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Definition

AI Governance

AI governance is the set of policies, controls and processes that guide how AI systems are built, deployed and monitored responsibly.

Also known as: AI risk management, AI oversight

Short definition

AI governance is the discipline of managing AI systems responsibly. It covers policies, risk assessments, documentation, model evaluation, privacy controls, security, monitoring and accountability.

How it works

Organizations define which AI uses are allowed, who approves them, what data can be used, how outputs are reviewed and how incidents are handled. Governance should match risk: a brainstorming tool needs less control than a system affecting finance, health or employment.

Example

A company may require teams to document data sources, test hallucination rates, log model usage and add human approval for external customer communication.

Why it matters

AI governance helps companies move faster without losing control. It reduces legal, security and reputational risk, and it gives teams a clear path for deploying AI features responsibly.