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Managing the Human Risks of Biometric Applications

MIT Sloan Management Review

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Fall 2024

The intimate surveillance afforded by biometric technologies requires managers to consider negative impacts on privacy and human dignity.

- Andrew Park, Jayson Killoran, and Jan Kietzmann

Managing the Human Risks of Biometric Applications

In April, Colorado became the first state to mandate that companies protect the privacy of data generated from a person's brain waves, an action spurred by concerns over the commercial use of wearable devices intended to monitor users' brain activity. Use of those and other devices that enable the collection of humans' physiological data warrants robust discussion of the legal and moral implications of the increasing surveillance and datafication of people's lives.

Biometric technologies measure intimate body characteristics or behaviors, such as fingerprints, retinas, facial structure, vein patterns, speech, breathing patterns, brainwaves, gait, keystroke patterns, and other movements. While much activity in the field has focused on authenticating individuals' identities in security applications, some biometric technologies are touted as offering deeper insights into humans' states of mind and behaviors. It's when these biometric capabilities are put into play that companies may endanger consumers' trust.

Managers in some organizations see the potential for analyzing highly granular physiological data to improve operational efficiency. Financial institutions Barclays and Lloyds use heat-sensing devices under desks to monitor which workstations are used frequently in order to improve office layouts, desk assignments, and resource allocation. Mining company BHP uses smart hats that measure brainwaves to detect and track truckers' levels of fatigue, to protect them and improve company safety. These applications can benefit both the companies and their employees.

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