Organizations Are Adopting AI Faster Than They Can Govern It 

Artificial intelligence is embedding into operations, strategy and technology stacks across sectors. For senior leaders, this means AI isn’t just a capability question; it’s a governance question. Without formal oversight, companies expose themselves to leakage, regulatory violations, reputational damage and strategic misalignment. Governance isn't a box to tick; it's a framework that integrates AI into enterprise risk, compliance and value creation. The excerpt below highlights the current gap between adoption and oversight. 

As reported by Matt Kunkel in “Lack of AI Governance Is Putting Organizations Across the Globe at Serious Risk” on SecurityInfoWatch: 

“The most pressing issue regarding AI is the lack of effective governance practices. The Verizon Data Breach Investigations Report (DBIR) highlighted a wide range of AI governance issues, including the widespread use of generative AI solutions outside of corporate policy and enforcement capabilities, which leads to significant security blind spots. A separate research report published this year noted that fewer than half of organizations have specific strategies in place to combat AI threats. With AI usage continuing to expand and technology like agentic AI becoming increasingly mainstream, organizations cannot afford to wait. They need a plan for AI governance before it’s too late. 

New Challenges Put AI Governance in the Spotlight 

As AI models become faster and more advanced, the speed at which organizations can implement and utilize them is also increasing. This has enabled organizations to create a wide range of new efficiencies within their business processes, but it has also introduced risk. The apparent advantages created by specific AI capabilities have led to a ‘don’t get left behind’ mentality, driving the need for rapid AI adoption, sometimes before it has been adequately vetted. Other AI technologies, including generative AI tools such as ChatGPT or Perplexity, are widely used and accessible, making it difficult for employers to regulate them. As the Verizon DBIR notes, employers have limited oversight over what employees share with ChatGPT when using personal devices and non-corporate accounts.” 

Continue reading “Lack of AI Governance Is Putting Organizations Across the Globe at Serious Risk” by Matt Kunkel on SecurityInfoWatch. 

Why It Matters to You 

For CEOs, CROs, CIOs and senior executives, the upshot is clear: AI isn’t just about efficiency or innovation anymore, it’s a strategic risk vector. When AI is deployed without governance, you may inadvertently expose your company to data breaches, compliance penalties, or operational failures. Embedding the right oversight mechanisms protects value, reputation and future optionality. 

Equally, this isn’t a technology-only concern. Governance binds together talent, process, risk management, legal, and strategic foresight. If your organization lacks structured AI governance, you’re not just behind on policy — you’re behind on safeguarding the business. 

Next Steps 

• CEO/Risk Committee Chair: Commission a review of your company’s AI footprint. Inventory tools, approval flows, data-access points; surface gaps to the board within 60 days. 
• CIO/CTO: Establish an AI governance committee that includes legal, compliance, risk, and business-unit leads; develop acceptable-use guidelines and oversight metrics within 90 days. 
• CRO/Compliance Lead: Integrate AI risk into your enterprise risk register. Track metrics (e.g., number of unmanaged AI tools, data exposures, incident response readiness) and set quarterly targets. 
• CHRO/Talent & Culture Lead: Develop training modules on responsible and policy-aligned AI use for all employees. Measure completion and incident reporting post-deployment. 
• CFO/Strategy Lead: Model potential financial exposure from AI governance failure (breach cost, regulatory fines, reputational loss) and allocate budget accordingly for governance versus innovation trade-off.