AI adoption is surging, but policy is falling behind 

Ben Wright at The Instant Group considers the case for stronger governance of artificial intelligence systems

 

Artificial intelligence is being adopted in workplaces at unprecedented speed; usage has nearly doubled in just two years (Gallup). At Instant Offices, we’ve observed that businesses are rushing to implement AI, without the governance frameworks to keep pace. The result? Confusion, risk, and growing employee mistrust. 

 

 

Why policy lags behind technology 

AI adoption is outpacing policy for three main reasons: 

 

Speed vs. scrutiny: AI tools are easy to implement but hard to regulate. Technology can be trialled in days, whereas developing robust policies on privacy, fairness, and accountability takes months. This creates lag and employees are often left using software without clarity on permissions or limits. 

 

Complexity of risks: AI systems impact multiple areas of the business - HR, marketing, compliance, operations - each carrying unique risks. Many employers underestimate the breadth of governance required, assuming that existing IT or HR policies are enough. 

 

Lack of transparency: AI decision-making isn’t always intuitive. From hiring filters to customer service chatbots, employees and managers can find it difficult to explain or audit how outcomes are reached. This undermines trust and creates exposure to reputational, legal, and ethical risks. 

 

Without clear frameworks, organisations risk biased outcomes, unclear accountability when things go wrong, and erosion of employee confidence in corporate decision-making. 

 

 

Building robust AI governance

If businesses are to scale AI successfully, they need a structured AI policy. This policy should not only define how AI is used, but also set expectations for oversight, responsibility, and review. 

 

Key elements include: 

 

Structure and clarity: A useful AI policy should mirror other compliance documents - outlining purpose, scope, responsibilities, and enforcement. It must state explicitly when AI can and cannot be used, the types of data it can access, and who oversees its correct application. 

 

Transparency as standard: Being transparent isn’t simply about disclosing that an AI tool is in use. It requires documenting how it works, what data it draws from, and how it reaches decisions. For professionals depending on AI-led outcomes - whether in hiring, performance, or customer engagement - it is essential employers and employees understand the process as well as the result. 

 

Accountability and ownership: Policies must state who is ultimately responsible for AI outcomes. This should include senior-level oversight, allocation of roles within HR, compliance and IT, and mechanisms for escalating and investigating issues. Without clear accountability, risks can fall through organisational cracks. 

 

Fairness, safety, accuracy: An effective policy should include commitments to test for bias, validate accuracy, and conduct regular reviews to ensure AI systems remain safe and reliable as they evolve. 

 

Flexibility and review: AI technology moves fast; therefore, policies cannot be static. Policies should be reviewed at set intervals, with mechanisms to update guidance as systems change or new risks emerge. Flexibility ensures governance keeps pace with both technology and regulation. 

 

Staff engagement in design: Staff involvement in the implementation of AI tools is integral. Brief but meaningful opportunities for employees to voice concerns and raise questions help secure buy‑in and reduce resistance. 

 

 

The role of leadership 

Writing an AI policy should not be approached as a compliance exercise to tick off a list; it requires active leadership. Executives and managers must be visible in shaping, endorsing, and reviewing AI governance. Leadership engagement signals to employees that governance is not a barrier, but an enabler of responsible innovation. 

 

 

Policy as a living framework 

AI is a transformative workplace technology, but it brings as many risks as opportunities. The organisations that succeed will be those that treat policy and governance as living frameworks - documents that evolve as fast as the tools they are built to regulate. 

 

To achieve this, leaders must: 

• Establish clear, structured AI policies from the outset. 
• Integrate transparency and accountability into every use case. 
• Commit to regular reviews to keep pace with change. 

AI is here to stay. But without strong governance - designed thoughtfully, implemented clearly, and maintained actively - businesses risk losing not only control of the technology, but also the trust of their people. 

 

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Ben B Wright is the Global Head of Partnerships at The Instant Group

 

Main image courtesy of iStockPhoto.com and Supatman