AI regulation: Prepare for a more-restrictive future

Establishing sound risk management and governance for automated intelligence is a good first step. But it’s not nearly enough.

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AI Regulations: Present and Future provides a wide-ranging look into what business can expect in terms of AI rules and regulations by state and federal governments as well as international bodies. The report also drills down into strategies companies may want to explore to cope with current and future regulations.

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With increasing global and U.S. regulations on the horizon, now is the time for businesses to implement trusted AI programs that quickly assess and understand risks. These regulatory pressures require organizations to move from the planning stage to putting ethical and operational principles into practice. Instituting responsible governance, policies, and—equally important—controls is essential to limiting exposure to lawsuits, fines, and other court and regulatory sanctions and penalties.

The report highlights several “core regulatory principles” that businesses should address, including:

Alignment on regulatory principles, such as fairness, accountability, risk management, security and resiliency, data privacy, and data integrity
AI regulatory frameworks, including evolving cyber and risk management systems and the expanded use of existing model risk and third-party frameworks
Preparation for upcoming regulatory activity
The need for appropriate controls, documentation, monitoring, testing, and management/board oversight.

As your AI programs grow, so do your potential risks. Our new report highlights steps companies can proactively take—immediately as well as in the mid- to long-term—to prepare for potential legislation by the U.S. Congress and state governments, as well as rulemaking by federal or state agencies, and international regulators.

Five steps to prepare for increased regulation

The following steps will put you in a stronger position to deal with current and future regulatory challenges to your AI programs:

Defining the appropriate AI governance framework, which includes identifying various risk levels for AI systems and setting up sustainable data-management practices.

Knowing, prioritizing, and managing your AI risks, including inventorying and classifying your current AI landscape.

Initiating a scalable approach to addressing AI risks, including automating your systems to evaluate and manage risks and training your employees on AI ethics and compliance.

Developing an ethics and governance program that features AI literacy and training courses.

Embedding trusted AI in innovation, designs, and controls, which should include auditing and updating your systems regularly.

A new regulatory framework for AI

Companies will be required to comply with new, even more restrictive AI rules and regulations from federal, state and international governing bodies. To stay ahead of the curve, now is the time to establish a compliance framework that includes the following elements:

For more information on how we can help you design and implement a trustworthy and ethical AI framework to help you along your trusted AI journey, download our new report, AI Regulations: Present and Future.

Dive into our thinking:

AI Regulations: Present & Future

Present Regulatory Trajectories and Future Horizons

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