Managing sensitive documents across multiple platforms might seem manageable — until it isn’t. For many growing companies, the warning signs go unnoticed: an outdated contract stored in a public drive, a sensitive HR document shared over email or missing files when an investor requests due diligence.

What starts as a minor inconvenience can quickly turn into a major risk — slowing transactions, increasing exposure and driving up costs when it matters most.

Diligent Data Room was designed for this moment. It centralizes your most critical files — board materials, contracts, financials and IP — in a secure, AI-powered platform. Allowing your team to collaborate efficiently, stay compliant and 

 for capital raises, M&A, IPOs and other strategic growth events. 

Centralized, secure collaboration that speeds transactions and simplifies governance

 eliminates the friction in managing critical documents. By centralizing everything in one secure space, your team can collaborate confidently, reduce risk and move faster — without added complexity or extra tools.

AI-powered summaries for faster document review

Lengthy reports and contract decks can slow even the most organized teams. Diligent Data Room uses AI to summarize key content, so you can understand critical information in minutes rather than hours. Whether you’re preparing board materials, investor decks or due diligence files, your team gets a clear, digestible view — no guesswork, no endless scrolling.

This can lead to faster review cycles and fewer bottlenecks, potentially reducing legal fees when working with outside counsel.

Streamlined workflows and simplified collaboration

You don’t need to be a tech expert to manage sensitive files securely. Diligent Data Room makes it simple with granular permissions, real-time version control and built-in security features like enforced NDAs and custom watermarks — ensuring that sensitive documents stay protected and access is always auditable.

The new Insights dashboard goes a step further by identifying which investors or partners are most engaged and which documents are getting the most activity, helping your team focus energy where it matters most.

Sharing files with investors, auditors or board members is just as simple. Everything lives in one platform with built-in compliance, so your team can stay aligned, reduce risk and move deals forward faster without endless emails or manual tracking.

Fill governance gaps fast and secure investor trust with this AI-powered checklist before your next capital move.

Ready for your next growth stage

Start fast. Stay transaction-ready. Scale with confidence.

Getting started is fast, especially if you already use 

. Diligent Data Room is embedded right into your existing platform, so there’s no extra setup, no new project to manage. From day one, your documents are centralized, secure and ready for collaboration.

As your company grows and transactions become more complex, Diligent Data Room scales with you. Continuous transaction readiness means you’ll never scramble to set up a data room when opportunities emerge.

 your documents flow seamlessly into board books or governance workflows, keeping your team secure, organized and investor-ready for every transaction ahead.

Ready to accelerate transaction readiness?

, log into your platform today to explore Diligent Data Room and see how it will help your team collaborate securely, streamline workflows and stay investor-ready. Need help? Your customer success manager is here to guide you.

, and one of our product experts will show you how Diligent Data Room centralizes your critical documents, simplifies due diligence and accelerates every stage of your next deal. All in one secure platform.

Introducing Diligent Data Room: Stay transaction-ready with secure, AI-powered efficiency

Risk professionals know this scenario well. Your team spends weeks preparing the quarterly risk assessment. By the time it reaches the board, two new 

 requirements have dropped, a cyber incident at a peer company has shifted your risk profile, and the report is already outdated.

Meanwhile, your spreadsheet-based risk register can't keep pace with regulatory changes across multiple jurisdictions. Competitors identify emerging threats in days while your team is still compiling last quarter's data. The gap between risk velocity and your assessment cycle keeps widening.

 addresses this fundamental challenge by transforming reactive compliance processes into continuous intelligence systems.

Organizations implementing AI-powered platforms identify emerging threats before they escalate, deploy professional ERM frameworks in days rather than months, and provide boards with real-time risk intelligence that actually informs decisions.

This guide explains how AI transforms enterprise risk management, covering:

How AI improves risk identification, assessment and continuous monitoring

6 ways AI is improving enterprise risk management

Implementation considerations for different organizational maturity levels

How AI-powered platforms transform enterprise risk management

How is AI transforming enterprise risk management?

 by providing continuous, automated risk intelligence that replaces periodic manual assessments. The technology enables organizations to identify emerging threats in real-time, assess risks across 100% of data rather than samples, and deploy professional ERM frameworks in days instead of months.

