{"id":22457,"date":"2020-11-20T10:11:35","date_gmt":"2020-11-20T10:11:35","guid":{"rendered":"https:\/\/www.experfy.com\/blog\/data-trusts-key-to-better-ai\/"},"modified":"2023-10-04T17:53:16","modified_gmt":"2023-10-04T17:53:16","slug":"data-trusts-key-to-better-ai","status":"publish","type":"post","link":"https:\/\/www.experfy.com\/blog\/ai-ml\/data-trusts-key-to-better-ai\/","title":{"rendered":"\u201cData Trusts\u201d Could Be the Key to Better AI"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"22457\" class=\"elementor elementor-22457\" data-elementor-post-type=\"post\">\n\t\t\t\t\n<p><a href=\"https:\/\/www.technologyreview.com\/2020\/03\/26\/950287\/the-global-ai-agenda-promise-reality-and-a-future-of-data-sharing\/\" target=\"_blank\" rel=\"noreferrer noopener\">Research<\/a>\u00a0shows that companies are becoming increasingly aware of the value of sharing data and are exploring ways to do so with other players in their industry or across industries. Typical use cases for data sharing are fraud detection in financial services, getting greater speed and visibility across supply chains, improving product development and customer experience, and combining genetics, insurance data, and patient data to develop new digital health solutions and insights. Indeed, the research has shown that 66% of companies across all industries are willing to share data. Nevertheless, sharing sensitive company data, particularly personal customer data, is subject to strict regulatory oversight and prone to significant financial and reputational risks.\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-442af3b elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"442af3b\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5358372\" data-id=\"5358372\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-de01ffc elementor-widget elementor-widget-text-editor\" data-id=\"de01ffc\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>A data trust that is set up as a fiduciary for the data providers could make it much easier for firms to safely share data by instituting a new way for governing the collection, processing, access, and utilization of the data. That legal and governance setup obliges the data trust administrators (the \u201cfiduciaries\u201d) to represent and prioritize the rights and benefits of the data providers when negotiating and contracting access to their data for use by data consumers, such as other private companies and organizations.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-2c0aaf5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2c0aaf5\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-ece363b\" data-id=\"ece363b\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-aaa3ab2 elementor-widget elementor-widget-heading\" data-id=\"aaa3ab2\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">INSIGHT CENTER<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-a3e6109 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"a3e6109\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e3c93f4\" data-id=\"e3c93f4\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-42aea53 elementor-widget elementor-widget-text-editor\" data-id=\"42aea53\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><br \/><\/p>\n<p>\u00a0<\/p>\n<ul class=\"wp-block-list\">\n<li style=\"list-style-type: none;\">\n<ul>\n<li><a href=\"https:\/\/hbr.org\/insight-center\/ai-and-equality\" target=\"_blank\" rel=\"noreferrer noopener\">AI and Equality<\/a>Designing systems that are fair for all.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>Data trusts also can encourage\u00a0<a href=\"https:\/\/www.techopedia.com\/definition\/631\/interoperability\" target=\"_blank\" rel=\"noreferrer noopener\" class=\"broken_link\"> data interoperability<\/a>\u00a0as well as the ethical and compliant governance of data\u00a0\u2014 for example, by ensuring that individuals have consented to the various uses of their data (as required by regulation in several jurisdictions around the world), removing <a href=\"https:\/\/www.experfy.com\/blog\/bigdata-cloud\/five-common-biases-in-big-data\/\" target=\"_blank\" rel=\"noreferrer noopener\"> data bias, <\/a> and de-identifying personal data. Moreover, by adopting a new cohort of cutting-edge technologies such as\u00a0<a href=\"https:\/\/ai.googleblog.com\/2017\/04\/federated-learning-collaborative.html\" target=\"_blank\" rel=\"noreferrer noopener\"> federated machine learning<\/a>,\u00a0<a href=\"https:\/\/www.wired.com\/2014\/11\/hacker-lexicon-homomorphic-encryption\/\" rel=\"noopener\"> homomorphic encryption <\/a>, and\u00a0<a href=\"https:\/\/www.bis.org\/publ\/qtrpdf\/r_qt1709y.htm\" target=\"_blank\" rel=\"noreferrer noopener\"> distributed ledger technology <\/a> a data trust can guarantee transparency in data sharing as well as auditing of who is using the data at any time and for what purpose (i.e. tracking chain of custody for data), thus removing the considerable legal and technological friction that currently exists in data sharing.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-9d1112c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9d1112c\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-a7c8f08\" data-id=\"a7c8f08\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-e596817 elementor-widget elementor-widget-text-editor\" data-id=\"e596817\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Data consumers who sign contracts with the trust to gain access to its data can then focus on the utility that can be derived from analyzing the data or using it to train AI algorithms without undertaking the compliance and reputational risk. They can do so either on their own (i.e., as direct data consumers) or\u00a0\u2014 perhaps more powerfully\u00a0\u2014 by forming \u201cminimal viable consortia\u201d (MVC) where data providers and data consumers share data resources and talent to focus on a specific business case.