This month, we shine a spotlight on Lily Morse’s research into the ethical challenges of AI in the workplace. In her management courses at Daniels, Morse introduces students to the complexities of integrating AI tools into business processes, balancing innovation with fairness. Discover how her hands-on approach is preparing students to navigate the ethical landscape of the future.
Lily Morse
Your research explores both ethical failures in the workplace and the responsible incorporation of AI. How do these two areas intersect, particularly as more organizations adopt AI technologies?
My research primarily focuses on machine learning (ML) systems and algorithms, but within that domain, I’ve become increasingly concerned that while engineers are focused on getting the technology to work, ensuring its accuracy and achieving the desired performance, we’re not paying enough attention to the ethical challenges that accompany its implementation. From a management perspective, someone who studies ethics can really help bridge this gap. It’s about understanding how we can incorporate AI into our organizational processes in ways that people perceive as fair, while also ensuring we avoid harm. While advancing technology is crucial for improving management and outcomes for everyone, it’s equally important not to lose sight of the people affected by these tools.
Could you give some examples of the key ethical dilemmas organizations face with AI?
One major ethical dilemma centers on speech technology—things like speech-to-text systems, automatic speech recognition (ASR) and natural language processing (NLP). These technologies have made impressive strides in helping people with hearing impairments or nonnative language speakers engage more fully in the workplace. AI can, in many ways, promote fairness for marginalized groups. But there’s a flip side. For example, voice recognition tools can extract more information than many people realize. Voiceprints—like fingerprints—are unique to individuals and can even reveal underlying health conditions, such as depression or PTSD. Without proper ethical guardrails, companies might use these technologies to collect private information in ways that violate privacy standards like HIPAA. For instance, when someone interviews for a job, a tool could potentially detect things as minute as missing teeth, which should be irrelevant but might influence hiring decisions unfairly without proper oversight. Even tools we often take for granted, like Alexa or other smart assistants, gather an enormous amount of data from something as simple as a voice. That’s why I advocate for more policies that regulate how we use biometric data, especially in workplace settings.
How do you introduce these complex topics of AI and ethics to students in your management courses at Daniels College of Business?
My approach to teaching AI and ethics is to make these topics as practical and applicable as possible. It’s not enough for students to just learn the theory; they need a toolkit they can use in the real world. I emphasize that these aren’t just leadership concepts—they’re skills we need to navigate a digital workplace. We engage directly with AI tools in the classroom. I give students the opportunity to put on their “consultant hats” and critically analyze the benefits and challenges AI presents. This hands-on interaction helps them not only become familiar with the technology but also think deeply about how it can affect them, their colleagues and the organizations they work for. Familiarity and awareness must come before we can craft solutions to the ethical challenges AI poses.
What kinds of AI tools do you use in your teaching?
I like to expose students to tools they are likely to encounter as soon as they step into the workforce. We explore popular platforms like ChatGPT, Gemini and Bard, as well as more specialized tools like HireVue. HireVue, in particular, is interesting because it uses video interviews and AI to analyze candidates’ compatibility with a company’s ideal profile. However, this raises concerns. For example, people who belong to marginalized groups or communicate differently may not fare as well under AI scrutiny, which could inadvertently reinforce biases. It’s important that future managers understand how these tools work and the potential risks they pose, so they can make informed decisions about their use in hiring and other business processes.
A key concern you’ve raised is the use of AI in predictive policing and surveillance. Could you elaborate on that?
One troubling example is the use of home surveillance cameras that claim to predict crime before it happens. These systems analyze patterns of behavior to “anticipate” criminal activity and can automatically notify law enforcement. This raises major ethical concerns. Do we really want technology to reduce people to a series of likely outcomes? The problem is that technology often lacks the context needed to differentiate between situations that might look similar but are vastly different in reality. If we rely too much on AI in this way, we risk letting technology replace human judgment in contexts where empathy and understanding are crucial.
As AI continues to evolve, what role do you believe management education should play in preparing students to handle these ethical challenges?
Management education has a critical role to play. Today, students aren’t just learning traditional leadership skills—they’re learning how to lead in a digital world. Every business student will need to know how to work effectively with AI, not just for a competitive edge, but to collaborate and use these tools responsibly. At the Department of Management, we’re incorporating AI into the curriculum in a way that emphasizes ethical decision-making. It’s about understanding not only how to use AI strategically but also how to manage it in a way that aligns with ethical business practices. The future of leadership involves balancing technology’s potential with its impact on the people and systems that make up an organization.
Any final thoughts on the ethical use of AI in management?
Ultimately, it’s about ensuring that we don’t lose our humanity as we incorporate these technologies. AI has incredible potential to improve our work processes and outcomes, but only if we implement it in ways that are ethical and fair. As future business leaders, students must understand both the technical aspects of AI and the human impact of their decisions.