Japanese Firm Transitions to Artificial Intelligence, Marking a Major Shift in the Workforce

Artificial intelligence (AI) is no longer a thing of the future – it’s reshaping our present, and making its mark in unexpected ways. Fukoku Mutual Life Insurance, a Japanese company, has decided to replace its 34 human employees with machines, a move that challenges traditional norms and forecasts an exciting, albeit concerning new era in employment. The Telegraph first reported this strategic shift, indicating that the company plans to harness the power of IBM’s Watson Explorer AI, despite IBM CEO Gina Rometty’s previous statements that AI would not replace human jobs.

In her previous commentaries, Rometty instead envisioned a dynamic partnership where humans and AI cooperated, using artificial intelligence to shoulder complex, mundane tasks and free up human intellect for more innovative pursuits. Ironically, it appears that Watson is, indeed, stepping up to replace humans, harbinger of a future where the majority of human jobs could become obsolete.

The Telegraph suggests Fukoku Mutual is making significant investments in its transition to AI, justifying its decision with promising figures. After shelling out 200m yen ($1.7m USD) for the installation of the AI platform, the company is confident that productivity will spike by 30%, leading to savings of roughly 140m yen ($1.2m USD) over the next two years. The inevitable downside, of course, is that the transition to automation will culminate in 34 job losses within the company by March 2017.

These radical changes within Fukoku Mutual resonate loudly with a 2015 Nomura Research Institute report, indicating that most Japanese jobs could be automated by 2035. Likewise, automation has begun to silently replace many manufacturing jobs from the US to Europe and Asia. Developing nations are not immune from this trend; in Africa, for instance, sweeping changes are being observed in sectors such as finance. Rapid internet penetration, coupled with the ubiquitous use of smartphones (an estimated 350 million smartphone users are predicted to be present in Africa by the end of this year) signify that more and more people are accessing critical services such as banking digitally, reducing the need for human staff.

Moving beyond employment dynamics, Watson’s integration has made big strides in the field of healthcare diagnosis and treatment too. The system has proven to be as proficient, if not better than humans in diagnosing diseases like cancer. Trials conducted by the University Of North Carolina School Of Medicine revealed that Watson’s recommended treatment plans closely matched those of human experts, reflecting its potential powerful impact in healthcare.

According to another report in the Telegraph, the UK’s NHS is experimenting with artificial intelligence as a possible replacement for the existing 111 helpline. This falls in line with assertions from industry bosses, who acclaim AI as the next frontier for online retail.

While it is undeniable that automation will replace numerous human jobs in the foreseeable future, there remain opportunities for interaction between AI systems and humans. It is in this nebulous transition period that businesses and individuals alike must adapt, strategize, and prepare for inevitable changes in the employment landscape.