Global Players: AI meets security

By Tanja Zimmermann

Prof. Yvonne Hofstetter, CEO and Co-Founder of startup 21strategies gave a speech on the topic AI meets security at the Global Player Conference. The online conference was hosted by the Bundeskriminalamt together with Robert Bosch GmbH. The event was aimed at the security departments of corporations who have security and corporate risks in focus.

AI used strategically for greater security in an era of geo-economics

Corporate security teams face new challenges and tasks. The topic area is broad because it is not just about cybersecurity risks. Rather, it is about strategic business risks and how next-generation AI can be leveraged. In particular, reliable access to important raw materials is becoming increasingly important, since there is development towards geo-economics, whereby states use their economic strength in a targeted manner to cut off other states from access to raw materials and thus put them under pressure. Artificial intelligence can be used to optimize raw material procurement and reduce risks and uncertainties in advance.

Next-gen AI enables optimized decisions under uncertainty

Prof. Yvonne Hofstetter points out, however, that artificial intelligence is needed that goes beyond the mere consideration of artificial neural networks. This requires mathematical theories and techniques ranging from combinatorial optimization to estimation theory. Only then are optimizations of decision sequences possible. Because these are necessary to make strategic tactical decisions under uncertainty. They enable a completely new way of hedging risks for companies. Currency and commodity price risks can be hedged in the best possible way by AI-optimized hedging. This can be extended to the level of cyber-physical hedging. Here, strategic sourcing is optimized as a function of inventory with the next generation of artificial intelligence. In a following level, the strategic procurement of raw materials can be optimized in a whole network of corporations. The control of privacy preserving is maintained. For this further development, 21strategies receives support from foreign departments who understood that supply of commodities is a national security issue especially to the Western world.