Generating significant buzz since its launch in November 2022, ChatGPT has become a fast-growing global app. While the technology presents unique opportunities for your business to leverage, remember that AI tools have limitations and inherent risks. It’s also imperative to understand these tools and their limitations as employees may also utilize them without your knowledge or permission.

What is ChatGPT?

Accessible to anyone with a computer and internet connection, ChatGPT produces human-like text and communication from user inputs. It creates usable written material on a wide range of topics and helps to make decisions. These opportunities have influenced many organizations to adopt the technology to enhance workflow, streamline operations and improve customer experiences.

ChatGPT utilizes a natural language processing system to conversationally respond to user inputs. It imitates human dialogue and decision-making to perform or assist with various tasks, such as:

• Writing articles, poems & songs
• Performing calculations
• Composing computer code
• Creating legal contracts
• Explaining difficult concepts & subjects
• Automating tasks
• Conversing with users

ChatGPT is a network machine-learning model that’s trained using data sets to generate human-like text. The chatbot receives instruction from books, websites and articles to create questions, answers, summaries, translations, calculations, code, conversations and more. Its knowledge is limited to information that was available when it was trained and unable to access new data.

How AI Tools (Like ChatGPT) Are Impacting the Workplace

Artificial intelligence technology can transform how organizations operate and conduct business. While many large corporations already utilize the technology, ChatGPT has made it more accepted and readily available.

Integrating AI technology allows companies to run more efficient and economical operations. The technology can automate many manual and error-prone tasks to augment employees’ work and allow them to focus on higher-value tasks. ChatGPT won’t eventually replace employees but is designed to enhance workers’ performance and value to employers. Nearly every facet of an organization (e.g., HR, marketing, accounting, legal, software engineering) could be impacted by AI technology.

While AI chatbots can replicate many human-like behaviors and capabilities, they can also expose your organization to a variety of risks. Evaluate these exposures to determine whether the technology fits your business well.

Potential for Errors & Outdated Information

Artificial intelligence technology is not as reliable or accurate as many people believe. Since artificial intelligence’s information is limited to the data available during its training, the information the tools provide users may be inferior, outdated or contain errors. Completely relying on the accuracy of technology’s information could have negative consequences. Errors from AI-generated content are costly and could subject you to liability, government audits, fines and penalties. Make sure to implement a system of checks and balances for any distributed AI data.

Security & Data Privacy Concerns

A recent Italian government ban on ChatGPT has highlighted potential privacy issues. For example, an employee can share proprietary, confidential or trade secrets with an AI chatbot. This information then becomes part of the AI database and is included in other party responses. Security can never be guaranteed as chatbots are internet-based tools. Before using AI technology, consider reviewing and updating all confidentiality and trade secret policies to ensure they cover third-party AI tools.  

Intellectual Property (IP) Infringement

AI-generated content can potentially violate IP infringement laws. For example, if the chatbot generates content replicating any existing copyrighted or trademarked material, your organization could be held liable for infringement. Lower your legal risks by offering employees training about potential copyright, trademark and IP infringement issues or restrict their access to AI tools.

Defending Against AI Cybersecurity Threats

Experts predict ChatGPT will be highly embraced by cybercriminals, particularly non-native English speakers, to carry out social engineering attacks to steal data. The technology may also be capable of writing malicious code for cybercriminals and allowing less-skilled threat actors to easily launch cyberattacks. As an enormous cybersecurity risk, employers utilizing AI technology should be diligent to update and maintain their data security measures and train employees to adhere to cybersecurity best practices.

Inherent Issues of Bias

Discriminatory concerns are a reality as chatbots are dependent upon relevant data at the time of training and humans dictate all information to it. For example, organizations that consult with AI chatbots regarding employment decisions could face claims of discrimination. Compliance issues may also arise, depending on state and local laws that require notice of AI use in certain employment decisions. Due to the risk of inherent bias, employers should craft policies limiting or prohibiting chatbots in connection with employment decisions.

We’re Here to Help Educate & Protect You Against Trending Risks

While AI tools like ChatGPT are still relatively new, they’ll likely continue to improve and become more reliable over time. As such, savvy employers must closely monitor AI technology’s developments and potential issues to minimize their associated risks. Connect with a member of our team to learn more about how to protect your organization.