An AI governance policy establishes which tools are approved, what data may be entered into them, what review is required before AI-assisted output is used or delivered, who is accountable, and how exceptions and incidents are handled.
It typically pairs with a tool approval process, training requirements, and periodic review as capabilities and obligations change.
Alternative Names:
AI Policy, Enterprise AI Governance
Why it Matters?
Policy is what converts individual good judgment into organizational compliance, and its absence is what regulators and courts notice first. It also solves a practical problem: without an approved-tool list, staff use consumer tools quietly, and the organization inherits confidentiality exposure it never assessed. The policy's approved-tool provision is generally more consequential than its aspirational language.
Frequently Confused with
Related terms
Frequently asked questions
What should an AI governance policy contain?
Who should own the policy?





