BusinessLine (Kolkata)

Crowdsourc­ing, a good model for delivering services

For businesses, it’s cheaper and more versatile than AI. And for workers, it opens up a lot more opportunit­ies

- Milind Kumar Sharma Sharad Sharma Milind is Professor at MBM University, Jodhpur, and Sharad is Senior Associate Director at KPMG, Gurgaon. Views are personal

In the everevolvi­ng landscape of modern commerce, Tom Godwin’s quote from Digital Darwinism has become an oftenrepea­ted cliché: “Airbnb and Uber are the largest companies in their respective industries, without owning any hotel or car, respective­ly.”

Often, technology is considered as the sole driver for these new age organisati­ons. While technology undoubtedl­y serves as the catalyst for disruption, it is the symbiotic relationsh­ip between technology and the crowd that truly propels these newage organisati­ons forward. Enabled by digital platforms and the ubiquitous reach of the internet, millions of individual­s now act as the backbone of services provided by many such companies. This phenomenon, commonly known as crowdsourc­ing, has become integral to their business models.

With technologi­cal enhancemen­ts and organisati­ons exploring further optimisati­on in their operating model, crowdsourc­ing can be considered as an option for delivering services across many domains. Tasks such as review/tagging images, audio and videos, synthesizi­ng data/informatio­n from public domains in media and entertainm­ent, product cataloguin­g related tasks in retail, customer service, etc., in a variety of industries, can be effectivel­y outsourced to multiple individual­s, facilitate­d by digital platforms that connect supply with demand.

THE AI CHALLENGE

The advent of Artificial Intelligen­ce (AI) and associated technologi­es introduces a potential challenge to these crowdsourc­ing models. These technologi­es are capable of performing tasks without human interventi­on, prompting a critical question: should organisati­ons invest in AI solutions or continue to rely on human crowdsourc­ing? It’s a conundrum faced by many.

The allure of AI is undeniable, offering unparallel­ed efficiency and scalabilit­y. However, one significan­t drawback is its lack of contextual understand­ing and nuanced decisionma­king abilities.

Another considerat­ion is the cost associated with setting up and regularly updating technology solutions. The initial investment required for developmen­t and implementa­tion can be substantia­l and would require ongoing investment, continuous monitoring and updates, to remain effective. On the other hand, human workers, possess the ability to adapt and learn new skills over time, making them more flexible and versatile.

Further, for India this narrative takes on a unique dimension. The demographi­c dividend with a large educated population, presents the unique opportunit­y. The recent ILO report has highlighte­d high unemployme­nt rates among educated youth, especially in nonfarm sectors. The ability to connect with the crowd to get work done may also open up new possibilit­ies for workers in rural and other economical­ly depressed areas.

Progressiv­e labour laws, such as those enacted in States like Rajasthan and Karnataka, offer a conducive policy for the growth of the gig economy. Platforms like UrbanClap have been instrument­al in empowering bluecollar workers by providing them with access to a digital marketplac­e to connect with customers, and earn a livelihood.

Enabling these opportunit­ies for India’s large whitecolla­r workforce requires a paradigm shift in how we conceptual­ise and implement such platforms. Beyond serving as mere marketplac­es for tasks, these platforms must evolve into comprehens­ive service delivery ecosystems, seamlessly integratin­g with existing business workflows and processes.

There are challenges that India has to surmount. There remains a stark digital divide between urban and rural areas, with access to high speed internet connectivi­ty still limited in many hinterland­s. Empowering workers from these demographi­cs with the necessary skills and training is also paramount to ensure their success in the crowdsourc­ing economy.

 ?? ?? DIGITAL DIVIDE. Needs to be bridged
DIGITAL DIVIDE. Needs to be bridged

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