe their organizations follow a robust framework to balance AI risk and value creation.

Against this backdrop, 67 percent of executives said their employees lack the skills to work effectively with AI, while 72 percent admitted they do not have an AI policy in place to guide responsible use.

Another major finding is significant concerns regarding sustainability: 75 percent of leaders said AI ambitions conflict with corporate sustainability goals, forcing organizations to rethink energy-intensive AI solutions.

How Leaders Can Close the AI Responsibility Gap

Without decisive action, organizations risk a future where AI advancements outstrip the governance needed to ensure ethical, secure, and effective AI adoption, the report warns.

“Innovation without a responsibility mandate, whether through stronger regulatory frameworks or decisive leadership, leaves organizations struggling to balance opportunity with risk,’’ the report warned. “Business leaders who strike this balance are better positioned to benefit fully from AI while safeguarding their organization’s future — but strong, focused leadership is required.”

NTT Data recommends leaders:

Build AI Responsibly: Develop AI, including GenAI, from the ground up and end-to-end, integrating security, compliance, and transparency into development from day one.

Exceed Legal Standards: Go beyond legal requirements to meet AI ethical and social standards using a systematic approach.

Upskill Employees: Ensure teams are trained to work alongside AI and understand AI’s risks and opportunities.

Strengthen Governance: Collaborate with businesses, regulators, and industry leaders to create clearer, actionable AI governance frameworks and establish global AI standards.

Methodology

The report is based on insights from more than 2,300 C-suite leaders and decision-makers across 34 countries in the fall of 2024, NTT Data said.
The post NTT Data Report: Organizations Struggle to Balance Rapid AI Growth with Accountability and Ethics             appeared first on eWEEK.