Operationalising Extended Cognition: Formal Metrics for Corporate Knowledge and Legal Accountability

Fuente: arXiv
Saved in:
Bibliographic Details
Main Author: Perrier, Elija
Format: Preprint
Published: 2025
Subjects:
Online Access:
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1866908610994372608
author Perrier, Elija
author_facet Perrier, Elija
contents Corporate responsibility turns on notions of corporate \textit{mens rea}, traditionally imputed from human agents. Yet these assumptions are under challenge as generative AI increasingly mediates enterprise decision-making. Building on the theory of extended cognition, we argue that in response corporate knowledge may be redefined as a dynamic capability, measurable by the efficiency of its information-access procedures and the validated reliability of their outputs. We develop a formal model that captures epistemic states of corporations deploying sophisticated AI or information systems, introducing a continuous organisational knowledge metric $S_S(φ)$ which integrates a pipeline's computational cost and its statistically validated error rate. We derive a thresholded knowledge predicate $\mathsf{K}_S$ to impute knowledge and a firm-wide epistemic capacity index $\mathcal{K}_{S,t}$ to measure overall capability. We then operationally map these quantitative metrics onto the legal standards of actual knowledge, constructive knowledge, wilful blindness, and recklessness. Our work provides a pathway towards creating measurable and justiciable audit artefacts, that render the corporate mind tractable and accountable in the algorithmic age.
format Preprint
id arxiv_https___arxiv_org_abs_2510_16193
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Operationalising Extended Cognition: Formal Metrics for Corporate Knowledge and Legal Accountability
Perrier, Elija
Artificial Intelligence
Corporate responsibility turns on notions of corporate \textit{mens rea}, traditionally imputed from human agents. Yet these assumptions are under challenge as generative AI increasingly mediates enterprise decision-making. Building on the theory of extended cognition, we argue that in response corporate knowledge may be redefined as a dynamic capability, measurable by the efficiency of its information-access procedures and the validated reliability of their outputs. We develop a formal model that captures epistemic states of corporations deploying sophisticated AI or information systems, introducing a continuous organisational knowledge metric $S_S(φ)$ which integrates a pipeline's computational cost and its statistically validated error rate. We derive a thresholded knowledge predicate $\mathsf{K}_S$ to impute knowledge and a firm-wide epistemic capacity index $\mathcal{K}_{S,t}$ to measure overall capability. We then operationally map these quantitative metrics onto the legal standards of actual knowledge, constructive knowledge, wilful blindness, and recklessness. Our work provides a pathway towards creating measurable and justiciable audit artefacts, that render the corporate mind tractable and accountable in the algorithmic age.
title Operationalising Extended Cognition: Formal Metrics for Corporate Knowledge and Legal Accountability
topic Artificial Intelligence
url https://arxiv.org/abs/2510.16193