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Generative AI

The governance to settle before your first generative AI pilot

Most enterprise generative AI pilots do not fail technically. They stall at legal, security or the question nobody asked first: what happens when it is confidently wrong?

The governance to settle before your first generative AI pilot

Generative AI has an unusual adoption pattern. It arrives from the bottom of the organisation, not the top — staff are already using it, often on personal accounts, well before anyone has approved anything. By the time a formal pilot is proposed, the real question is not whether to adopt but how to bring existing usage inside the perimeter.

Four decisions to make before the build

  • What data may leave. Be specific at the level of document classes, not principles. “No customer PII” is a policy. “Contracts and HR files stay in the tenant, published marketing material may go out” is a rule an engineer can implement.
  • Where the model runs. Vendor API, cloud tenant or self-hosted. This is largely a compliance and cost decision, not a quality one.
  • Who is accountable for output. Every deployment needs a named human owner of what the system produces, in the same way any other published work has an author.
  • What is logged. Prompt and response retention is both a debugging necessity and a data protection obligation. Decide the period deliberately.

Design for being wrong

The failure mode that matters is not gibberish — people spot that. It is a plausible, well-formatted, incorrect answer delivered with total fluency. Systems should be built so a wrong answer is cheap:

  • Ground answers in retrieved documents and show the source next to the claim.
  • Keep a person in the loop wherever the output leaves the company or affects an individual’s money, employment or health.
  • Prefer drafting over deciding. Summarising a call, drafting a reply and extracting fields are forgiving tasks. Approving a claim is not.

Measure something real

“Productivity improved” is not a finding. Pick a metric that existed before the pilot: hours spent on first-draft responses, tickets resolved without escalation, time from enquiry to quotation. Baseline it for a few weeks. If the pilot cannot move a number that already existed, it is a demonstration rather than a project.

Where the durable value sits

In our client work the persistent wins are unglamorous: search across scattered internal documents, summarising long call transcripts, extracting structured fields from supplier paperwork, and helping non-specialists write a first draft of something they would otherwise avoid. These are all cases where the human reviewing the output already has the expertise to spot an error.

A reasonable first step

Publish an acceptable use note, choose one workflow with an existing metric and a competent reviewer, and run it for a quarter. Governance written after a pilot tends to be written under pressure, which is the most expensive time to write it.

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