Peninsula Group conducted a global survey that revealed the views of small and medium-sized businesses (SMEs) on artificial intelligence in the workplace.
One in ten businesses fear that AI could have a negative impact on their business.
The survey of 79,000 businesses in Australia, Canada Ireland New Zealand and the UK revealed both the benefits and challenges employers face when adopting AI. Despite a 50% increase in AI usage year-on-year, only one in ten SMEs reports regular use of this technology.
The regional differences also showed that Australian and New Zealand companies were more likely than Irish employers to adopt AI.
As AI adoption rises, so do concerns. Nearly half the respondents expressed concerns about AI security, a 60% increase from last year. 47 percent of respondents say that security is their top concern. Other concerns include the possibility of reputational damage (+183%); legal risks (+183%); loss of intellectual properties (+178%) and impact on work quality and productivity (+158%).
The survey revealed that AI is viewed as a tool that can be used to complement traditional methods, but not replace them. There was also a 21 per cent increase in the number of employers who expressed fear about AI.
Most businesses who have implemented AI use it to perform administrative tasks or for creative writing. The survey also revealed that AI is causing increasing concern about its impact on intellectual property and jobs. One in four UK SME’s are now concerned about losing their intellectual property to AI. This is a big jump from one in twenty last year.
The following are other notable findings:
- Fewer than half of small business owners believe that people cannot be replaced in their operation.
- Four out of five SMEs expect AI to reduce their workforce.
- Only 23 percent of Canadian employers believe in AI’s potential to transform the workplace. Over half of employers are either afraid, uncertain or think AI will be harmful to their workplace.
- Australian businesses are three times as worried about the loss of intellectual property compared to Canadian companies, and twice as much concerned if they compare themselves with their counterparts in Ireland and UK.
- 40% of UK SMEs worry about AI’s margin for error, up from 14% last year.
- One out of five UK small business owners who use AI report positive impacts.
Alan Price, Peninsula Group’s Chief Operations Officer, said of the findings, “AI continues dominate headlines but it is clear that businesses remain uncertain about its balance between risks and potential. Concerns increase as usage grows. It is clear that there is much work to do to reassure SMEs around the world.”
Price emphasized the need for better safeguards and greater clarity regarding AI’s impact upon security, productivity and intellectual property. Price also raised concerns over the premature integration AI, unconscious biases in technology and the risks of AI being as good as its programmer.
Overall, small business owners are aware of AI’s potential, but they remain cautious regarding its impact on jobs, traditional methods of working, and employee engagement. Price said that while many small business owners are not against AI, they want more assurances on output quality and security before fully embracing the technology.
The survey highlights the ongoing debate in the SME community about AI’s future role, as many businesses weigh its benefits against the risks.
