How can I strengthen board AI literacy and ethical oversight?
To fully leverage AI’s benefits while mitigating its risks, boards must actively enhance AI literacy and ethical oversight as part of their governance mandate. An AI-literate board is one where directors possess a baseline understanding of AI technologies, their capabilities and limitations, and their potential impact on the business. According to the 2024 Deloitte Global Boardroom Program, just 2% of boards rate themselves as highly knowledgeable about AI, and close to 80% admit to having limited or no experience.
To fill this gap, many boards are actively working to enhance their AI fluency. The same dataset revealed that a growing number are introducing structured AI education programs (40%), regularly engaging external AI experts to brief the board (37%), and, in some cases, appointing AI specialists as directors (8%).
In parallel, boards must also take an active role in the ethical governance of AI. This includes ensuring the company establishes and upholds clear AI principles, such as transparency, accountability, and privacy, and oversees the development of governance frameworks, such as dedicated board committees or review protocols.
