Reference no: EM133503428

Question

Daystrom Data Concepts has gained a reputation for serious racial and gender bias in their hiring: their workforce is disproportionately white and male, including very few people of colour and almost no women. Founder/CEO Richard Daystrom responded by removing all humans from the hiring process. "From now on, only the objectivity of computer algorithms will determine who works for my company!" he said. A year later, the company's workforce is even more unbalanced in favour of white men. Not a single woman was hired in that entire time. Mr. Daystrom revealed in a media interview that his hiring algorithm trained on datasets of the previous ten years of his company's hiring, application, and interview processes.

Describe the nature of bias in corporate decision-making? What are two possible causes and how do they create such bias? How would Daystrom's hiring algorithm have worsened the staff imbalances that its supposed objectivity was supposed to fix? What do you think would be a more effective solution?