A survey among Guernsey's directors highlights the need for more focus on the use of AI in the boardroom and how the technology will impact their organisation’s strategy.
· Half of respondents do not believe that their boards are making good use of AI and other technology in their boardroom.
· Only a third believe that their board is making sufficient progress in overseeing the use of AI in the organisation.
· Only a quarter believe their strategy has been updated to properly reflect the opportunities and risks arising from AI.
The results also highlight directors' unease about board competencies, with nearly half expressing concerns over their colleagues' lack of technology oversight skills.
The survey results were released following the IoD's annual Mid-Term seminar, which discussed ‘AI in the Boardroom: Navigating a New Frontier in Governance.’ During the seminar, keynote speaker Bob Semple revealed the findings of his survey exploring the use and oversight of technology, notably AI, by Guernsey boards.
Despite Guernsey directors' acknowledgment that technology integration has begun in their organisations, the survey exposed knowledge gaps, emphasising the need for training initiatives if boards are to use technology effectively.
“IoD members and business leaders are excited by the promise and opportunities AI offers, such as increased productivity and lower operating costs, but are worried about the risks posed, with some directors advocating for increased regulations and establishing a global regulatory body to oversee its development,” said Glen Tonks, IoD Guernsey Chair.
Mr Semple, Chartered Director and Consultant at the Corporate Governance Institute, commented, "As investment in AI explodes, it's clear that embracing technological innovation is not an option but a necessity. Directors and boards tasked with driving their organisations forward are responsible for navigating these challenges proactively.
"As more and more practical implementations of AI emerge, it's imperative that directors equip themselves with the knowledge and tools necessary to harness its potential as a positive force to elevate their boards' performance."
The survey findings identify business leaders' willingness and concerns about adopting AI in their daily work. However, the call to action for Guernsey's directors is to seize the opportunity to use all that this technology has to offer, creating a boardroom that thrives on innovation and uses technology as a catalyst for positive change.
You can find the full survey results here.