Board Priorities 2024: Artificial Intelligence
11 January 2024
Generative AI has significantly accelerated the adoption of artificial intelligence and catapulted it to the top of board and executive corporate agendas. It has the potential to radically transform the way in which organisations do business, as well as materially enhancing the goods and services it provides. But this transformative power also comes with a unique set of risks, which if not carefully considered, can not only undermine progress but also introduce material issues that may not have existed previously.
Unlike 'traditional' AI and machine learning, the development of which was confined to technical data science teams, generative AI has democratised the technology and put it in the hands of anyone with an internet connection. This makes the governance of AI incredibly challenging. It is for this reason that it's imperative that AI strategies are both well-articulated and well-understood.
AI governance frameworks, if they do not exist already, need to be designed and implemented effectively, whilst accounting for the risks that it poses based on the use-cases for the technology within the organisation. The role of the board is therefore a critical one in ensuring adequate oversight that the organisation's use of AI is legally compliant, fair, ethical, and responsible.