[Jjinbit] "AI Should Be Used as a Teacher, Human Interaction Becomes More Important" [Office Shift] (39)

Interview with Professor Carl Benedict Frey of Oxford University
"AI is still hard to see as an automation technology"
"Discussions on remote work productivity will continue"

Editor's Note[Jjinbit] is a shortened form of 'Jung Hyunjin's Business Trend' and 'Real Business Trend,' a segment that showcases trends in changes in work. The segment within Jjinbit called 'Office Shift' carefully examines changes in offices triggered by the COVID-19 pandemic and will serve as a foundation to explore answers to work styles through experiments we have experienced together. It will be delivered to you every Saturday or Sunday. After 40 installments, it will also be available as a book.

From the 4th to the 8th of last month (local time), the theme of the Academy of Management held in Boston, USA, was 'Putting the Worker Front and Center.' In the context of dramatic changes in workplace dynamics after the COVID-19 pandemic and the global attention on artificial intelligence (AI) technology, the focus was placed on 'workers.'

In a situation where coexistence between humans and AI is inevitable, considering how workers will relate to AI technologies permeating the workplace has become an important task. Although the emergence of AI as intelligent as humans has raised concerns about job losses, OpenAI, the developer of ChatGPT, Microsoft (MS), and Google have successively launched enterprise AI tools that reduce workers' working hours and increase productivity.

Carl-Benedikt Frey, a professor at the University of Oxford researching AI and work, said in an interview with Asia Economy on the 29th of last month, "Current generative AI is still difficult to consider as automation technology." He evaluated that AI can be usefully utilized as a tool for brainstorming human ideas but is currently difficult to replace areas requiring creativity. He emphasized the importance of understanding the characteristics of such technology and developing creative abilities such as direct interaction or writing that humans can perform within it.

Professor Frey, a Swedish-German economist and economic historian, is in charge of the Future of Work program at Oxford University's Martin School. In 2013, he gained global attention by writing the 'Future of Employment' report, which stated that 47% of jobs in the United States would disappear within 20 years due to advances in automation and robotics technology. In 2019, he published the book The Technology Trap: Capital, Labor, and Power in the Age of Automation, which was selected as the Financial Times (FT) 'Book of the Year.'

We asked him how AI will change our workplaces and how work styles will evolve in the future.

'Creativity and Interaction' Are Human Strengths... "Use AI as a Tutor"

It was surprising that Professor Frey, who predicted job losses due to automation technologies 10 years ago, evaluated that humans have the strength of creativity over AI. He explained that while AI creates content by aggregating existing data usable by humans, humans manifest creativity by creating something from nothing in the process of maximizing their abilities. He acknowledged that AI technologies like ChatGPT have developed tremendously but said that for now, it is appropriate to use AI as a supporter that helps human work.

"To get answers from AI, prompts are necessary. Prompts are elements imbued with a lot of creativity. For example, you can ask ChatGPT to write a letter or speech in the style of William Shakespeare or someone else. Since Shakespeare is a historical figure, ChatGPT recombines based on his existing works. However, it cannot create something that takes a further leap beyond that."

[Image source=Reuters Yonhap News]

Professor Frey pointed out that AI has not yet replaced the business that arises from humans socially interacting. Even if some parts are replaced, he believes there will ultimately be tasks only humans can accomplish. This implies that values such as cooperation and trust, which machines cannot substitute, remain uniquely human.

"If AI becomes good at virtual communication, the process of humans interacting directly will become even more important. If AI writes love letters well, then what humans do when they meet face-to-face on a first date becomes much more important. This logic applies to all situations. Also, humans tend to be more convinced when they meet and talk in person rather than virtually. There is research showing that doctors are more successful in persuading patients to receive life-saving treatments when meeting face-to-face rather than virtually. Such skills will become even more valuable in the AI era."

Of course, he acknowledged the outstanding capabilities of generative AI. He predicted it will help with various simple tasks and increase productivity. However, he foresaw that increased productivity would not lead to indiscriminate mass production of products.

"If you are not a 'great writer,' ChatGPT will help you become an 'average writer.' If you are not a great coding engineer, (Microsoft's enterprise AI) Copilot will help you become an average coding engineer. Ultimately, this means lowering the entry barriers to various professions.

[Image source=Pixabay]

Generative AI will produce a lot of content, but the scale will depend on demand. If the cost of producing content decreases due to AI adoption and more content is demanded, salaries will not necessarily decrease. But when content production costs become cheaper, we need to consider how much content we consume as consumers. Our day is limited to 24 hours, and we won't watch Netflix all day long."

With generative AI increasingly integrated into work, we asked what workers should do to maintain competitiveness. Professor Frey advised, "Do not use generative AI as automation technology but as a 'tutor.'" He emphasized caution to avoid entrusting AI entirely with your work, as you would miss out on learning in the process. Writing skills, which received the most attention when generative AI emerged, are a representative example.

"Let's think about the writing process. If you use generative AI when writing, you will lose much of the learning process. The best memorization method I found was writing something yourself. I worry about the cost we pay when we choose the 'shortcut' of having generative AI do the work instead of using it to develop learning abilities. Therefore, I want to advise people to use generative AI not as automation technology but as a tutor. This is especially important in terms of writing for learning."

"Discussions on Remote Work Productivity Ongoing... Companies Will Find Balance Regarding Offices"

Besides technologies like generative AI, the way we work has rapidly changed since the COVID-19 pandemic. Although it seems like we have returned to pre-COVID-19 times as we enter the endemic phase, various discussions are ongoing. Professor Frey predicted that companies will face challenges in how to measure productivity related to remote work and how to find a balance between the pros and cons arising from the disappearance of office spaces.

"There is a big debate about the impact of remote work on productivity, and various studies exist. Remote work is positive for well-being and reducing employee turnover, but its productivity effects depend on the company and how it is set up. Because of these questions, companies face the challenge of monitoring. In the past, at least they could see if employees were at their desks, but now that has become difficult."

[Image source=Pixabay]

Professor Frey mentioned two options currently used to solve this monitoring problem: technology and incentives. The first method is to install technical devices on the computers of remote workers to see if they are working in real-time, but privacy concerns arise. Another method is to give bonuses financially based on results rather than processes since work is done remotely. However, Professor Frey also expressed concern that this method could be vulnerable in the event of an economic shock.

Another concern for companies adopting remote work is how much office space to maintain. Professor Frey pointed out that while companies can save on office rent by adopting remote work, the interactions among employees working together in one space disappear. Considering this, he predicted that companies will seek an appropriate 'balance' over the next 5 to 10 years.

"Over the past few years, we have gone through a process of identifying tasks that work well remotely and those that require face-to-face interaction, and we have made efforts to change office spaces accordingly. Reducing office space will be a strong economic incentive for many companies. Sometimes companies switch to remote work even if productivity stagnates. But one of the biggest problems with remote work is that, without chance encounters on the street, you have to pick up the phone to communicate. Many companies are trying to find a balance, and I think it will take time."