Intro
Artificial Intelligence is a broadly used term in strategy documents and technology discussions, often without precision. In governance contexts, clarity is essential because AI is not a single technology but a class of capabilities with very different implications.
1. What is it?
Artificial Intelligence refers to systems that perform tasks normally requiring human cognitive abilities, such as pattern recognition, language processing or decision support.
2. What problem does it claim to solve?
AI claims to improve efficiency, consistency and speed in complex or data-intensive tasks where human capacity is limited.
3. Where does it typically appear in organisations?
In ERP systems, forecasting, fraud detection, customer interaction tools, reporting support and process automation.
4. What can go wrong if it is misunderstood or misused?
Treating AI as a single, controllable system can obscure differences in risk, autonomy and reliability, leading to inappropriate delegation of judgement.
5. Who is accountable, and what oversight is required?
Management remains accountable for outcomes. Boards and audit committees must understand where AI influences decisions and ensure oversight structures are in place.