Artificial intelligence is no longer content with transforming businesses and internal processes: it could well profoundly change corporate governance.

In an environment marked by increasing complexity and an increasingly demanding regulatory framework, AI appears to be a strategic tool capable of optimizing performance, anticipating risks and strengthening compliance.

For boards of directors, it represents a valuable opportunity to enrich data analysis, inform strategic decision-making, and act more quickly.

But this technological revolution is also accompanied by major questions: what ethical limits should be set? How to integrate this technology without losing sight of human and organizational issues?

Si artificial intelligence makes it possible to redefine the contours of governance, it is still necessary for management bodies to know how to make wise use of it, in line with the values of their company.

What is corporate governance?

Corporate governance refers to the set of mechanisms, rules, and practices that frame how a business is run, administered, and controlled.

It seeks to establish a coherent and equitable decision-making structure, ensuring that the interests of the various stakeholders — shareholders, CEOs, employees, investors — are respected and balanced.

Appeared in French economic discourse in the 1990s, this concept highlights the organization of power within the company.

Basically, it is a question of guaranteeing responsible, transparent and sustainable management, by defining the roles of each person in the chain of command.

Based on a subtle balance between control and efficiency, good governance is an incredible driver of business performance.

The fundamental pillars of corporate governance

Governance is based on four main principles that guide its functioning:

• Transparency, which involves the clear and honest dissemination of key business information in order to build the trust of stakeholders.
• Responsibility, by precisely defining the roles of everyone within the organization, including those of the board of directors and the management team.
• Fairness, which ensures fair treatment of shareholders and prevents certain decisions from benefiting one group at the expense of others.
• The performance, which aims to optimize company results over the long term by motivating CEOs with clear and measurable goals.

These four pillars are actively involved in effectively link governance and trust.

Two forms of governance

There are two main governance models, each responding to a specific logic in terms of the distribution of the value created:

• The shareholder model, more traditional, puts the interests of shareholders first. It seeks to provide them with rigorous control over the actions of CEOs in order to maximize the financial value of their investment.
• The partnership model, more modern, broadens the strategic vision to all the company's stakeholders. This approach aims to integrate social, environmental and economic concerns into the decision-making process, in order to ensure sustainable and ethical growth. It is part of a logic of social responsibility, where financial performance coexists with society's expectations.

Key figures in corporate governance

Corporate governance is based on the interaction of several fundamental actors who ensure the balance and transparency of organizational functioning. Among them:

• The board of directors takes center stage. He sets the main directions of the company, supervises the general management and ensures that the decisions taken serve the interests of the company.
• Shareholders, as owners of capital, have a say in major decisions at general meetings. Their role is crucial in guaranteeing a certain legitimacy for strategic choices.
• Specialized committees, often composed of board members, focus on sensitive areas such as executive compensation, appointments, or the conduct of audits. They ensure the rigorous application of governance principles.
• Executive management, for its part, implements the strategy decided by the board and manages operations on a daily basis.
• External stakeholders — suppliers, customers, creditors, regulators or even local communities — although they do not sit directly on governance bodies, influence decisions through their expectations, their rights and the impacts they suffer.

Synergy between these various stakeholders is essential to ensure efficient, equitable and transparent governance, aligned with economic, social and environmental challenges.

The impact of artificial intelligence on governance practices

Artificial intelligence is profoundly transforming corporate governance. AI is paving the way for more agile, more reliable and better informed management methods.

More agile governance through intelligent data exploitation

Today, businesses collect huge amounts of data, but it's often underused. Artificial intelligence makes it possible to transform this mass of information into performance levers.

With machine learning and automation, organizations can accelerate data analysis, detect emerging trends, anticipate risks, and adjust their strategy in real time.

This significantly reduces decision times and improves the ability to adapt to a changing economic environment.

More objective governance for uninfluenced decision-making

One of the major contributions of AI lies in its ability to mitigate cognitive biases, often present in human decisions.

Unlike a decision maker influenced by emotions, relationships, or past, an AI evaluates situations based on measurable facts and statistical analyses.

This promotes more objective decision-making, especially in complex or high-stakes contexts, while providing valuable support to leaders.

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When artificial intelligence becomes a strategic lever for corporate governance

In the dynamic and competitive world of modern business, making informed decisions quickly has become a determining factor in success.

Let's take The case of a giant like IBM: by integrating artificial intelligence into its decision-making process, the company has significantly accelerated the analysis of complex data, reducing the time spent on this crucial task by almost a third.

Thanks to advanced AI solutions, IBM was able to process a multitude of parameters, offering its CEOs a clear and immediate vision of market developments.

This increased responsiveness has allowed them not only to optimize their operations, but also to unearth unexpected opportunities, thus generating several billion dollars in additional revenue.

And IBM is no exception.

According to several surveys, more than 80% of organizations that have adopted artificial intelligence technologies say they have seen a significant improvement in the quality of their decisions.

