ODCM INTERVENTION PROJECT

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How AI will help in creating and destroying jobs in I.T.

industry and E-commerce industry?

Artificial Intelligence Has Caused A 50% To 70% Decrease In Wages—Creating

Income Inequality And Threatening Millions Of Jobs

Creating Jobs in I.T. industry:

 Development and Maintenance of AI Systems: The increasing adoption of artificial

intelligence in various applications will create job opportunities for software engineers, data
scientists, and AI specialists involved in developing and maintaining AI systems.

 AI-Related Research and Development: As AI continues to advance, there will be a growing

demand for researchers and developers to innovate and improve AI technologies, leading to
new job opportunities in research and development.
  Data Analysis and Machine Learning: The need for professionals with expertise in data
analysis, machine learning, and other AI-related fields will continue to grow as organizations
leverage AI for insights and decision-making.

 AI Ethics and Governance: The expanding use of AI will create demand for professionals
specializing in AI ethics, governance, and compliance to ensure responsible and ethical use
of AI technologies.

Destroying Jobs in I.T. industry:

 Automation of Software Development: As AI continues to progress, there is a possibility that

certain tasks related to software development could be automated, potentially leading to
job displacement for some entry-level programming roles.

 Impact on IT Support and Maintenance: The use of AI-powered digital assistants and
automation could reduce the demand for traditional IT support and maintenance roles in
certain areas, leading to potential job disruption.

 Algorithmic Trading in Financial Services: The adoption of AI and algorithms for trading
purposes has already impacted roles in the financial services industry, with automation
potentially leading to the displacement of certain trading and analytical roles.

 Impact on Quality Assurance and Testing: AI-powered testing tools and automated quality
assurance processes may alter the nature of roles related to software testing, potentially
affecting job requirements in these areas.

Creating Jobs in an E-commerce industry:

 Customer Service and Experience Enhancement:AI-powered digital assistants can improve

customer service and experience by providing personalized recommendations, addressing
inquiries, and streamlining the purchase journey, creating job opportunities for individuals
who specialize in managing and improving these AI systems.
 New Technical Roles:The advancement of AI in e-commerce may lead to the creation of new
technical roles, such as AI specialists, data analysts, and machine learning engineers, to
develop and maintain AI-driven systems.
 Data Analysis and Insights:AI and machine learning technologies can help e-commerce
companies derive valuable insights from large volumes of data, leading to the need for data
scientists and analysts to interpret and leverage this information for strategic decision-
making.
  Logistics and Operations Optimization:AI can optimize logistics and supply chain operations,
creating roles for individuals skilled in managing automated warehouses, implementing AI-
driven inventory management, and coordinating efficient transportation systems.

Destroying Jobs in an E-commerce industry:

 Warehousing and Fulfillment Centers:Automation and robotics in e-commerce fulfillment
centers may lead to reduced demand for traditional manual labor jobs, such as those
involving picking, packing, and shipping products.
 Customer Service and Support:AI-driven chatbots and virtual assistants could potentially
reduce the need for a large number of human agents in customer support roles, impacting
job availability in this area of e-commerce.
 Retail Sales Roles:The adoption of AI-powered recommendation systems and personalized
marketing may reduce the demand for traditional retail sales roles in e-commerce as more
transactions are facilitated by automated processes.

 Job Displacement in Manufacturing and Production:The introduction of AI-driven

manufacturing and production processes, such as numerically-controlled machinery and
industrial robots, may lead to the displacement of manual labor jobs traditionally involved in
these processes.

The World Economic Forum has estimated that artificial intelligence will replace some 85
million jobs by 2025.

The Future of Jobs in the Era of AI

Nuanced Impact: The impact of AI and automation is nuanced. While these technologies will
eliminate some jobs, they will also create many others. It's essential to understand the
dynamic nature of this impact when considering the future of jobs in the IT and e-commerce
sector.

 Net Job Impact: The net number of jobs lost or gained is an important metric to gauge the
impact of digitization. However, it’s crucial to consider the disaggregated effects to fully
understand the implications of automation.

