As a senior leader exploring how to leverage AI in your business, you likely recognise the need for governance to ensure ethical, lawful, and effective AI deployment.
Forming an AI committee is a pivotal first step, but its success hinges on clearly defined goals and a well-drafted charter. Governance in AI isn’t just a bureaucratic hurdle; it’s a vital framework that helps to mitigate risks and align AI initiatives with business objectives.
Think short and long term
When setting goals, it's prudent to consider both near-term business impact and long-term AI adoption.
Quick wins such as cost savings and efficiency gains demonstrate value, while sustaining change requires a strategic approach to gradually embed AI across the organisation.
Quantitative and qualitative goals
There are two main types of goals to consider: quantitative and qualitative.
Quantitative goals are about measurable results. They are clear targets with numbers that show you the progress made, like hitting a sales target or reducing the time spent on certain tasks. They provide a straightforward way to see if the AI tools are delivering the desired outcomes.
On the flip side, qualitative goals tap into the experiences and perceptions within the organisation. They help gauge how employees are adapting to the new AI tools or how the new technology is affecting the company culture. For example, is the new AI system improving team collaboration? Are employees finding the AI tools helpful or frustrating?
Having a blend of quantitative and qualitative goals provides a balanced view. It’s like having both a speedometer to measure how fast you’re moving and a compass to check if you’re headed in the right direction.
Quantitative goal examples:
- Increasing customer support ticket throughput by 20% within 6 months through AI automation.
- Reducing content production costs by 30% within 1 year through AI content generation.
- Improving supply chain forecast accuracy by 10-15% by applying predictive analytics.
Qualitative goal examples:
- Improving employee satisfaction with AI tools as measured by surveys.
- Assessing whether teams are more productive and collaborative with AI assistance through leader interviews.
The goals should align with the organization's overall strategic objectives, ensuring that AI initiatives drive tangible business value while contributing to a culture of continuous learning and innovation.
Drafting an AI Committee charter
The committee's charter should describe its scope, authority, and responsibilities, providing a firm foundation for decision-making and accountability.
- Is the committee advisory or does it have decision-making power?
- Does it oversee ethical risks, legal compliance, and other concerns?
- Is the scope company-wide or focused on certain functions like marketing?
Importantly, the charter should empower the committee to:
- Oversee AI pilots and implementations across business units.
- Continuously measure outcomes and business impact.
- Refine solutions based on quantitative ROI and qualitative adoption feedback.
- Provide guidelines and guardrails for safe, ethical AI use.
Consider developing a RACI (Responsible, Accountable, Consulted, Informed) matrix to map out roles for strategy, development, compliance, risks, and more.
The RACI matrix is a straightforward tool to delineate roles and responsibilities, ensuring clarity and alignment among committee members and stakeholders.
Defining success metrics for continuous evaluation
Define success metrics that evaluate both direct returns and organisational change. These metrics should be reviewed and possibly revised periodically to ensure alignment with evolving organisational goals as AI maturity advances.
- Cost reductions from automating tasks.
- Revenue gains from AI products or features.
- Improved efficiency and accuracy of operations.
Soft Adoption Measures:
- Employee surveys on AI satisfaction.
- Leader feedback on team productivity.
- Assessing if AI has become embedded into workflows.
Reflect on the question, "How would your teams feel if you removed AI?"
How would your teams feel if you removed AI?
Sustained behavioural and business impact indicates the committee is effectively integrating AI into the company's DNA.