AI Governance Framework
Manage AI risk without slowing innovation. Develop clear policies and operating models for responsible AI adoption tailored to CPG concerns.
TL;DR
- →What: Risk framework and policies for responsible AI—tailored to CPG concerns (trade secrets, retailer data, EU AI Act)
- →Impact: Enable innovation on low-risk use cases while protecting what matters; clear decision rights and approval workflows
- →Timeline: 6-12 weeks to build governance framework with stakeholder input
Enable Innovation, Manage Risk
Your board is asking about AI risk. The EU AI Act is now in force. Teams are experimenting with ChatGPT for everything from customer insights to supplier negotiations, and you don't have a handle on what's being shared or how decisions are being made.
You need governance—but not the kind that creates bureaucracy and kills innovation. I help you build frameworks that protect what matters (trade secrets, retailer data, consumer trust) while enabling teams to move fast on low-risk use cases.
What You'll Get
- Assessment of current AI usage across your organization
- Risk framework tailored to CPG (trade secrets, retailer data, consumer AI)
- Clear policies for acceptable use and vendor evaluation
- Operating model—who owns decisions and how they're made
- Implementation roadmap prioritized by risk and impact
Framework Components
AI Usage Assessment
You can't govern what you don't see. We map current AI usage across your organization—often revealing more activity than leadership realizes.
Deliverables:
- •Inventory of AI tools and use cases across departments
- •Classification by risk level (high, medium, low)
- •Identification of shadow AI and ungoverned experiments
- •Assessment of vendor relationships and data sharing
Risk Framework for CPG
Generic AI risk frameworks don't address CPG-specific concerns. We tailor the framework to what actually matters in your industry.
Deliverables:
- •Trade secret and pricing data protection requirements
- •Retailer data obligations and contractual constraints
- •Consumer-facing AI considerations (labeling, transparency)
- •Regulatory compliance (EU AI Act, sector-specific rules)
Policies & Guidelines
Clear, actionable policies that tell teams what they can and can't do—not vague principles that leave everyone guessing.
Deliverables:
- •Acceptable use policy for generative AI tools
- •Data handling requirements by classification level
- •Vendor evaluation criteria and approval process
- •Model selection guidance (when to use external vs. internal)
Operating Model
Who makes decisions? Who reviews use cases? How do approvals work? A governance framework is useless without clarity on who does what.
Deliverables:
- •Roles and responsibilities (who owns AI governance)
- •Decision rights by risk level (low-risk auto-approved, high-risk requires review)
- •Review and approval workflows
- •Escalation paths for edge cases
Why AI Governance Matters for CPG
Regulatory Pressure
The EU AI Act is now in force, with steep penalties for non-compliance. Boards and audit committees are asking questions you need to be able to answer.
Competitive Risk
If pricing strategies, trade promotion tactics, or supplier negotiations leak through poorly governed AI use, the commercial damage could be massive.
Retailer Expectations
Your retail partners expect you to handle their data responsibly. Governance failures can damage critical relationships and violate contractual obligations.
Consumer Trust
Consumer-facing AI (chatbots, product recommendations, personalization) requires transparency and care. Missteps can damage brand reputation.
Enable, Don't Block
Good governance isn't about saying no to everything. It's about creating clear rails so teams can move fast on low-risk use cases without constant approvals.
Vendor Proliferation
Without governance, every department buys their own AI tools, creating integration nightmares, redundant spend, and security gaps.
How We Work Together
Discovery
Interviews with stakeholders to understand current AI use, appetite for risk, and organizational structure
Framework Design
Draft governance framework tailored to your risk tolerance and CPG-specific concerns
Socialization
Review with key stakeholders, incorporate feedback, ensure buy-in from those who need to live with it
Implementation
Roadmap for rollout, training materials, communication plan, and ongoing ownership model
Typical Engagement
Ready to Build AI Governance That Enables, Not Blocks?
Let's discuss your current AI usage and how to manage risk without killing innovation.
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