 Workforce Imbalances: The use of advanced analytics and modeling revealed potential
workforce imbalances due to the impact of technology and automation. Understanding
these imbalances is crucial for governments, companies, and individuals to prepare for the
future job landscape in IT and e-commerce.

 Technology Adoption Rates: Analysis of different technology adoption rates showed that
faster adoption rates would lead to greater demand for people in specific IT and e-
 commerce occupations, while slower adoption rates would lead to a less severe impact on
the workforce demand.

 Demand for Technological Skills: The rise of automation across industries will lead to a
growing demand for technological skills in the IT and e-commerce sector. Computer-related
occupations and jobs in science, technology, engineering, and math will experience a surge
in demand for talent.

 Upskilling and Reskilling: To address the changing demands of the IT and e-commerce
industry, individuals are encouraged to make lifelong learning the new normal and focus on
upskilling and reskilling. This emphasizes the need for continuous learning and acquisition of
new skills to remain relevant in the job market.

 Adaptive Workforce: Governments and companies need to build an adaptive workforce that
can respond to the changing demands of the digital age. This involves strategic workforce
planning, upskilling and reskilling initiatives, and creating a culture of lifelong learning within
organizations.

 Talent Recruitment and Retention: Companies will need to rethink their talent recruitment
and retention strategies, focusing on not just hiring for skill, but also for will. The
competition for talent with the right digital skills will put pressure on companies to attract
and retain skilled individuals in the IT and e-commerce sector.

 Job Redefinition: The adoption of technology will not only eliminate the need for some
routine and administrative tasks but also create new jobs in fields such as software
development, data analysis, and cybersecurity testing. This emphasizes the potential for job
redefinition within the IT and e-commerce industry.

Overall Impact:
 While AI has the potential to create new job opportunities through innovation and
efficiency gains, it also poses challenges in terms of job displacement in traditional
roles.

 Balancing the benefits of AI-driven advancements with the need to address potential
job disruptions will be crucial for organizations in the e-commerce and IT sectors.

 Investing in workforce development, training programs, and fostering a culture of

continuous learning can help mitigate job displacement and harness the full
potential of AI technologies in driving growth and competitiveness in these
industries.
Future Implications and Considerations:
1. Hybrid Job Roles:
o Many future roles will likely require a combination of AI knowledge and traditional
skills, creating unique hybrid positions.

2. Continuous Learning and Adaptation:

o Workers will need to continuously update their skills to stay relevant in an AI-
enhanced job market, emphasizing lifelong learning and adaptability.

3. Reskilling and Upskilling Initiatives:

o Companies and governments will need to invest heavily in reskilling and upskilling
programs to prepare the workforce for AI-driven changes.

4. Human-Centric AI Design:
o Ensuring AI systems are designed with human needs in mind will be crucial, creating
roles focused on user experience (UX) and human-centric AI design.

5. AI-Driven Entrepreneurship:
o AI will lower the barriers to entry for entrepreneurs, enabling new startups and
business models that leverage AI capabilities.
REFERENCES:

 https://jfsdigital.org/wp-content/uploads/2017/01/JFS212Final%EF%BC
%88%E5%B7%B2%E6%8B%96%E7%A7%BB%EF%BC%89-6.pdf

https://www.pcmag.com/news/10-jobs-that-could-disappear-any-day-now-thanks-to-ai

 https://www.researchgate.net/profile/Md-Rahman-946/publication/
359919374_Artificial_Intelligence_AI_for_Energizing_the_E-commerce/links/
625a9102709c5c2adb7fb265/Artificial-Intelligence-AI-for-Energizing-the-E-commerce.pdf

 https://www.bcg.com/publications/2021/impact-of-new-technologies-on-jobs

 https://www.statista.com/statistics/791992/worldwide-jobs-creation-elimination-due-to-ai/

 https://www.forbes.com/sites/jackkelly/2021/06/18/artificial-intelligence-has-caused--50-
to-70-decrease-in-wages-creating-income-inequality-and-threatening-millions-of-jobs/?
sh=62e9fc211009
THANK YOU