Abstract
Exponential acceleration of technological change is a hallmark of industrial revolutions. Each occurrence forces disruptive institutional adjustments, with increasing capital intensity, de-skilling of existing labor, while also providing expansive entrepreneurial opportunities. Institutional adjustments during the (First) Industrial Revolution took
centuries to fully manifest. With Industry 4.0, similar changes occur in less than a decade. Artificial intelligence (AI) has already demonstrated its ability to disrupt in mere months. Of particular concern is the tendency for automation to displace the lowest-skilled workers, given predominantly routine tasks. When entry-level jobs disappear, how will tomorrow’s workforce gain the critical experience to manage and lead? Yet whether this technological disruption renders dystopia or utopia is still within our grasp. While products, services, and organizations will increasingly be built digitized from day one, AI will continue to struggle with context and risk. And therein lies a clear role for humanity, as AI requires homo economicus to describe and recognize good ideas. Human ability to contextualize is key to expediting decision trees and arriving at ethical judgments. When humans encounter novel ethical dilemmas, they process them through their moral frameworks. We must equip workers with critical thinking skills to employ AI ethically, minimizing negative externalities.