AI-powered peer benchmarking that identifies relevant risks from thousands of public company disclosures

Machine learning algorithms that detect risk patterns across siloed business data

Natural language processing that scans regulatory documents and news sources for emerging threats

Predictive analytics that forecast risk likelihood based on historical patterns and external indicators

This continuous oversight model addresses the fundamental limitation of traditional ERM — quarterly assessment cycles that create blind spots in fast-moving risk environments.

Organizations gain comprehensive risk coverage without proportional headcount increases while providing boards with current intelligence that supports strategic decisions rather than historical summaries.

1. Automated risk identification through peer benchmarking

AI scans thousands of public company disclosures to identify risks relevant to specific industries and business models. Rather than starting with blank spreadsheets, organizations access AI-powered benchmarking that surfaces risks from thousands of real-world examples.

This capability proves particularly valuable for companies establishing first-time ERM programs or entering new markets. AI algorithms analyze peer disclosures to identify industry-specific threats, emerging risk categories and risk language that satisfy investor and regulator expectations.

"It's a solution that was properly priced, quick to deploy, and simple to learn — enhancing our enterprise risk management program and delivering immediate value to all stakeholders," says Melanie McGrath, General Counsel at CBCL Limited, describing her experience implementing AI-powered risk identification.

2. Continuous monitoring replacing periodic assessments

Traditional risk management operated on quarterly or annual cycles, creating gaps where threats escalate undetected between assessment periods. AI enables 

 through automated data feeds from financial systems, operational databases, cybersecurity platforms and external threat intelligence.

Platforms analyze transactions in real-time, flag threshold breaches automatically and provide executive alerts when risk indicators exceed predetermined parameters. This shift from periodic snapshots to continuous oversight fundamentally changes how organizations manage uncertainty.

3. Predictive analytics for emerging risk identification

Machine learning algorithms analyze historical risk data, external market indicators and operational metrics to identify patterns that signal emerging threats. On the other hand, predictive models forecast risk likelihood and potential impact based on factors that precede similar incidents in the organization's history or industry.

These capabilities prove essential for organizations managing complex, interconnected risks where traditional assessment methods struggle to identify correlations across business units, geographies and risk domains.

AI surfaces relationships between operational risks, financial exposures and regulatory requirements that manual processes typically miss.

Natural language processing enhances predictive capabilities by analyzing regulatory announcements, industry news and competitor disclosures. This allows it to identify trends that may affect the organization's risk profile before 

 take effect or market conditions deteriorate.

4. Intelligent risk assessment and scoring

AI automates risk scoring by analyzing multiple data inputs simultaneously — historical incident data, control effectiveness metrics, external threat intelligence and operational performance indicators. Machine learning algorithms continuously refine scoring accuracy as new data becomes available, eliminating manual recalibration requirements.

"There needs to be collaboration between risk and the business, vertically up and down but then also horizontally across the organization. It is absolutely essential — collaboration across risk departments. The problem is there are silos. Risk and audit are interconnected and interdependent," says Michael Rasmussen, CEO of GRC Report.

 bridges these silos by correlating data across departments and risk categories. Platforms identify where single incidents create exposure across multiple risk domains, enabling organizations to develop integrated response strategies rather than managing risks in isolation.

Organizations traditionally spent months working with consultants to establish ERM frameworks, develop risk taxonomies and implement assessment processes. AI-powered platforms compress this timeline to as little as 7 days through pre-built templates, automated workflows and intelligent guidance.

"Keep it practical. Keep the ERM program practically designed and not overly complex, through the entire lifecycle of the ERM process. High, medium, low are good enough. Keep your presentations to the board simple. Demonstrate practicality throughout the entire process," advises Maurice L. Crescenzi, Jr., Industry Practice Leader at Moody's.

