Dear all,
Professor Yash Raj Shrestha, Assistant Professor and Group Head of the Applied Artificial Intelligence Lab at the Faculty of Business and Economics (HEC), University of Lausanne, Switzerland, will be presenting a paper on 12th December 2023.
When & Where: 12 December 2023 (Tue) @ 14:30-16:00 [AC 2 NMLT Hyderabad, Shankaracharya, Mohali]
Title: Working Together, Forever? Project Evaluation, AI, and Managerial Redundancy
Abstract:
As AI algorithms rapidly improve their performance at tackling managerial tasks, human-AI collaboration is often posed as a defense against managerial redundancy. We consider the case of project evaluation, in which managers explicitly or implicitly use data on features and outcomes of past projects to build predictions about the outcomes of new unseen projects. This covers a wide variety of resource allocation and candidate selection tasks in data rich environments that managers routinely engage in, such as capital budgeting or hiring. Representing human and AI agents as supervised deep learning models, we consider how human redundancy probability increases with AI access to features data, across a variety of configurations for collaboration between human and machine. Our results from computational analysis indicate that division of labor with sequential ensembling – in which the human makes a prediction that is taken as input by the AI to then form its own prediction – is able to keep human redundancy probabilities very low even when data access to AI is very high. If the goal is to avoid human redundancy and keep humans and machines “working together forever,” on taks like project evaluation, we conclude, sequential ensembling is superior to reverse sequential ensembling (where the AI makes a prediction that is taken as input by the human to then form its own prediction), parallel ensembling (where human and AI work independently in parallel) or specialization (in which the human alone takes on a sub-task), as a model of division of labor between humans and machines.
Paper: Vivek Choudhary (NTU), Arianna Marchetti (LBS), Yash Raj Shrestha (HEC Lausanne), and Phanish Puranam (INSEAD)
Working Together, Forever? Project Evaluation, AI, and Managerial Redundancy