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7087995 elementor-widget elementor-widget-text-editor\" data-id=\"7087995\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><strong>How to set up a data trust.<\/strong> My firm, Willis Towers Watson, recently piloted a data trust together with several of its clients. Our purpose was to test the concept and understand how to apply it in a business scenario. The three key objectives were: (1) how to identity a business case and form a successful MVC; (2) what should be the legal and ethical governance framework or frameworks to enable data sharing; and (3) understand what technologies we needed to assemble or develop in order to promote transparency and trust in the MVC. Here are some of the lessons we learned during the pilot:<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0be1f97 elementor-widget elementor-widget-text-editor\" data-id=\"0be1f97\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Develop an ethical and legal framework for data sharing.\u00a0<\/em> We found that it was important at the outset to set up foundational principles and aspirations to which everyone agreed. For instance, the members of the pilot MVC decided they would commit themselves to ensuring privacy of all the individuals\u2019 data it held and delivering not only business but also social value. We worked closely with legal and privacy experts to formulate a legal framework that would ensure compliance with the European Union\u2019s\u00a0<a href=\"https:\/\/gdpr-info.eu\/\" ;General Data Protection \/a rel=\"noopener\">\u00a0(GDPR). And the members also decided that for the MVC to go beyond the pilot stage and be commercialized, it would need to be audited by an independent \u201cethics council\u201d that would explore the ethical and other implications of the use of data and the resulting AI algorithms.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-15c8658 elementor-widget elementor-widget-text-editor\" data-id=\"15c8658\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Employ a federated\/distributed architecture<\/em>. Organizations are generally not comfortable with the idea of transferring sensitive data from their infrastructure to an external environment. We therefore looked into a federated approach, whereby data remained where it is and algorithms are distributed to the data. We investigated several privacy-preserving technologies, including\u00a0<a href=\"https:\/\/en.wikipedia.org\/wiki\/Differential_privacy\" target=\"_blank\" rel=\"noreferrer noopener\"> differential privacy<\/a>\u00a0and\u00a0<a href=\"https:\/\/en.wikipedia.org\/wiki\/Homomorphic_encryption#:~:text=Homomorphic%20encryption%20is%20a%20form,performed%20on%20the%20unencrypted%20data.\" target=\"_blank\" rel=\"noreferrer noopener\">homomorphic encryption<\/a>. To ensure transparency in data governance, as well as trusted auditing and chain of custody, we also explored the application of distributed ledger technology (e.g., blockchain) as part of the technology stack. We architected the data trust as a cloud-native peer-to-peer application that would achieve data interoperability, share computational resources, and provide data scientists with a common workspace to train and test AI algorithms.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-86a799e elementor-widget elementor-widget-text-editor\" data-id=\"86a799e\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>The way forward.\u00a0<\/strong> The journey to becoming a data-driven organization fit for the emerging AI economy is long and arduous. Data trusts are an opportunity for collaboration between organizations to make that journey faster, less costly, and less risky. And they can make data-monetization rewards more handsome by co-developing marketable AI applications and giving third parties controlled access to members\u2019 data. Moreover, as we discovered during our pilot, a data trust can also help inspire creativity, cross-functional collaboration, and innovation, and can attract digital talent. As wearables, smart appliances, and 5G networks proliferate and combine into the \u201cIntelligent Internet of Things,\u201d data sharing and collaboration will become the norm. Data trusts can help companies make the leap to this new era.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-531400dd elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"531400dd\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5b990b0c\" data-id=\"5b990b0c\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-abe2513 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"abe2513\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-06353c5\" data-id=\"06353c5\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-564db3a elementor-widget elementor-widget-text-editor\" data-id=\"564db3a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>One of the greatest barriers to adopting and scaling AI applications is the scarcity of varied, high-quality raw data. To overcome it, firms need to share their data. But the many regulatory restrictions and ethical issues surrounding data privacy pose a major obstacle to doing this. A novel solution that my firm is piloting that could solve this problem is a\u00a0<em>data trust<\/em>: an independent organization that serves as a fiduciary for the data providers and governs their data\u2019s proper use.