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Ethical AI and responsible leadership in emerging markets

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Arundhati Bhattacharya

Interview with Arundhati Bhattacharya,
President and CEO, Salesforce South Asia

From your vantage point leading Salesforce South Asia, how do you define “ethical AI” in the context of today’s rapidly digitizing businesses?

Ethical AI, in my view, is not just about meeting compliance checklists—it’s about upholding values of trust, transparency, and inclusion throughout the lifecycle of AI design, development, and deployment. In South Asia, where digital transformation is gaining pace but foundational trust in emerging tech is still being built, ethical AI means being deliberate: building systems that are explainable, fair, and aligned to human-centered values.

At Salesforce, our approach to responsible AI is rooted in our core value of Trust. We’ve developed a robust governance framework, grounded in five key principles: responsibility, accountability, transparency, empowerment, and inclusiveness. These guide how we build and deploy AI technologies—ensuring they are safe, effective, and beneficial to all stakeholders.

Take our Einstein Trust Layer as an example—it ensures that sensitive customer data is never used to train generative AI models, and provides enterprise-grade safeguards like data masking, audit trails, and user-controlled prompts. It’s a practical embodiment of our ethical AI commitment—giving customers the confidence that innovation will not come at the cost of integrity.

Moreover, we believe that ethical AI isn’t just a product decision—it’s a leadership responsibility. That’s why we’ve established dedicated advisory councils, cross-functional governance bodies, and even bias evaluation protocols to continuously assess how our AI systems impact different groups. In an era where businesses are expected to do more than just grow revenue, ethical AI is not optional—it’s foundational to long-term, sustainable digital success.

Given your leadership at SBI during its digital pivot, how do legacy institutions build trust while adopting disruptive technologies like AI—especially when dealing with sensitive consumer data?

Having led the digital transformation of one of India’s most trusted financial institutions, I’ve seen firsthand that trust cannot be assumed—it must be earned continuously. For legacy institutions, adopting AI isn’t just a technological shift; it’s a cultural one. It requires transparent communication, strong internal governance, and a deep respect for customer data.

At SBI, when we moved to mobile banking and AI-enabled fraud detection systems, we did so by engaging every stakeholder—from board members to branch managers—on the ‘why’ behind the change. That same mindset applies today. Institutions must educate customers, create fallback mechanisms for AI decisions, and ensure that human oversight remains integral in high-stakes processes like lending, healthcare, or public services. In markets like Sri Lanka, a strong foundation of transparency and data stewardship is critical, as they forward in their digital transformation journey.

What governance frameworks or accountability mechanisms do you believe should be industry-standard when deploying AI at scale?

AI systems must be understandable—not just to data scientists, but to regulators, end users, and the general public. At Salesforce, we advocate for robust documentation and explainability of models so that any decision can be traced and justified.

Industry-wide, we need common accountability mechanisms such as bias detection audits, privacy-by-design protocols, and redressal frameworks for unintended outcomes. For example, AI used in recruitment must be tested for demographic fairness, and healthcare algorithms must be validated across diverse populations.

I’m encouraged to see countries like Sri Lanka incorporating responsible AI principles in their National AI Strategy. As businesses, we must complement these efforts with voluntary guardrails that often go beyond regulation.

In emerging economies like India, where digital literacy and access are uneven, how can organizations ensure that AI doesn’t widen the trust gap or exacerbate bias?

This is a deeply important question, because AI reflects the data and assumptions we feed into it. In growing economies where digital access and representation are uneven, bias isn’t just a risk—it’s inevitable unless addressed with clear intention and care.

Organizations must first ask: Who is represented in the data? Who is being left out? And then take action—by partnering with local communities, diversifying data sources, and ensuring interfaces are accessible in local languages. At Salesforce, we support initiatives that focus on inclusive design and multilingual AI, which are particularly important in South Asia’s linguistically rich environments.

