How should businesses manage AI?

How should businesses manage AI? It has inserted itself into corporate life quite suddenly. So what questions should we be asking as corporate leaders? Will AI bring a change that we can’t handle? Do we want to use AI in our business? These are valid questions but not the key challenge, according to non-executive director and tech commentator and expert Robert Farell. Instead, the key questions should be, ‘how can AI enable our strategy?’ Why is AI getting all the attention now? You probably know the answer to this already: ChatGPT. The system launched late last year and has surged in popularity, even though it’s still in “teething issue” territory. Businesspeople praise its ability to produce human-like content based on vast amounts of data. It even writes code. So many consider these things game-changers. And, regarding its success, business leaders are widening their horizons towards other AIs with different functionalities. Ultimately, no matter what kind of assistance you need in business, there’s an AI that can do it for you, Farrell told a Corporate Governance Institute Webinar this week. When it comes to AI, why should leaders consider strategy above all else? Two main reasons: Strategy is your top priority Company strategy is the highway that connects ideas and results. Without a good one - your business has little hope of getting anywhere. For that reason, it’s common - and, to many analysts, healthy - to frame new business developments with a strategic context. Significant strides like the dawn of mainstream AI functionality become far more relevant when you use this tactic. In this way, your company isn’t just accepting new trends; it's embracing them to benefit the firm’s specific needs and goals. Leaders are the source of strategy Boards and executives have a huge role in shaping company strategy. How they share this responsibility amongst themselves and other levels of management is always a matter of debate, but the conclusion is the same: if the strategy leads to success, corporate leaders get praise; if it fails, corporate leaders are the first to get the blame. Because of this, leaders should think of AI and strategy as two essential parts of the same machine. Both need the proper consideration for that machine to work. How should businesses manage AI? - let's get specific: Farrell had several tips: Take a look at both your company and your industry. Where does AI fit in both, and how can it make life easier for workers? Think of AI as an “emerging ecosystem”. There are future skills that people will need to learn as it becomes part of their daily life. Decide AI’s boundaries in your company. “We cannot outsource our creativity and critical thinking to AI,” he said, “but we can use it to help expand our own skills.” Shop around. The functionalities and clever marketing around AI might make it seem more capable than reality. Your company should explore its options to find the best AI solution. Will AI replace my workers? It’s the elephant in the room for many: will there be mass layoffs in the face of growing AI capabilities? This question generates a lot of debate in business, and since we’re only at the beginning of a new AI era, it’s impossible to tell for definitely. Farrell, however, believes the vast majority of workers shouldn’t worry. “Some people will lose their jobs,” he said. “Some people will be allocated to different jobs, but it won’t lead to mass global layoffs.” He put this down to AI’s true functionality as an assistant rather than a replacement. It is meant to help people do their work. Rarely is it supposed to do someone’s work for them, he said. University credit-rated Diploma in Corporate Governance Globally recognised and industry approved. Download brochureBuy nowDownload brochureBuy nowDownload brochureBuy now

Rapidly acquire the skills and knowledge you need to lead.

Diploma in Corporate Governance

Certified Corporate Governance Professional

Certified Company Secretary Professional

Certified ESG Professional

ESG Strategy and Governance

Company Secretary

Overview of Corporate Governance

AI Governance

CSRD Reporting

Go Further With Membership

Join the largest global educator of university credit-rated and qualified directors in corporate governance.

University partnership

Attend online and in-person events to get the practical skills and insights you need to make an impact as a leader.

Webinars

Masterclasses

Information sessions

Webinars

Insightful and thought-provoking content to help you become a great board director.

eBooks

Case studies

Guides

Interviews

Lexicon

News analysis

Member spotlight

Thought leadership

Podcasts

Stay Relevant With Membership

How should businesses manage AI?

About this author

Insights on leadership

Related Posts

Rapidly acquire the skills and knowledge you need to lead.

Diploma in Corporate Governance

Certified Corporate Governance Professional

Certified Company Secretary Professional

Certified ESG Professional

ESG Strategy and Governance

Company Secretary

Overview of Corporate Governance

AI Governance

CSRD Reporting

Go Further With Membership

Join the largest global educator of university credit-rated and qualified directors in corporate governance.

University partnership

Attend online and in-person events to get the practical skills and insights you need to make an impact as a leader.

Webinars

Masterclasses

Information sessions

Webinars

Insightful and thought-provoking content to help you become a great board director.

eBooks

Case studies

Guides

Interviews

Lexicon

News analysis

Member spotlight

Thought leadership

Podcasts

Stay Relevant With Membership

How should businesses manage AI?

About this author

Insights on leadership

Currently trending

Related Posts

UK Corporate Governance Code 2026: What boards must do this year

How to cope with tariffs: the corporate governance perspective

Time is a governance risk factor