Ethical Risks in Artificial Intelligence-Based Performance Assessment Within Asian Companies

Abstract

Technology is an inseparable part of a business enterprise since it influences its processes, structure, and strategies. The paradigm shift in terms of cloud computing, robotics, and artificial intelligence (AI) has paved the way for the next wave of digital economy termed as Business 5.0. Apart from business model disruption, artificial intelligence has impacted the most vital of resources – the human resource. The questions of morality and ethics are not new to the digital revolution, be it business processes or web-based social networks. The chapter aims to unearth the ethical challenges inherent in an AI-powered performance management system, with particular reference to Asia. It identifies how data-driven decisions on employee performance may be replete with serious ethical fallout and fail to provide holistic performance measurement. Despite the advantages, a lack of the human element occurs as the manager assumes the role of a moderator.