Vibing your AI governance - a recipe for a breach of director's duties

Businesses and their boards have rushed to adopt automated decision making and AI solutions. Unfortunately for many, FOMO has replaced much of the decision making and planning that would traditionally be expected on a board of a company - in many cases, boards have delegated or outsourced their consideration of AI solution analysis and implementation to technical experts or consultants. 

However, the duties of directors and officers has not changed - indeed a raft of cases on the duties of directors has confirmed the status quo: responsible officers must be engaged, they must inform themselves, and they must take active steps to understand what adopting new technology solutions, like AI, requires from a practical sense and from a risk perspective (including legal, financial, and reputational should it all go sideways). With the collection of personal information and data breaches on the rise, boards must not only interrogate the benefits an AI solution can bring, but also be inquisitive about where the AI sits, who can access it internally and throughout the supply chain, and are any assurances they have been given worth the paper they are written on?

Our panel will delve into these board level governance issues and consider whether failing to adopt proper AI policies, and monitor their implementation might risk a breach of the duties under the Corporations Act.

For non-directors and technical experts, this panel aims to give you a grounding in what your directors will need when adopting this new technology and some of the risk issues you may find relevant to your work or in your briefing to others.