Moreover, AI literacy must become part of our skilling agenda. Through initiatives like Trailhead and our Virtual Internship Program in India, we’re helping students and early professionals build both technical and ethical fluency in AI. Equity in access and equity in design must go hand-in-hand.

Trust is often earned through leadership. What ethical principles guide your own decisions when championing new technologies across Salesforce’s South Asia operations?

In today’s world, where technology is reshaping every facet of life and work, I believe leadership must be anchored in conscience as much as competence. For me, technology is only meaningful when it uplifts people—when it bridges gaps, not widens them. At Salesforce, I’ve always been guided by five enduring principles: empathy, transparency, inclusion, accountability, and long-term societal impact.

I ask myself simple but profound questions: Will this technology empower the underserved? Will it reinforce or reduce inequities? Will it be understandable, accessible, and safe for those who rely on it? These are not just philosophical reflections—they translate into the operational and strategic choices we make every day.

At Salesforce, I deeply resonate with our commitment to being Responsible by Design. This means trust isn’t an afterthought—it is architected into our systems, governance, and culture. From the Einstein Trust Layer to our AI Acceptable Use Policy, we embed ethical considerations at every level. And it goes beyond the technology stack—it extends to how we train our teams, support our customers, and hold ourselves accountable when things go wrong.

In the South Asia context, where institutions are at different stages of digital maturity, the role of leadership becomes even more critical. Trust is not built in boardrooms—it’s built in how responsibly we deploy innovation in hospitals, schools, government programs, and small businesses. As leaders, we must embody the values we want our technologies to reflect. Because in the end, the legacy of our leadership won’t be the code we write—it will be the trust we inspire.

(Arundhati Bhattacharya is the President and CEO of Salesforce South Asia. A Padma Shri awardee and the first woman to chair the State Bank of India, she brings over four decades of leadership across finance and technology. Recognized globally by Forbes and Fortune as one of the world’s most powerful business leaders, she now spearheads Salesforce’s strategic growth and ecosystem engagement across the region.)



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Sri Lanka’s economy: A slow healing journey in 2026

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PMI shows tentative signs of hope in factories and business activity

The latest Purchasing Managers’ Index (PMI) from the Central Bank suggests Sri Lanka’s economy is beginning to find its feet after a severe crisis, revealing tentative signs of hope in factories and business activity. It indicates the deepest economic pain may be over. With prices rising more slowly, families and companies are getting some much-needed relief.

The Island spoke to an independent analyst for an outside perspective. Elaborating on the report, he struck a cautious note: “Yes, the PMI sounds favourable. But no one should think the hard times are completely behind us. The road to recovery is long and full of potholes.”

“While we can hope for slow, steady improvement in coming months, major problems remain,” he continued. “The country’s massive debt is a heavy burden. Staying on track with the IMF programme requires sticking to tough reforms, which won’t be easy. Global economic uncertainty also affects our exports and even other forms of external support.”

“In short, the next phase won’t be a quick boom. It will be a time for careful repair. These small improvements are like young seedlings – they need constant care, sound policy, and continued external support to grow strong. Our task is to turn this shaky stability into a solid foundation for lasting, inclusive growth. The economy is out of emergency care, but full recovery will be a long and patient journey,” he concluded.

When asked if the current political landscape would aid recovery, he pointed to the present stability as a key advantage. “With political stability in place, the path for necessary reforms and recovery should be more navigable now than ever in the past,” he said.

By Sanath Nanayakkare

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Sri Lanka Insurance Corporation General Limited inaugurates business operations for 2026

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Sri Lanka Insurance Life Ltd and Sri Lanka Insurance General Ltd inaugurated their business operations for the year 2026 on 1st January at the Sri Lanka Insurance Head Office. The event was graced by the Chairman, Board members, Corporate Management, and staff of SLIC.