AI enables this practical approach by automating routine tasks like risk data collection, assessment workflows and report generation while focusing human expertise on strategic risk response and stakeholder communication.

The rapid deployment capability is critical for 

 companies demonstrating governance maturity during transaction-readiness periods or for newly acquired subsidiaries requiring immediate risk framework integration.

6. Enhanced board-level risk communication

AI transforms complex risk data into executive-ready visualizations, trend analysis and predictive insights that support 

. Automated reporting capabilities generate professional risk committee materials directly from platform data, reducing preparation time from days to hours.

"[Visuals are] very important. When we started our ERM journey, we weren't set for it, nor did we have in-house expertise. Everyone had their own idea of risk. We worked on an assessment and internal calibration effort to educate people about what we meant about the implications of the word 'risk.' The first presentation was, 'Here are some risks.' We put up a heatmap and I could feel the board's sigh of relief. A heatmap is a communication tool," explains Inna Barmash, Chief Legal Officer & Corporate Secretary at Amplify.

Discover how AI-powered risk platforms provide real-time intelligence that transforms board oversight and strategic decision-making.

Strengthen risk governance with AI

Implementation considerations across organizational maturity

AI implementation success depends on matching platform capabilities to your organization's 

Companies establishing first-time risk programs need rapid deployment and guided workflows that don't require specialized expertise.

On the other hand, organizations with existing ERM frameworks need integration capabilities and advanced analytics that enhance current processes. Both face the challenge of governing AI itself as a risk while deploying it to manage other risks.

For organizations establishing their first ERM programs

Companies launching risk management programs face the challenge of building credible frameworks quickly without extensive internal expertise or consultant dependency.

Diligent Institute's What Directors Think 2025 report

, 42% of directors see potential in AI to optimize operations and enhance workforce productivity. However, 32% cite a lack of internal AI capabilities and knowledge among leadership teams as the biggest risk of deploying these technologies.

AI-powered platforms address this expertise gap through:

Automated peer benchmarking that identifies relevant risks

Pre-built templates that provide a professional structure

Intelligent workflows that guide teams through assessment processes without requiring specialized knowledge

Organizations benefit from AI-native platforms that establish professional risk management foundations in compressed timeframes. This is particularly critical for companies preparing for funding rounds, IPOs, or acquisition 

, where governance maturity directly impacts transaction success.

For organizations enhancing existing ERM programs

Established risk functions face different challenges:

Manual processes that don't scale with business complexity

Delayed reporting with information that becomes stale before reaching decision-makers

AI enhances existing programs by automating routine tasks, providing real-time monitoring and delivering predictive intelligence.

Integration with existing business systems enables comprehensive risk visibility without replacing functional applications. AI can layer sophisticated analytics over current technology investments, correlating data from ERP systems, compliance platforms and operational databases into unified risk intelligence.

The enhancement approach proves particularly valuable for enterprise organizations managing global operations where manual data compilation across business units creates reporting delays.

Governance frameworks for AI in risk management

Organizations deploying AI for ERM must simultaneously govern AI as a risk itself. "Have a candid assessment of what your board's capabilities are… The board needs to apply an appropriate level of governance pressure to someone who's going to oversee the AI landscape, the risk exposure, the disruption, and the opportunity," says Keith Enright, VP & Chief Privacy Officer at Google and Board Director at ZoomInfo.

 requires clear accountability structures, validation protocols for AI-generated insights and transparent documentation of how algorithms reach conclusions. Organizations should establish AI ethics frameworks, data quality standards and human oversight processes before deploying AI-powered risk tools.

Diligent’s 2025 Risk and Opportunity Outlook

 emphasizes that implementing ethical frameworks from the beginning of an AI strategy keeps ethical standards at the forefront, regardless of regulatory changes ahead.

AI ethics prove crucial for embedding transparency and accountability that builds user trust in the technology.

Organizations implementing AI for risk management need technology that addresses their specific maturity level and organizational complexity.

