AI in GRC: Outlook, Ethics, and Best Practices

In the last decade, the emergence of artificial intelligence, particularly generative AI that can craft entirely original content with just instructions, has been the most significant technological leap. The coming years will be defined by how corporations can leverage AI for responsible and profitable gains. 

 

The possibilities for AI within the compliance function are vast. AI thrives on consuming large datasets, and corporations are swimming in data. Imagine a custom-built generative AI tool trained solely on your company’s transaction data, third-party information, and even internal communications. You could then use this tool as a virtual detective, asking pointed questions about compliance risks in clear, concise language. AI, in turn, would deliver clear and direct answers, highlighting potential red flags.

 

However, unlocking these potentials depends on two crucial factors: data management and access. Strong data governance practices are essential. The compliance team needs comprehensive access to all relevant data for the AI to function effectively. This might necessitate collaboration with other departments to improve data management practices and ensure your team has the necessary access and control over the data it needs. 

 

As AI technologies become more integral to business operations, addressing ethical considerations is also critical. The IEEE’s Ethically Aligned Design guidelines provide a comprehensive set of recommendations emphasizing human rights, transparency, accountability, and the need to address and prevent algorithmic bias. Organizations can navigate the moral implications of AI via these frameworks, fostering trust among users and stakeholders.

 

By prioritizing data governance and ethics, compliance officers can position themselves to leverage AI and maximize its value for the organization. Download a copy of The New Frontier of AI in Governance, Risk, and Compliance to read more.