Enhancing transparency in AI-powered customer engagement

TL;DR

This paper emphasizes the importance of transparency and explainability in AI-powered customer engagement to build consumer trust, reduce bias, and promote ethical use, through organizational commitment and stakeholder engagement.

Contribution

It advocates for explainable AI models and organizational transparency practices to enhance trust and ethical standards in AI-driven customer interactions.

Findings

Consumers lack awareness of AI interactions

Bias and fairness concerns are prevalent

Transparency improves trust and ethical use

Abstract

This paper addresses the critical challenge of building consumer trust in AI-powered customer engagement by emphasising the necessity for transparency and accountability. Despite the potential of AI to revolutionise business operations and enhance customer experiences, widespread concerns about misinformation and the opacity of AI decision-making processes hinder trust. Surveys highlight a significant lack of awareness among consumers regarding their interactions with AI, alongside apprehensions about bias and fairness in AI algorithms. The paper advocates for the development of explainable AI models that are transparent and understandable to both consumers and organisational leaders, thereby mitigating potential biases and ensuring ethical use. It underscores the importance of organisational commitment to transparency practices beyond mere regulatory compliance, including fostering a culture of accountability, prioritising clear data policies and maintaining active engagement with stakeholders. By adopting a holistic approach to transparency and explainability, businesses can cultivate trust in AI technologies, bridging the gap between technological innovation and consumer acceptance, and paving the way for more ethical and effective AI-powered customer engagements. KEYWORDS: artificial intelligence (AI), transparency