The right platform choice depends on whether you're establishing first-time ERM infrastructure or enhancing existing programs with advanced analytics.

Rapid ERM deployment for growing organizations

For companies establishing risk management foundations quickly, 

 provides the fastest path to professional ERM infrastructure. The platform kickstarts programs in under 7 days through AI-powered peer benchmarking that identifies relevant risks from 180,000+ real-world examples in public company disclosures.

Organizations benefit from training tools, templates and unified workflows that guide teams through risk identification and assessment without consultant dependency.

The rapid implementation timeline proves essential for pre-IPO companies 

 or growing businesses demonstrating governance maturity to investors during funding rounds.

AI-powered risk discovery eliminates the challenge of starting with blank spreadsheets, while workflow automation makes ERM accessible and actionable for lean teams managing multiple responsibilities.

Comprehensive risk orchestration for complex operations

Large organizations with established ERM programs require platforms that manage complexity across global business units, integrate with existing systems and provide advanced analytics for strategic decision-making. 

 centralizes risk management through AI-powered identification, Moody's risk benchmarking data and real-time reporting capabilities.

The platform addresses enterprise-scale challenges:

Manual data compilation across subsidiaries

Fragmented risk systems that prevent a holistic view

Reactive reporting that doesn't enable proactive risk management

AI-driven risk intelligence surfaces emerging threats before escalation, while interactive dashboards provide role-specific visibility for different organizational levels. Integration with board management platforms ensures risk intelligence flows seamlessly into board materials and committee reporting.

The comprehensive approach proves particularly valuable for organizations managing multi-jurisdictional compliance, complex supply chains, or rapidly evolving cyber threats where traditional risk assessment cycles cannot maintain pace with business velocity.

Whether you're launching your first ERM program or optimizing existing risk frameworks, the right AI-powered platform matches your organizational maturity and complexity.

Ready to discover how AI-powered risk management transforms governance oversight? 

 to see Diligent's ERM solutions in action.

FAQs about AI in enterprise risk management

How does AI address the resource constraints that prevent comprehensive ERM?

AI automates time-consuming manual tasks, including data collection, risk assessment scoring and report generation. Platforms process 100% of transactions rather than statistical samples, providing comprehensive coverage without proportional headcount increases.

Organizations implementing Diligent’s AI-powered ERM see substantial efficiency gains across maturity levels. Companies establishing first-time programs deploy professional frameworks in 7 days rather than the months traditionally required with consultants.

For enterprises with existing programs, automation delivers measurable resource optimization. Organizations reduce report generation time, accelerate audit cycles, and achieve 50-80% time savings through workflow automation.

Additionally, Diligent ERM customers report 60% cost savings compared to manual risk management.

AI in enterprise risk management (ERM): Transforming risk intelligence for strategic advantage

Ten insights shaping boards in the year ahead

Boards entered 2025 facing rising risk, economic volatility, and an urgent mandate to modernize oversight. At Diligent, we recently hosted the Elevate Leadership Summit, a by‑invitation gathering of corporate directors and executives alongside a curated set of experts, for confidential, Chatham House Rule-style discussions to dissect these issues and look to the future of corporate governance.

Across sessions, a clear through‑line emerged: the most effective boards are shifting from moving from passive oversight to active, data‑driven governance with disciplined processes and human judgment at the center. Here’s what our expert speakers and experienced director attendees had to say about the trends to watch out for in 2026:

1) From passive to active GRC—augmented by AI

Active GRC is replacing passive oversight as directors confront increasing risk and low confidence in near‑term conditions. Speakers suggested augmenting teams with AI agents to handle foundational tasks and “ask the next question,” freeing leaders to focus on strategy amid resource constraints.

2) AI governance: Measure what people actually do 

The biggest AI risk isn’t only technical, it’s invisible usage. AI governance should incorporate real usage metrics, not just periodic sentiment surveys, and pair cultural encouragement (safe experimentation and knowledge‑sharing) with “lighthouse” projects that prove measurable value to employees and shareholders.

