With the rise of AI in governance, boards must govern AI responsibly, embedding human oversight and structured processes at every stage.
There’s no denying that AI is reshaping boardroom decision-making as it becomes increasingly integrated into board operations. Organisations must adopt foundational principles that ensure transparency, ethical use and effective adoption.

A recent study by Deloitte revealed that 40% of C-suite executives believe AI has caused them to think differently about their board’s makeup. Boards are seeing AI impact the way in which they govern and must prioritise implementing it strategically.

There is a rise in AI-ready governance professionals, driving demand for the proper integration and implementation of AI in boardroom practices.

According to Ciaran Bollard, CEO of The Corporate Governance Institute, AI governance requires clear policies and frameworks to ensure accountability in leadership.

“While AI transformation is still in the early stages, it is important for boards to address how AI adoption will affect organisations. Boards must embrace human oversight to ensure proper use and education around its use.

“There is a need for human oversight. AI is not replacing human judgment in board decisions; it is a tool which can benefit the organisation. To responsibly integrate AI into governance, the board should create a framework which prioritises human oversight and aligns with the values of the company.

“All AI outputs must be reviewed and approved by a human being to ensure ethical and strategic alignment. Standardised templates and procedures must be in place to enable consistency and better regulation, including ongoing training and refinement to adapt to evolving risks and legal regulations.

“Boards must establish clear AI policies, covering access, usage, confidentiality and compliance with company and industry regulations. Data input into AI tools must be high-quality and structured to allow AI systems to generate reliable data. A thoughtful and well-planned approach is the key to ensuring AI use in the boardroom enhances innovation while addressing risks such as data security or legal liability.

“To ensure the element of human oversight, companies need to ensure introduction to AI is phased and low-risk to build trust and fluency in the organisation, and to prevent operational and legal issues in the long term.

“Collaborations across organisations and between governance teams, IT and legal departments are essential in creating a future-proof AI framework. Cross-team oversight means that all data is reviewed by several directors ensuring full alignment with company values and plans.”

Boards must prioritise these foundational principles to reduce risk factors and make the best use of AI’s potential. Organisations will be able to embrace AI responsibly while safeguarding human decision-making and future-proofing AI usage and implementation.