Agile AI governance in the boardroom

Boards play a critical role in guiding organizations through the rapidly evolving AI landscape. Start by assessing your organization’s current AI maturity with the following actions:

• Adopt agile, flexible oversight practices
• Anticipate transformational impacts on existing business models
• Maintain a balanced perspective on AI’s risks and potential
• Leverage external and cross-industry insights to spot emerging trends

“[AI is] going faster than you think. That doesn’t mean we’re making money with it. It doesn’t mean it’s going to be the solution or salvation or the disaster of all problems, but it’s happening very, very fast.” — Director A

How can boards ensure the company’s AI strategy is integrated with its wider corporate objectives? Since boards are responsible for overseeing the execution of that strategy, industry leaders say companies increasingly look to them to answer how to lead through the AI disruption. What we heard from industry leaders to lead the conversation:

• Anchor strategic discussions in a long-term vision
• Expand the focus beyond efficiency to include growth opportunities
• Contextualize AI within broader industry and macro trends
• Balance investment decisions to align capital allocation with the innovation agenda
• Benchmark maturity and competitive position to guide operations and strategy

“[Board strategy is] about making sure that your AI decisions, and the risk you’re taking with them, are tied to your business strategy—not just shiny object technology discussions.” — Director H

As AI continues to reshape the business landscape, boards are uniquely positioned to oversee the risks it presents to the company’s overall strategy. What we heard from industry leaders to inform risk assessment:

• Balance the risks of action and inaction
• Align AI risk management with the organization’s strategy and ethical standards
• Consider periodic external evaluations of AI practices
• Prioritize protection of proprietary data, algorithms, and digital assets
• Maintain cautious oversight of AI’s potential and limitations, including reputational risks

“If you use AI, there are risks, and if you don’t use AI, there are risks. … A board’s role is more important now than ever before, especially because there is so much happening on the technology front.” — Director G

Recognizing the significance of AI—both today and in the future—is essential for effective governance. Defining clear ownership of AI oversight is a critical step. Key actions we heard from industry leaders:

• Regularly evaluate how AI topics are prioritized and embedded in board discussions
• Tailor governance structures to the organization’s needs and AI maturity
• Reflect on whether existing governance structures appropriately balance opportunity and risk management
• Align AI oversight with broader digital and technology transformation efforts

“For a technology company, [AI] comes up in every board meeting. You’re in the business—there’s just no way to not talk about it. … The problem is boards have to deal with a lot of things … It’s not the only thing that’s going on.” — Director A

Effective governance requires boards to remain informed about AI developments relevant to their industry and organization, and to ensure access to appropriate expertise. What we heard from industry leaders to accomplish this:

• Identify board members with AI knowledge or seek outside perspectives
• Invest in ongoing and varied education for board members
• Regularly assess board composition and skills against strategic needs
• Foster a culture of shared responsibility and continuous dialogue around AI

“I think how [AI] is being managed really depends on the voices in the room and who is pushing it or whether there’s anyone pushing it.” — Director C

Modeled after the Deloitte Governance Framework, the Roadmap helps boards navigate AI oversight responsibilities in a holistic way.

The Roadmap outlines:

• Guidance for assessing the state of AI in the organization
• Six key areas of board responsibility
• Questions to support effective challenge and oversight