Parallel business launches were also conducted at branch level, with branch staff joining the head office proceedings via live stream. The day’s programme commenced with blessings observed from the four major religious faiths, symbolising unity and goodwill for the year ahead

Heralding the dawn of the New Year, SLIC brought together all 142 branches in a cohesive celebration, uniting as one family to light the traditional oil lamp. During the celebrations, the theme for SLICGL for 2026 ‘Leading the market, strengthening every step’ was officially unveiled

Celebrating 64 years of service and expertise, SLIC continues to stand as Sri Lanka’s most respected and trusted name in insurance. Over the decades, the organisation has remained at the forefront of the sector, sustaining industry‑wide growth and equity even through testing times.

The year 2025 brought many meaningful and positive achievements for SLICGL, yet it concluded with significant challenges as the nation faced the aftermath of the devastating Cyclone Ditwah. Rising to the occasion, SLICGL honoured claims and delivered timely relief, offering protection and reassurance to communities impacted by the catastrophe.

SLICGL proudly reflects on a year of remarkable achievements in 2025. The organisation was ranked

Sri Lanka’s highest-rated insurance brand as the only A+ Fitch rated insurer in the country and became the first and only insurer to surpass Rs. 30 billion in Gross Written Premium. SLICGL secured Carbon Neutral Certification, highlighting a commitment to sustainability. SLICL was also recognised as the Most Valuable General Insurance Brand by Brand Finance.

The lifting of the vehicle import ban in January 2025 helped to revitalize the automotive sector and also reaffirmed SLICGL’s role as the nation’s most trusted insurer. Stepping in to protect new vehicle owners, SLICGL strengthened its portfolio, supported national growth, and supported families and businesses to move forward with confidence.

During 2025, SLICGL continued its partnership with the Ministry of Education on the Suraksha Insurance Scheme, a national initiative aimed at securing the health and wellbeing 4.5 million schoolchildren throughout the country. The partnership provides students regardless of background, access to essential insurance coverage, safeguarding health, supporting families, and strengthening the nation’s future.

SLIGL’s mission places customers at the heart of everything it does. The organisation continues in the commitment of meeting and exceeding customer expectations through its expertise and specialised services. Aligning business strategies with this vision, SLIC delivers a superior customer experience through all touchpoints.

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MILCO turns around fortunes, posts Rs. 1.49 bn record profit in 2025

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Lal Kantha

The Milk Industries of Lanka Company (MILCO) has recorded the highest profit and sales revenue in its history, driven by strong performance under the flagship Highlands brand, Agriculture Minister Lal Kantha said.

Addressing a Performance Incentive Awards Ceremony held at the MILCO Head Office in Narahenpita on December 31, the Minister said the achievement marked a decisive turnaround for the state-owned dairy enterprise, which had earlier been prepared for divestment.

“When we assumed office, MILCO was being readied for sale. Today, we have been able to rescue it and transform it into a profitable institution,” Minister Lal Kantha said. “By October 2025, the company had generated profits amounting to Rs. 1,490 million, the highest profit ever recorded in MILCO’s history.”

He noted that 2025 has also become the year with the highest sales revenue since the company’s establishment, reflecting improved operational efficiency, renewed consumer confidence and stronger market penetration under the Highlands brand.

The Minister said the government intends to ensure that the gains from the company’s financial recovery are shared across the value chain. “A portion of the profits will be distributed as incentives among dairy farmers,” he said, adding that plans are also in place to provide free life insurance coverage to 15,000 dairy farmers in 2026.

The incentive awards ceremony was organised to recognise employees who played a key role in achieving record sales targets and historic profitability, with senior management highlighting improvements in production planning, supply chain management and farmer engagement.

Minister Lal Kantha paid tribute to the dedication of the MILCO workforce, stating that the turnaround was the result of collective effort.

“This achievement belongs to everyone who worked tirelessly to restore confidence in this institution. I extend my sincere appreciation to all those who contributed to this success,” he said.

MILCO’s performance in 2025 is being viewed as a benchmark for the revival of state-owned enterprises, particularly within Sri Lanka’s agri-based industrial sector.

By Ifham Nizam

 

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