Toward AI Governance: Identifying Best Practices and Potential Barriers and Outcomes

Abstract

AbstractIn recent years artificial intelligence (AI) has been seen as a technology with tremendous potential for enabling companies to gain an operational and competitive advantage. However, despite the use of AI, businesses continue to face challenges and are unable to immediately realize performance gains. Furthermore, firms need to introduce robust AI systems and mitigate AI risks, which emphasizes the importance of creating suitable AI governance practices. This study, explores how AI governance is applied to promote the development of robust AI applications that do not introduce negative effects, based on a comparative case analysis of three firms in the energy sector. The study illustrates which practices are placed to produce knowledge that assists with decision making while at the same time overcoming barriers with recommended actions leading to desired outcomes. The study contributes by exploring the main dimensions relevant to AI’s governance in organizations and by uncovering the practices that underpin them.