<\/p>\n\n<p><a href=\"https:\/\/www.technologyreview.com\/2020\/03\/26\/950287\/the-global-ai-agenda-promise-reality-and-a-future-of-data-sharing\/\" target=\"_blank\" rel=\"noreferrer noopener\">Research<\/a>\u00a0shows that companies are becoming increasingly aware of the value of sharing data and are exploring ways to do so with other players in their industry or across industries. Typical use cases for data sharing are fraud detection in financial services, getting greater speed and visibility across supply chains, improving product development and customer experience, and combining genetics, insurance data, and patient data to develop new digital health solutions and insights. Indeed, the research has shown that 66% of companies across all industries are willing to share data. Nevertheless, sharing sensitive company data, particularly personal customer data, is subject to strict regulatory oversight and prone to significant financial and reputational risks.\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-442af3b elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"442af3b\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5358372\" data-id=\"5358372\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-de01ffc elementor-widget elementor-widget-text-editor\" data-id=\"de01ffc\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>A data trust that is set up as a fiduciary for the data providers could make it much easier for firms to safely share data by instituting a new way for governing the collection, processing, access, and utilization of the data. That legal and governance setup obliges the data trust administrators (the \u201cfiduciaries\u201d) to represent and prioritize the rights and benefits of the data providers when negotiating and contracting access to their data for use by data consumers, such as other private companies and organizations.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-2c0aaf5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2c0aaf5\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-ece363b\" data-id=\"ece363b\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-aaa3ab2 elementor-widget elementor-widget-heading\" data-id=\"aaa3ab2\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">INSIGHT CENTER<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-a3e6109 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"a3e6109\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e3c93f4\" data-id=\"e3c93f4\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-42aea53 elementor-widget elementor-widget-text-editor\" data-id=\"42aea53\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><br \/><!-- wp:list --><\/p>\n<p>\u00a0<\/p>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li><a href=\"https:\/\/hbr.org\/insight-center\/ai-and-equality\" target=\"_blank\" rel=\"noreferrer noopener\">AI and Equality<\/a>Designing systems that are fair for all.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>Data trusts also can encourage\u00a0<a href=\"https:\/\/www.techopedia.com\/definition\/631\/interoperability\" target=\"_blank\" rel=\"noreferrer noopener\" class=\"broken_link\"> data interoperability<\/a>\u00a0as well as the ethical and compliant governance of data\u00a0\u2014 for example, by ensuring that individuals have consented to the various uses of their data (as required by regulation in several jurisdictions around the world), removing <a href=\"https:\/\/www.experfy.com\/blog\/bigdata-cloud\/five-common-biases-in-big-data\/\" target=\"_blank\" rel=\"noreferrer noopener\"> data bias, <\/a> and de-identifying personal data. Moreover, by adopting a new cohort of cutting-edge technologies such as\u00a0<a href=\"https:\/\/ai.googleblog.com\/2017\/04\/federated-learning-collaborative.html\" target=\"_blank\" rel=\"noreferrer noopener\"> federated machine learning<\/a>,\u00a0<a href=\"https:\/\/www.wired.com\/2014\/11\/hacker-lexicon-homomorphic-encryption\/\" rel=\"noopener\"> homomorphic encryption <\/a>, and\u00a0<a href=\"https:\/\/www.bis.org\/publ\/qtrpdf\/r_qt1709y.htm\" target=\"_blank\" rel=\"noreferrer noopener\"> distributed ledger technology <\/a> a data trust can guarantee transparency in data sharing as well as auditing of who is using the data at any time and for what purpose (i.e. tracking chain of custody for data), thus removing the considerable legal and technological friction that currently exists in data sharing.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"has_eae_slider elementor-section elementor-top-section elementor-element elementor-element-9d1112c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9d1112c\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"has_eae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-a7c8f08\" data-id=\"a7c8f08\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-e596817 elementor-widget elementor-widget-text-editor\" data-id=\"e596817\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Data consumers who sign contracts with the trust to gain access to its data can then focus on the utility that can be derived from analyzing the data or using it to train AI algorithms without undertaking the compliance and reputational risk. They can do so either on their own (i.e., as direct data consumers) or\u00a0\u2014 perhaps more powerfully\u00a0\u2014 by forming \u201cminimal viable consortia\u201d (MVC) where data providers and data consumers share data resources and talent to focus on a specific business case.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7087995 elementor-widget elementor-widget-text-editor\" data-id=\"7087995\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><strong>How to set up a data trust.<\/strong> My firm, Willis Towers Watson, recently piloted a data trust together with several of its clients. Our purpose was to test the concept and understand how to apply it in a business scenario. The three key objectives were: (1) how to identity a business case and form a successful MVC; (2) what should be the legal and ethical governance framework or frameworks to enable data sharing; and (3) understand what technologies we needed to assemble or develop in order to promote transparency and trust in the MVC. Here are some of the lessons we learned during the pilot:<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0be1f97 elementor-widget elementor-widget-text-editor\" data-id=\"0be1f97\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Develop an ethical and legal framework for data sharing.