Shadow AI

FAST-PACED TECHNOLOGY

AI is a fast-paced technology field based on the principles of open source. Datasets for AI, AI models, and AI products are being released every day for anyone to use—no deep expertise required. This is especially true for generative AI (GenAI), the application of AI that can create and process content at unprecedented speed sand volumes. Increasingly, people are adopting GenAI in the form of personal assistants, and many have come to rely on the variety of tailored experiences and optimized processes offered by AI.

THE RISE OF SHADOW AI

Your organization has already seen a surge in the deployment of “Shadow AI” models – not unlike the historical spread of Shadow IT (end-user-purchased PCs and software). The rise of AI will trigger a similar pattern as departments like Marketing, Supply Chain, and HR take it upon themselves to deploy AI solutions. This widespread adoption will cause the proliferation of a shadow AI model environment.

AI Governance Challenges

Moreover, as AI models are developed and enhanced, their complexity will grow. This complexity refers to the intricacy of tasks or demands managed by the model. It’s likely that a model will also experience an expansion in scope, tackling a more diverse range of tasks typically performed by an individual or product/service.

Effectively managing AI within an organization goes beyond simply dealing with a higher number of deployed models in the coming years. It also entails overseeing model complexity, scope, user count, and the proliferation of Shadow AI. A comprehensive enterprise approach and well-thought-out AI Governance strategy are vital to tackle this burgeoning landscape of AI and Shadow AI. Over time, artificial intelligence will demand increasingly intricate procedures and governance structures for optimal management.

So, what are three things that the organizations need to consider?

AI Management

As AI models are deployed more extensively inorganizations, how will they effectively manage this surge? Furthermore, how will they address the expected rise of Shadow AI?

AI Governance

What does AI governance mean to the organization, who holds accountability for it, and what responsibilities do these individuals carry?

AI Communications

How does an organization foster open communication about AI, instill a sense of accountability among its members, encourage learning AI-related skills for all, and, most importantly, tackle Shadow AI? The intricacies of artificial intelligence extend well beyond merely increasing the number of deployed models. It’s crucial for CxOs to stay vigilant and zero in on the potential impacts of Shadow AI on their organizations.

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