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What is an Algorithmic Impact Assessment?
An Algorithmic Impact Assessment is a formal review process used to identify and measure the potential risks or negative effects of an automated system before it is put into operation. Think of it as a safety audit for software. It examines how a tool might affect people's rights, privacy, or fairness in decision making. Organizations perform these assessments to ensure their software does not cause unintended harm, violate legal standards, or create biased outcomes for specific groups of people.
Why this matters to you
It acts as a critical safety check to ensure that new technology does not unfairly disadvantage employees or customers. By identifying risks early, organizations can prevent costly legal issues, protect their reputation, and ensure their tools align with company values and ethical standards.
How you might hear this
The company conducted an algorithmic impact assessment before deploying the new software to ensure it would not discriminate during the performance review process.
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