The Risk-Reward-Responsibility for C-Suites & Boards Embracing AI

STEVE TATE I 7-30-24

Let's face it, companies succeed or fail based on their unique perspectives of the world around them, and how quickly they adapt to those changing environment. The role of board members and executives has never been more crucial. AI is simply too much to keep up with.

With this power of leadership at the board and C-suite level comes great responsibility. Here's a few things you need to be aware of in terms of the risks when embracing AI at the boardroom level:

• Risk management: Balancing innovation by staying agile, experimenting, but with risk management will be a crucial step specific to embracing AI. While building this risk management practice you should try to be flexible but not to the point where things break.

• Develop an ethical framework: AI is going bring risk with it. Navigating the current complex AI legal landscape and maintaining ethical standards are paramount. You don't want to be the brand that steals anyone's IP flippantly, and you also don't want to be transparent with your use of AI. This approach will build trust with consumers.

• C-suite and Board competency: Does your leadership at the board level or c-suite level have any AI expertise? Consider forming cross-functional groups to bridge the knowledge gap. The author below takes a stance against subcommittees, but this is traditionally how this has been handled. Not everyone's going to have the same level of expertise. And there's not going to be one-size fits all scenario here with your leadership team.
  
  AI is going to offer all companies similar opportunities.

  Depending on how boards and C-suite leaders embrace AI, deploy it, and effectively manage the risks, will likely determine the trajectory of the company in the years to come.
  
  At WE ARE THE BOARD, a community of vetted fractional C-suite level business, branding and marketing professionals, we're closely tracking all things AI. My colleagues and I are studying AI in terms of nascent tools, best-practices, AI marketing automations and more. We're working diligently with clients independently, and in collaboration with our community, to implement the most cutting edge systems currently available on the market.
  
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