AI strategies are shaped by social expectations
Foto: Marvin Meyer, Unsplash.
Artificial intelligence (AI) has become one of the most talked-about technological breakthroughs of our time. But what actually happens when large, global companies try to integrate AI into their operations? A new thesis from Jönköping International Business School at Jönköping University (JU) has investigated this question.
“At the centre are people who have to navigate new tools and expectations. It is a reminder that digitalisation is not just a technical journey, but also a social and institutional change,” says Prince Chacko Johnson, who recently defended his thesis at JU.
In his thesis, Prince Chacko Johnson has examined how Swedish multinational companies, such as ABB, Volvo Group, Sandvik and Epiroc, design and communicate their AI strategies. By analysing annual reports, strategy documents and other public sources, his research has identified a pattern: the AI journeys undertaken by companies are shaped not only by technological opportunities, but also by external expectations from investors, regulators, the media and society at large.
People at the center
To understand how companies deal with the pressure to use AI, Prince has developed a new model. It shows that companies adapt by following what is considered normal, imitating other companies in the industry or actively engaging in major social issues such as sustainability and ethics.
“The AI transition is much more than just a technical issue,” says Prince Chacko Johnson.
The study shows that AI is not only changing how companies work, but also what is expected of them. Companies must now demonstrate that they are not only innovative, but also responsible and transparent in their use of AI.
"My research highlights the often-overlooked gap between how companies talk about digital transformation and how it actually happens in practice. The study offers a nuanced understanding of how organisations navigate AI: insights that can help different actors make more transparent and sustainable decisions,” says Prince Chacko Johnson.
Contributing to smarter digitalisation
The aim of this research is to help companies make smart and well-considered choices when digitising their operations. For business leaders, this means making decisions about AI not only based on technology and economics, but also with regard to social responsibility and ethics. The perspectives provided can also be helpful to decision-makers and organisations in Europe's evolving landscape of AI governance.
“It is fascinating how AI is changing the way companies tell their stories. To attract talent and gain social approval, they are building narratives about their use of AI, while internally grappling with issues of competence, systems and ethics. This tension between what is shown to the outside world and what happens behind the scenes is both topical and important to understand,” says Prince Chacko Johnson.
