Saifr, a RegTech company, recently took the time to question whether Generative AI will end up making business more or less efficient.
What exactly is generative AI? It’s a branch of artificial intelligence that creates new outputs in response to user inputs. This includes large language models (LLMs) capable of producing text-based content—ranging from articles to emails. LLMs are so advanced that their outputs often mimic human writing.
There are two main types of LLMs: public and private. Public LLMs like ChatGPT are accessible to businesses for content creation but are limited by issues like data privacy and potential biases. To combat this, many businesses are developing their own private LLMs, built upon public versions and customized with specific industry data.
Now, understanding generative AI, let’s delve into how it might be less efficient in regulated sectors, focusing on three key areas: content creation, chatbots, and phone representatives.
Content Creation: A Speedy Yet Tricky Path
Marketing teams are increasingly using AI tools, primarily LLMs, for content creation. While these tools produce content swiftly, they may inadvertently generate non-compliant material in regulated industries. This surge in content can overload compliance departments, turning one team’s efficiency into another’s bottleneck.
The solution? Introducing another AI layer to screen for regulatory compliance. This additional AI can identify non-compliant language and suggest alternatives, making the content more compliant and expediting the review process.
Chatbots: Efficient Yet Risky
Chatbots, a common business tool, have evolved from fixed Q&A pairs to using generative AI models. While these AI models can provide fast and accurate responses, there’s a risk of generating non-compliant answers. Ensuring compliance becomes a new challenge.
To address this, AI models that check for regulatory compliance can be integrated. This provides a safety net, ensuring chatbots deliver compliant answers without constant human oversight.
Phone Representatives: AI Assistance with Compliance Hurdles
Phone representatives can also benefit from AI tools, which provide information and talking points for calls. AI assistance helps reps provide more accurate information quickly, a significant advantage in large-scale operations.
However, there’s a risk if the AI provides non-compliant information. Research indicates that humans tend to overly trust AI, even when incorrect. Hence, implementing AI models that screen and correct for regulations is crucial to mitigate risks and inefficiencies.
Companies in regulated industries must weigh the full impact of AI implementation. It’s not just about generating content faster but ensuring compliance. Saifr was developed to address these challenges, offering a pathway to harness AI’s potential responsibly.
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