Data assurance: from risk to opportunity

Angela Baker at the Open Data Institute explains how data assurance builds business trust in the AI era

 

In the past 12 months, technology has taken giant leaps ahead, with the advent – in wider society and business – of generative AI tools, including text generation models like Chat-GPT. Around the world, businesses are grappling with how to make the best use of these tools, feeling an urgency to maintain a competitive edge. At the same time, business leaders are concerned about the risks. How do they trust the data on which the AIs are trained? 

 

At the Open Data Institute (ODI) we know that without data there is no AI. But the dependability of that data is vital. Without trust in data, there is no truly reliable and trustworthy AI. 

 

The need for a trustworthy data ecosystem has become even more urgent in the context of these recent innovations. The UK government’s recent white paper on AI governance says the potential value to the UK economy of AI was £3.7 billion in 2022. Another study suggests that AI has the potential to raise global GDP by 14% – or $15.7 trillion – by 2030. 

 

At the same time, the indications are that there are lower levels of trust than ever in institutions – such as banks, utility providers, social media organisations, and governments – that fail to follow ethical practices. Equally, concerns over fraud or data theft can also undermine trust in legitimate data-sharing practices. 

 

For business leaders, the trust needed to share data is particularly important for unlocking its value to their companies. According to research by Frontier Economics for the ODI, sharing data has the potential to contribute 2.5% to the overall GDP in the UK. 

 

Failure to share and reuse data can mean missing out on these opportunities. When trust in data is high, more data is shared and re-used, enabling better decisions to be made. So awareness of the value of data assurance is crucial for all organisations.

 

Beyond technology, in today’s data-enabled world, trust in data is essential for businesses to unlock data’s value and make informed decisions. Over the past few years, most of us have gained a deeper understanding of data, both at an organisational and personal level.

 

For example, we witnessed how data played a critical role during the height of the Covid-19 pandemic, where nightly press conferences relied heavily on data for the national response. Additionally, individuals have become increasingly aware of how data can be used by businesses, news outlets and other entities for both positive and malevolent intentions.

 

Amidst this vast and burgeoning data landscape, the focus can too easily shift away from the question of trust. In an era plagued by misinformation and disinformation combined with rapid technological innovation, it is critical for organisations to know what data they can trust and who can be trusted with data about them. This is where the concept of ‘data assurance’ comes into play. 

 

At the Open Data Institute (ODI), we define data assurance as the process that increases the confidence that data will meet a specific need. And that organisations collecting, accessing, using and sharing data do so in trustworthy assured ways.

 

The risks associated with data collection, use and sharing pose threats to people, organisations and the economy. Fears surrounding these risks, along with stories about poor data handling, can diminish data sharing and reduce the potential for value to be unlocked. Ignoring data assurance is a risk that could have catastrophic results for businesses.

 

Fortunately, growing awareness of the need for data assurance has led to the development of a market catering to this demand. This market is set to grow significantly in the coming years. According to our recently-published International data assurance: market briefing - based on research by our partner, Metia - the global data assurance market could expand by 60%, from $3.4 billion (US) in 2022 to $5.6bn (US dollars) by 2027. 

 

In our research, survey respondents described that having agreed standards for data assurance, including instruments like accreditation schemes, could help to increase trust significantly.

 

At the ODI, we’re dedicated to helping as many people and businesses as possible to benefit from the value of data sharing. So we are actively developing new tools and services that enable businesses to assess, build and demonstrate trustworthiness in their data and data practices - while mitigating the risks when sharing data. 

 

The ODI is working to create ways to illustrate trust in the data and in the organisations sharing data, allowing them to demonstrate this visibly to the ecosystem.

 

We are currently working on a Code of Conduct for those striving to demonstrate trust, as well as a Data Sharing Risk Assessment workbook. We look forward to being a part of a solution that delivers greater value to businesses and their leaders. One that helps them benefit from the great technological innovations of the age that already exist, as well as those yet to come.

 

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Angela Baker is Data Assurance Programme Lead at the Open Data Institute a not-for-profit company founded in 2012. We build an open, trustworthy data ecosystem, collaborating with businesses, governments and civil society. Through training, consultancy and research, we equip leaders, shape policy and drive global data-enabled initiatives.

 

Main image courtesy of iStockPhoto.com