How to Manage AI Usage in Your Company Effectively

Q: I’m struggling with my senior team’s application of AI technology. While I understand their perspective—they see tools like ChatGPT as beneficial allies for enhancing their thought processes—the fact that everyone is using different tools leads to chaos. What can I do to regain control?

A: In previous discussions, I’ve addressed the implications of AI in hiring and the unease surrounding job reductions. The effects on management and office work are only beginning to surface.

Effective managers promote the use of technology to boost productivity, yet it is crucial to establish boundaries. I refer to this concept as “freedom within a framework.” Without a unified policy on AI usage at work, you risk encountering issues related to security and privacy.

Initially, it’s essential to reinforce that no confidential information should be entered into a public AI tool unless there’s clarity on data usage. Everyone must be aware that any data provided to publicly available generative AI tools may be stored and potentially accessed to assist others in the future—possibly even your competitors.

Some AI tools provide “enterprise options” or allow users to disable data retention, making them a safer choice for handling sensitive data. Nevertheless, caution is needed regarding information sharing, particularly in regulated sectors. Regular training on best practices is vital.

Establish Priorities and Enhance Skills

When addressing artificial intelligence, it’s important to acknowledge that numerous use cases exist. To impose some structure, begin by clarifying where AI tools are best utilized—such as summarizing meetings, crafting presentations, or preliminary project research. Engage your executive team in agreeing on these priorities and ensure that all employees receive training on best practices within these contexts.

Exercise Discernment

While a tool like ChatGPT can indeed be valuable for testing ideas and assumptions, it’s important to remember that we hire managers and leaders primarily for their judgment. I expect them to gather information, evaluate it critically, and apply their insights.

A Final Consideration

AI’s influence on office-based roles may be significant, and there’s a legitimate concern that many entry-level jobs could be automated away. As with any transformation initiative, involving everyone is crucial.

To engage younger staff and new graduates, consider forming a small AI innovation taskforce focused on identifying new applications for AI. This team should have backing from an executive sponsor and actively inquire within the organization about the value AI provides and its current usage. They should document successful examples and share them across the organization.

Ultimately, like any tool, AI requires human guidance to function effectively.

Ann Francke is the Chief Executive Officer of the Chartered Management Institute.