Inside the House—Managing Risk to Drive Commercial Success (Part II)

AI governance requires shifting focus from technical specifications to fundamental business questions, such as decision ownership, data usage, and outcome transparency. Legal and compliance professionals must move beyond simple rule-enforcement to act as strategic coaches, embedding themselves in business processes to identify risks early. By engaging directly with teams to understand how AI tools are actually utilized, advisors can better align risk management with commercial objectives. This approach transforms the legal function from a reactive checklist provider into a proactive partner that facilitates effective change management. Ultimately, fostering a culture of trust and open communication ensures that potential compliance issues are raised while they remain solvable, reinforcing the advisor’s role as a fiduciary who prioritizes long-term organizational health over short-term wins.