What are the benefits of implementing an AI governance framework?

All organizations should have an AI governance framework to ensure responsible, compliant, and effective AI use. These policies enhance accountability, transparency, and trust while optimizing performance and aligning AI with organizational goals and ethical standards.

My thoughts are:

Every business working on developing or using AI based tools and technology needs to have a governance mechanism. It will benefit as under:

Determining the status and need for change in its policy and procedures related to AI use and development
Help keep checking adherence to evolving regulatory requirements and industry standards
Help setting a direction (policy) for the company to meet its social responsibility wrt disruption AI is causing and certain moral issues emerging with its use and in building trust for technology
Promote ethical business practices by brining transparency
Encourage innovation with certain boundaries and for overall human benefits
Help to mitigate potential risk and crisis situation and provide a way to handle those situations

Karlena Lewis has summarized the benefits quite concisely.

What I have seen in practice is AI Governance is best implemented on 'Use Case' basis. Basic Controls for treating AI risks, especially the technical ones, changes from one use case to another. You need to concentrate on use cases and create effective governance around them and technical teams have a big role to play within. For example:

1. If you are using the most often deployed Retrieval Augmented Generation (RAG) in Azure AI Search , below is a good source of governing controls to build within:
https://learn.microsoft.com/en-us/azure/search/search-security-overview

2. If you have subscribed to Copilot for Microsoft 365 , then take a look at 'How does Microsoft Copilot for Microsoft 365 protect organizational data?' This will give guidance for some governing controls to consider.
https://learn.microsoft.com/en-us/copilot/microsoft-365/microsoft-365-copilot-privacy

Just like Data Protection Officers soon found themselves in the dark without superior knowledge of Privacy-enhancing technologies (PETs), Chief AI Officers will need to have the right balance between legal and technical knowledge of both regulatory risks assessments and their 'implementable' tech treatments.

clarity on roles and responsibilities; ability to bring together cross-functional experts; efficient and consistent decision making; transparency