SEPANG: A detailed report on the impact of artificial intelligence (AI) on productivity, referred to as the AI productivity paradox, is expected to be tabled at a Cabinet meeting early next month, says Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar (pic).
He said the report is currently being fine-tuned by the Malaysia Productivity Corporation (MPC), the National Institute of Public Administration (Intan) and the Digital Ministry.
"I will be presenting it in detail for the second time. InsyaAllah, within two to three weeks, there will be a more comprehensive presentation,” he told reporters after officiating the 4th National Governance, Integrity and Anti-Corruption Research Conference here on Thursday (Sept 18).
ALSO READ: PM: Use tech wisely to avoid being overdependent
Shamsul Azri said a preliminary report was presented at a Cabinet meeting last month.
He said the productivity paradox refers to situations where heavy spending on AI or digitalisation does not necessarily lead to increased productivity.
"When we move towards AI or digitalisation, we must assess cost-effectiveness. There comes a point when spending heavily on AI or digitalisation causes productivity to plateau.
ALSO READ: Companies are pouring billions into AI. It has yet to pay off.
"We need to ensure that all expenditure on AI and digitalisation truly delivers high productivity and the best outcomes for the government,” he said.
Prime Minister Datuk Seri Anwar Ibrahim had earlier warned of the risks posed by the AI productivity paradox, pointing out that large-scale investments in AI do not necessarily translate into higher productivity.
He cited studies that showed only 3% to 7% of AI usage has had a real impact on productivity or workers’ income. – Bernama