\u00a0<\/em> We found that it was important at the outset to set up foundational principles and aspirations to which everyone agreed. For instance, the members of the pilot MVC decided they would commit themselves to ensuring privacy of all the individuals\u2019 data it held and delivering not only business but also social value. We worked closely with legal and privacy experts to formulate a legal framework that would ensure compliance with the European Union\u2019s\u00a0<a href=\"https:\/\/gdpr-info.eu\/\" ;General Data Protection \/a rel=\"noopener\">\u00a0(GDPR). And the members also decided that for the MVC to go beyond the pilot stage and be commercialized, it would need to be audited by an independent \u201cethics council\u201d that would explore the ethical and other implications of the use of data and the resulting AI algorithms.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-15c8658 elementor-widget elementor-widget-text-editor\" data-id=\"15c8658\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Employ a federated\/distributed architecture<\/em>. Organizations are generally not comfortable with the idea of transferring sensitive data from their infrastructure to an external environment. We therefore looked into a federated approach, whereby data remained where it is and algorithms are distributed to the data. We investigated several privacy-preserving technologies, including\u00a0<a href=\"https:\/\/en.wikipedia.org\/wiki\/Differential_privacy\" target=\"_blank\" rel=\"noreferrer noopener\"> differential privacy<\/a>\u00a0and\u00a0<a href=\"https:\/\/en.wikipedia.org\/wiki\/Homomorphic_encryption#:~:text=Homomorphic%20encryption%20is%20a%20form,performed%20on%20the%20unencrypted%20data.\" target=\"_blank\" rel=\"noreferrer noopener\">homomorphic encryption<\/a>. To ensure transparency in data governance, as well as trusted auditing and chain of custody, we also explored the application of distributed ledger technology (e.g., blockchain) as part of the technology stack. We architected the data trust as a cloud-native peer-to-peer application that would achieve data interoperability, share computational resources, and provide data scientists with a common workspace to train and test AI algorithms.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-86a799e elementor-widget elementor-widget-text-editor\" data-id=\"86a799e\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>The way forward.\u00a0<\/strong> The journey to becoming a data-driven organization fit for the emerging AI economy is long and arduous. Data trusts are an opportunity for collaboration between organizations to make that journey faster, less costly, and less risky. And they can make data-monetization rewards more handsome by co-developing marketable AI applications and giving third parties controlled access to members\u2019 data. Moreover, as we discovered during our pilot, a data trust can also help inspire creativity, cross-functional collaboration, and innovation, and can attract digital talent. As wearables, smart appliances, and 5G networks proliferate and combine into the \u201cIntelligent Internet of Things,\u201d data sharing and collaboration will become the norm. Data trusts can help companies make the leap to this new era.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>A data trust that is set up as a fiduciary for the data providers could make it much easier for firms to safely share data by instituting a new way for governing the collection, processing, access, and utilization of the data.<\/p>\n","protected":false},"author":984,"featured_media":17984,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[183],"tags":[1041,1042,1043,1044],"ppma_author":[3721],"class_list":["post-22457","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ai-ml","tag-data-providers","tag-data-trusts","tag-fiduciary","tag-share-data"],"authors":[{"term_id":3721,"user_id":984,"is_guest":0,"slug":"george-zarkadakis","display_name":"George Zarkadakis","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/79015bbe6d4f21e4d73df6de5f3a583660a5e65db96f84f6f0b1584150901adf?s=96&d=mm&r=g","user_url":"","last_name":"Zarkadakis","first_name":"George","job_title":"","description":"George Zarkadakis is Digital Lead at Willis Towers Watson and Senior Fellow at Atlantic Council. He is an  Artificial Intelligence engineer, digital transformation professional, author and public speaker, with a keen interest in the impact of Artificial Intelligence, Blockchain and IoT on business and society. He is author of \"In Our Own Image - the history and future of Artificial Intelligence\", and new book published in September 2020: \"Cyber Republic: reinventing democracy in the age of intelligent machines\"."}],"_links":{"self":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/22457","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/users\/984"}],"replies":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/comments?post=22457"}],"version-history":[{"count":8,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/22457\/revisions"}],"predecessor-version":[{"id":33256,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/22457\/revisions\/33256"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/media\/17984"}],"wp:attachment":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/media?parent=22457"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/categories?post=22457"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/tags?post=22457"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/ppma_author?post=22457"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}