3) Culture oversight is expanding and needs better data

Board oversight of culture has outgrown legacy tools. Public trust continues to concentrate on employers and brands, and employees increasingly make choices based on societal beliefs. Activism is rising, and many boards still haven’t discussed company stances on social issues. Our speakers discussed the possibility of utilizing a broader range of anonymized unstructured data - such as employee intranet messages and chat data - into decisio useful insights, while ensuring individual employees aren’t being singled out or retaliated against for escalating concerns.

4) AI literacy and security remain non‑negotiable

Boards need AI literacy and strong cyber foundations; there’s no leapfrogging weak security into trustworthy AI. Keep a human in the loop, test for bias systematically (using available benchmarks), and consider experimenting with smaller models and improved licensing terms where they fit the use case and data‑governance needs.

Early red flags require pre‑defined protocols, not improvisation. The first 72 hours following a crisis event should trigger escalation playbooks, evidence preservation (including email freezes), independent counsel where appropriate, and non‑retaliation toward whistleblowers, all paired with board‑level visibility and documented independence.

Continuous monitoring (increasingly AI‑enabled) can surface fraud risk indicators earlier, narrowing the expectation gap around what audit and compliance actually do.

6) Speak‑up culture is a strategic asset

A speak‑up culture with higher hotline usage is a positive signal, but only if organizations close the loop, protect anonymity, and report metrics to the board. Leaders should be encouraged to normalize and celebrate reporting, which reduces fear and builds trust across the enterprise.

7) Board-executive dynamics are shifting under scrutiny

Executives are pushing for director refreshment, and more of them see boards overstepping compared to last year. Meanwhile, CEO turnover is up, with most U.S. departures described as unplanned. These themes raise the premium on preparedness, role clarity, and disciplined engagement between boards and management.

8) Succession planning must be continuous and robust 

Effective succession planning should be continuous and discussed at every meeting, with directors knowing the pipeline at least one level down and preparing for unexpected transitions – including mission-critical roles beyond the CEO.

The board chair’s (or independent lead director’s) role in tone‑setting and inclusion is pivotal. Boards can benefit greatly from periodic third‑party evaluations to raise effectiveness.

9) Executive compensation is evolving amid volatility

Executive compensation committees are recalibrating discretion, which allows boards to award compensation based not only on results, but qualitative assessment. COVID‑era lessons showed shareholders tolerate discretion in executive compensation when the rationale is strong and disclosure is clear.

Executive security as part of the compensation package is rising as a governance and risk issue; Policy and regulatory discussions happening at the SEC point to potentially simpler disclosures as early as the 2027 proxy season, while state‑level rules are reshaping proxy‑advisor practices.

10) Better questions and diverse composition strengthen oversight

Directors who ask, “What do I need to understand?” and “Do I have all the information?” sharpen risk oversight. Building formal and informal trusted channels with audit and compliance leaders can improve signal quality, while targeted training helps boards recognize fraud indicators. Evidence that boards with a broader range of perspectives are more effective highlights the value of having a well-balanced and diverse composition.

The year ahead will reward boards that operationalize judgment: clear protocols for crises, richer data streams on people and culture, pragmatic approaches to compensation, and step‑wise AI adoption that starts with the reality of how employees are using it. The common denominator is disciplined curiosity. The best directors will ask better questions, measure what matters, and adapt faster.

If these insights resonate with your board or leadership team, consider a structured review of your speak‑up mechanisms, succession playbooks, culture data sources, and AI governance metrics to ensure they’re meeting today’s pace of change. Then, pick one “lighthouse” initiative to prove value within the next two quarters and use the learning to scale.

Note: The Elevate Leadership Summit is an annual, by‑invitation gathering of corporate directors and CEOs, alongside a curated set of experts, for confidential, Chatham House Rule-style panel discussions.

