SHANNON NASH.

DIRECTOR: NETSCOUT, Sofi Bank

CFO: Wing (An Alphabet Company)

Artificial intelligence (AI) has become increasingly significant for businesses across various industries and sizes. While AI chatbots, also known as generative Al, have gained widespread attention, there are numerous other ways in which AI can benefit businesses:

* Automation. Utilizing AI-powered automation, businesses can achieve cost reduction, enhanced efficiency and improved accuracy by automating monotonous tasks like data entry, customer support and inventory management.

* Data analytics. AI-driven data analytics empowers businesses to analyze vast amounts of data instantly, providing valuable insights that were previously unattainable.

* Natural language processing (NLP). NLP enables computers to comprehend and interpret human language, allowing businesses to automate customer support, enhance chatbots and Improve accessibility for individuals with disabilities.

While AI can help streamline tasks and improve efficiency, companies must recognize the potential risks and establish strong AI governance practices to mitigate them. This is where the role of the board becomes crucial. The board is responsible for ensuring that the company is operating in a responsible and sustainable manner.

As AI becomes more pervasive in business operations, it's critical that the board take an active role in overseeing the implementation and governance of AI. There are several areas and questions the board should be thinking about related to AI governance.

Take inventory of AI use in the business. The first area the board should focus on is taking an inventory of how AI is being used. Many companies use AI without the board being aware of the level of use. Even non-technology companies are leveraging AI, such as fast food restaurants using AI for drive-through customer orders. The board should understand how data, algorithms and other technologies are being used in its business and service offerings, including third-party products that embed AI technologies. By taking stock of AI applications, the board can better evaluate associated risks and benefits.

Identify and mitigate risks. AI can also create new risks, such as bias in decision-making, loss of jobs and data privacy concerns. The board should ensure that these risks are identified and mitigated through appropriate AI governance practices. The board should also understand how AI is being used in operations, such as AI chatbots...