Identify and evaluate the system's potential effects: What is the core purpose of that assessment at this
An impact assessment identifies and evaluates potential effects on individuals and groups so risks can be mitigated before build proceeds.
The question
A public agency is designing an AI system that will help decide which benefit applications are flagged for review. Governance requires performing or reviewing an impact assessment on the system. What is the core purpose of that assessment at this stage?
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- Estimate the projected return on investment and payback period, so leadership can confirm the system is financially justified before the budget is committed.ROI analysis is a financial justification, not an assessment of the system's effects on individuals and groups that governance requires.
- Benchmark the candidate model's accuracy against competitors' systems, so the agency can confirm it selected the strongest-performing option in the market.Competitive benchmarking measures performance, not the potential harms to affected people that an impact assessment must evaluate.
- Document the cloud costs and staffing needed to operate the system, so the agency can plan the resources required to keep it running after deployment.Operating-cost planning is a resourcing exercise unrelated to assessing the system's impacts on individuals and groups.
- Identify and evaluate the system's potential effects on individuals and groups so risks can be understood and mitigations planned before build proceeds. ✓An impact assessment exists to surface and evaluate potential effects on people so risks are understood and mitigations designed in before building.
The trap
Confusing an impact assessment (effects on people) with a business case, benchmark, or cost plan. How to remember it
An impact assessment identifies and evaluates potential effects on individuals and groups so risks can be mitigated before build proceeds.
How many of these would you get right?
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Every answer, right and wrong, comes with its own explanation.
