Sustainability & AI

Algorithmic decision-making

The use of algorithms to make or support decisions, with consequences for accountability in sustainability and social outcomes.

Established · Editorial draft · Last reviewed 21 Aug 2026

Definition

The use of algorithms to make, or materially shape, decisions about people, resources or systems — fully automated or as decision support.

Quick reference

At a glance

Subject
Sustainability & AI
Editorial status
Editorial draft
Definition status
Established
Last updated
21 August 2026

References

Government of CanadaAlgorithmic Impact Assessment tool — Directive on Automated Decision-Making

This source provides part of the technical or institutional basis for the definition.

EUR-LexRegulation (EU) 2024/1689 (AI Act)

This source supports the explanation of how the term is applied, measured or governed in practice.

ACM US Technology Policy CommitteeStatement on Algorithmic Transparency and Accountability (2017)

This source supports the wider sustainability significance and context described in the entry.

Overview

What it means

The term spans simple rule-based scoring to machine-learning systems, in domains from credit and hiring to grid dispatch and inspection targeting. Public administration increasingly regulates it: Canada's Directive on Automated Decision-Making requires impact assessments for government systems.

How it is used

In sustainability contexts, algorithmic decisions allocate inspection resources, flag deforestation alerts, score suppliers, and optimise energy dispatch. Each embeds choices about what is measured and valued.

Why it matters

When a decision is made by a model, accountability, contestability and bias move from the individual decision-maker to the system's designers and deployers — which is why algorithmic decision-making is the legal anchor concept in instruments such as Canada's directive and the EU AI Act.

Review

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Classification
Established
Review stage
Editorial draft
What the classifications mean

This term is classified as Established

EstablishedCurrentMultiple definitionsContestedEmergingIndexed