Blog
/
Boards & Governance
Phil Lim Image
Phil Lim
Director, Product Management

Can AI be trusted to influence governance and board-level decision-making?

January 23, 2025
0 min read
Female professional using artificial intelligence in the boardroom

Despite AI’s rapid adoption across all corners of business, its place in the boardroom remains a topic of debate. Can it — and should it — be trusted to influence governance at the highest levels of an organization?

For board directors, executive leadership and governance professionals, AI’s role in such high-stakes decision-making raises valid concerns. What if AI gets it wrong? What about data security? Could AI-generated insights introduce bias instead of clarity?

These concerns are understandable, and skepticism is both reasonable and necessary. But here’s the reality: AI is already enhancing governance workflows, streamlining board processes, and enabling more efficient, transparent, and data-driven decision-making. And it’s doing so through purpose-built AI solutions designed specifically for governance — ones that prioritize security, transparency, and ethical use.

Before we attempt to put the debate to bed once and for all, let’s unpack some of those very legitimate concerns you may still have about using AI in the boardroom.

The case for caution: Why boards are right to be skeptical

Governance demands absolute trust. The information shared at the board level is highly sensitive, and the decisions made in the boardroom based on that information can have far-reaching consequences for organizations, shareholders, customers and the wider public.

So, it’s no surprise that AI in governance is met with some hesitation. Among the biggest concerns include objections like:

  • “AI could compromise data security.”
    Given the highly sensitive nature of board business, any potential AI tools involved would need to guarantee absolute privacy — not share data, not mix it with other organizations, and not expose it to unnecessary risks.
  • “AI insights aren’t always reliable.”
    AI is powerful, but it can also hallucinate or misinterpret context. If it generates flawed insights, will directors know what to trust?
  • “AI could interfere with human judgment.”
    Governance is built on careful deliberation, experience, and ethical reasoning. Can AI support decision-making without inadvertently diluting aspects of these critical human attributes?

These are real concerns — and they demand real solutions.

Building trust: How to use AI without sacrificing security or control

The good news? AI can be a trusted for governance — but only when boards leverage purpose-built AI tools designed with the highest standards of security, privacy, accuracy and oversight.

Here are three essential considerations you must consider before exploring the possibilities.

1. Ensure AI tools you choose are trained exclusively for your organization

Generic AI models can be risky because they learn from vast, mixed datasets. That’s unacceptable for governance. Instead, boards need AI that is trained solely on their own data, ensuring insights remain private, contextual, and relevant — never shared or influenced by external information.

Example in action: AI-powered board management software can extract key insights from board materials, generating AI Board Book Summaries and strategic highlights — without ever pulling in outside data.

2. Demand transparency: Clearly labeled AI-generated content

Boards need to see at a glance what AI has generated versus what is human-created. This ensures directors stay in control of decision-making, using AI as an advisor, not an authority.

Example in action: With tools like AI Smart Prep at their disposal, directors can receive AI-generated questions and talking points instantly from their board pack, but every output is clearly marked, ensuring they know exactly where insights are coming from.

3. Choose AI solutions that meet the highest security and compliance standards

AI should enhance security, not introduce risk. Boards should adopt AI platforms that comply with top-tier security protocols and ensure governance data remains protected from external threats.

Placeholder Image

Introducing Diligent AI – your trusted governance assistant

AI should never be a black box in governance. When boards use AI responsibly — with purpose-built tools designed for security, transparency, and ethical oversight — it can become a powerful asset, not a risk.

For governance professionals, the question isn’t whether AI can be trusted. It’s how to use AI in a way that earns and sustains trust. By choosing AI solutions that prioritize confidentiality, clarity, and compliance, boards can move forward with confidence — leveraging AI to enhance human decision-making.

Ready to explore AI-powered governance, but without the risks? Request a demo of the Diligent One Platform today.

Put AI to work in your boardroom

Discover how AI-assisted board management software can boost your board’s efficiency, decision-making and planning with tools to use before, during and after the board meeting.

Download the guide
security

Your Data Matters

At our core, transparency is key. We prioritize your privacy by providing clear information about your rights and facilitating their exercise. You're in control, with the option to manage your preferences and the extent of information shared with us and our partners.

© 2025 Diligent Corporation. All rights reserved.