However, this transformation comes with new responsibilities.

To exploit AI in an ethical and responsible manner, companies must put in place rigorous governance in order to avoid excesses, especially in terms of bias and transparency.

Corporate governance and artificial intelligence: the challenges

As AI becomes a key tool in business management, compliance managers are facing new and complex challenges.

These include protecting privacy, reducing the biases inherent in algorithms, and managing risks associated with technology partners.

To face these challenges, it is essential to Define a governance strategy adapted to the specificities of artificial intelligence, which anticipates its risks while promoting responsible adoption.

Data security: a strategic imperative

AI is based on the massive exploitation of data, which is often sensitive, making it a prime target for cybercriminals. Its use also introduces new points of vulnerability.

Increasingly, computer attacks themselves use artificial intelligence to identify and exploit system flaws.

Faced with this growing threat, businesses must put in place robust security mechanisms: information encryption, storage protection, rigorous access policies... all essential devices to preserve the integrity and confidentiality of data.

Ethical challenges and algorithmic biases

One of the major dangers associated with AI lies in the biases that its algorithms can contain.

Indeed, when artificial intelligence is fed by incomplete or questionable data, it can lead to unfair or even discriminatory results.

However, these algorithmic errors of judgment are particularly problematic in sensitive sectors such as human resources, justice or health.

Ensuring fair AI therefore requires rigorous supervision and control of data quality.

Dependence on external suppliers

Businesses frequently rely on external service providers to design, train, or deploy their artificial intelligence solutions.

But this dependence is not without danger: tools or data provided by third parties can introduce vulnerabilities or violate legal obligations without this being immediately visible.

That's why An effective strategy for managing risks associated with technology partners is required, with a rigorous process of verification, monitoring and auditing their compliance with current standards.

Legal issues and regulatory compliance

The legal framework around AI is evolving rapidly, which requires a strong ability to adapt on the part of companies.

Among the concerns are the protection of intellectual property, the ethical use of data, or the respect of future legislation specific to AI.

In this changing context, organizations must anticipate regulatory requirements by establishing thorough legal controls, conducting regular compliance audits, and ensuring strong governance at the level of management bodies.

As artificial intelligence becomes essential in the daily functioning of businesses, it is becoming essential to rigorously supervise its use.

This requires in-depth legal analyses, regular compliance checks and clear information for management bodies, including boards of directors.

Preparing for responsible governance of artificial intelligence

To effectively manage the risks associated with AI, organizations must put in place a global governance structure, in accordance with international regulatory requirements and those specific to their sector of activity.

This system must include specific guidelines onuse of AI in business.

Establishing a clear and robust framework

A well-designed governance system ensures responsible use of artificial intelligence and facilitates continuous adaptation to new legal obligations.

This involves, among other things, defining policies for implementing AI, creating committees responsible for supervision, as well as deploying control mechanisms adapted to each department of the company.

Automate compliance and structure data

Automation can greatly simplify compliance management, especially in a context where the volumes of data processed by AI are massive.

Structuring data, mapping specific to AI, and setting up real-time dashboards are valuable tools for auditing AI systems.

They contribute to ensuring transparency, while reducing associated risks.

Train teams to anticipate excesses

To keep up with the rapid pace of regulatory and technological change, businesses need to invest in continuing education.

Educating employees — at all levels — about the ethical uses of AI, the management of bias and good compliance practices will not only reduce risks, but also create an organizational culture aligned with responsible values.

Concrete examples of successful AI governance in business

Some companies are leading the way when it comes to AI governance. This is the case of Patagonia, which has established a strict ethical framework to guide the use of AI in its logistics and management.

For its part, Salesforce provides powerful AI tools to its customers, while insisting on the transparency of the algorithms used — a strategy that, according to a McKinsey study, could increase consumer confidence in 25%.

Finally, the French brand Adeo has established an ethics committee responsible for validating the use of AI in its processes, thus ensuring constant alignment with its founding values.

These successes demonstrate that the most successful companies are often those that incorporate the principles of responsibility right from the design of their technologies.

By combining a rigorous artificial intelligence governance framework with committees dedicated to ethics and a transparency policy applied at all levels, a company does not only control risks: it also strengthens its performance, its credibility and the relationship of trust with its customers.

AI as a catalyst for corporate governance

Adopting a governance strategy adapted to the age of artificial intelligence is no longer an option, but a condition for survival and growth.

Faced with ever stricter regulations and the growing influence of AI on strategic decisions, businesses have every interest in putting in place solid mechanisms to limit risks and fully exploit the opportunities offered by this technology.

A proactive approach to compliance then becomes essential: it not only helps to avoid legal pitfalls, but also to take advantage of the full potential of AI.

Training management teams and board members to deal with these new challenges is key to building a sustainable competitive advantage.

At VISCONTI Partners, our specialists in coaching business leaders And in board coaching are at your side to guide you in this strategic transformation.

Get in touch with our team to discuss it.