Top board trends in 2026

This article originally appeared in our November 6 edition of the Diligent Minute Newsletter. For more insights like these, delivered straight to your inbox, subscribe

Cyber threats, AI disruption, and geopolitical instability are reshaping the audit landscape — and 4,000 audit leaders across 131 countries have weighed in. Whether you’re on the internal audit team, serving on your board’s audit committee, or working in partnership with them, the IIA’s 2026 Global Risk in Focus report has insights for you. This year’s edition reveals the key risk areas
to focus on and highlights how risk is changing across regions and sectors (with tips on how to achieve compliance with updated 

2026 Global Risk in Focus: Top risks for internal audit (Cybersecurity, AI, Geopolitics)

 remains the number one concern for organizations worldwide, with 73% of respondents naming it a top five risk. 

pronounced in North America and Europe, where more

than 80% of organizations put it at the top of their list.

, has seen the second largest jump in perceived risk with an increase of 9 percentage points year-over-year. Organizations are racing to implement new technologies,
but many are running into infrastructure and skills gaps.

3.Geopolitical uncertainty leapt 10 percentage points 

globally, now ranking sixth overall. North America saw the sharpest spike (up 19 points), driven by shifting U.S. trade policies and global conflicts.

4.Business resilience (47%) and human capital (43%) round out the top global risks.

 Organizations are feeling the pressure to shore up supply chains and crisis response capabilities. Meanwhile, talent shortages, wage competition, and generational shifts keep human capital risk firmly on the agenda. 

 Regulatory change (41%) is closely linked to geopolitical risk. Where political uncertainty is high, regulatory challenges follow.

How audit committees can close the risk-to-audit gap

I asked Curtis Warfield, experienced public company director, Audit Committee Chair, and former Chief Audit Executive, his thoughts on bridging the risk-to-audit gap. He outlined five steps:

“As an Audit Chair, I see the gaps as driven by limited expertise in emerging areas like AI and digital disruption, audits taking longer than planned, and the need to balance enterprise-wide coverage with limited resources.” says
Warfield. 

“It’s a risk–reward trade-off,” he goes on. “Sometimes management also has major deliverables in progress, which limits timing for audits. Audit committees can help by understanding these constraints, supporting skills development, and encouraging dynamic adjustments to the plan when new or fast-moving risks emerge.”

“Internal audit should not just police — it should partner,” says Warfield. “The key is alignment with senior leadership so internal audit can help ensure technology risks are managed without slowing innovation.” He adds, “Audit leaders should focus on being strategic partners, not just reviewers, and work closely with the business to embed technology risk considerations into
transformation projects from the start.”

Audit committees add the most value when they understand the process behind the audit plan. “Members should take time to learn how the ERM process connects to strategy and how audit allocates time across the risk
profile,” advises Warfield. “That understanding makes it easier to have meaningful dialogue about priorities. Regular communication and progress updates help keep the plan dynamic and aligned with emerging risks.”

4.Support advisory work while maintaining independence

“Tone at the top is critical,” Warfield emphasizes. “The audit committee and board chair can reinforce that internal audit’s role is not to police management, but to be a strategic partner while maintaining independence. It’s a delicate balance — audit must still provide objective assurance, but it can also offer valuable advisory input on AI governance,

, or scenario planning. Clear boundaries and communication make both roles possible.”

5.Build an agile, forward-looking partnership

Agility starts with alignment. “Everyone should understand the audit process, how it ties to enterprise risk and strategy, and how resources are deployed,” says Warfield. “The audit committee should be willing to adjust its agenda
throughout the year for new risks and ensure flexibility in hours and resources to respond to change. That’s how audit and the board can stay proactive and effective in uncertain environments.”

Looking to stay ahead of the curve on audit governance? Check out the 

IIA’s new Center for Audit Committee Leadership. 

The Center offers audit committee members tailored strategic advice, best practices, and educational resources to help ensure internal audit functions are effectively structured and integrated within your organization’s governance framework.

Diligent

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Introducing Diligent Data Room: Stay transaction-ready with secure, AI-powered efficiency

AI in enterprise risk management (ERM): Transforming risk intelligence for strategic advantage

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