By Theresa Rabbia
The use of artificial intelligence in everyday lives, including everyday business conduct, continues to grow as technology advances. At its core, artificial intelligence is the use of algorithms in computer-science that has the ability to sift through a tremendous amount of data at once which is uses to then perform human-like function.[1] While this can reduce the time it takes individuals to perform specific tasks with a mere click of a button, it is necessary to understand the science behind it and dangers that come with it.[2] Artificial Intelligence (“AI”) is increasingly already being used on a regular basis, so it is important that individuals who work closely with these programs are educated fully on how it operates.[3]
In April 2021, Senator Gary Peters [D-MI], introduced S.B. 1353, also known as the “Advancing the American AI Act.”[4] The main purpose of this bill is to encourage the use and testing of various AI-related programs across the United States government in hopes of boosting “productivity efficiencies in predictive supply chains and logistics” and accelerating “investment return for agencies.”[5] This bill also goes on to set forth various policies for the particular use of artificial intelligence within the federal government and train employees who “procure and manage AI.”[6]
Maybe the most important aspect of this proposed bill is that it seeks to align AI with the core values and ethics of America, specifically the protection of privacy, civil rights, and civil liberties.[7] The bill’s training programs seek to teach eligible employees about the ethical implications, including the dangers, that stem from this technology.[8] If employees have this knowledge, then they will be able to act quickly when certain issues in these realms arise.[9] Which in turn makes AI more effective resulting in an increasement of business productivity.[10]
Some may ask the question: how will the use of AI benefit the United States? The use of AI can significantly cut down the amount of time individuals are spending on certain tasks that are tedious, but necessary, and allow them to focus their time on higher priority tasks that will ultimately generate more profit.[11] If everyone is able to focus on higher-level jobs that are more profitable for the company, competition in that specific area will increase and widen the marketplace.[12]
Artificial Intelligence has proven itself to be highly beneficial to various corporations and business entities that already use it in their everyday course of business all over America as it alters the previously very tedious process of contract procurement to something very simple.[13] Contract procurement is the all-encompassing process of the procedures and steps necessary to have an effective and complete purchasing agreement.[14] More specifically, these steps and procedures include the selection of the buyer, negotiation process, purchase order, and the method of payment.[15] Traditionally, this job was left to humans who had to sift through piles and piles of data to make these decisions.[16] However, with the use of Artificial Intelligence, it is predicted that “by 2023, artificial intelligence (AI) will enable 30% faster contract negotiation and document completion processes in organization that deploy leading contract life cycle management (CLM) solutions.”[17]
AI is still relatively new, and like all new things, there will always be some kinks to work out. This bill is a way to be proactive and get a head start on fixing these kinks before they are too severe to work out. By doing this, the federal government can ensure safer and more effective AI technology.
[1] IBM Cloud Education, What is Artificial Intelligence (AI)?, IBM Cloud Learn Hub (June 3, 2020), https://www.ibm.com/cloud/learn/what-is-artificial-intelligence
[2] Karen Day, US Senator Propose AI Training for Federal Procurement Professionals, Global Government Forum (Nov. 8, 2021, | Updated Aug. 9, 2021), https://www.globalgovernmentforum.com/us-senators-propose-ai-training-for-federal-procurement-professionals/
[3] Id.
[4] Advancing American AI Act, S. 1353, 117th Cong. (2021).
[5] S. 1353
[6] Karen Day, US Senator Propose AI Training for Federal Procurement Professionals, Global Government Forum (Nov. 8, 2021, | Updated Aug. 9, 2021), https://www.globalgovernmentforum.com/us-senators-propose-ai-training-for-federal-procurement-professionals/
[7] Id.
[8] Id.
[9] Id.
[10] Id.
[11] Kory D. Krebs, How Can the DOD Adopt Commercial-Style Artificial Intelligence for Procurement? (June 2020) (M.B.A. professional project, Naval Post Graduate School) (on file with Dudley Knox Library, Naval Postgraduate School) https://calhoun.nps.edu/handle/10945/65385.
[12] Gary Fowler, AI for a Competitive Advantage, Forbes: Forbes Business Development Council (Feb. 5, 2020, 7:30 AM), https://www.forbes.com/sites/forbesbusinessdevelopmentcouncil/2020/02/05/ai-for-a-competitive-advantage/?sh=31bb0676402b.
[13] Oihab Allal-Chérif,Virginia Simón-Moya & Antonio Carlos Cuenca Ballester, Intelligent Purchasing: How Artificial Intelligence Can Redefine the Purchasing Function, 124 Journal of Business Research, 69, 74 (2021) https://www.sciencedirect.com/science/article/abs/pii/S0148296320308031.
[14] Frida Karlsson, The Opportunities of Applying Artificial Intelligence in Strategic Sourcing (2020) (M.S. thesis, KTH Royal Institute of Technology School of Industrial Engineering and Management) https://www.diva-portal.org/smash/get/diva2:1468257/FULLTEXT01.pdf.
[15] Id.at 5
[16] Id. at 14
[17] Fatmah Baothman, Artificial Intelligence Effects on Contracts and Contracting, in Innovative and Agile Contracting for Digital Transformation and industry 4.0, 149-60, 149.
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