Ethical and privacy considerations in data-driven decision-making

The evolution of contemporary business and governance relies heavily on Data-Driven (DD) decision-making because it allows organisations to use big data, Artificial Intelligence (AI), and Machine Learning (ML) to reach maximum performance results (Sarioguz & Miser, 2024). Increasing dependence on DD technology produces serious ethical issues and privacy concerns, which both expose security threats and lead to biased algorithms and privacy breaches through permissioned uncertainties (Arora & Thota, 2024). This chapter analyses how DD decisions should be based on responsibility alongside justice principles in addition to maintaining openness during AI operations. According to Renuka et al. (2025), it also looks at the main privacy issues related to data collection, user permission, anonymisation, and data storage. This chapter’s key focus is on the potential challenges and threats related to DD decision-making, including the influence these risks and issues have on the trust and privacy of users.