What to Include in Your Company’s Internal Generative AI Use Policy

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As generative artificial intelligence continues to revolutionize business operations across industries, it has become imperative for companies to establish robust internal policies governing its use by employees. This alert aims to provide a high-level explanation of some of the critical aspects of drafting such policies, highlighting key considerations and potential pitfalls.

Core Components of an AI Use Policy

A. Scope of AI Use
The cornerstone of an effective AI use policy lies in its scope. It’s crucial to clearly define which AI tools and applications are permitted within the organization – ChatGPT, Claude, Gemini, etc. This should encompass both commercially available AI solutions (enterprise and free) and any proprietary systems developed in-house. The policy should also address the contexts in which AI use is appropriate and outline any restrictions or limitations.

B. Data Handling and Privacy
Data handling is another vital component of any AI policy. As AI systems rely heavily on data input to function effectively, it’s essential to establish clear protocols for data collection, storage, and protection. This includes ensuring compliance with data privacy regulations such as General Data Protection Regulation or the California Consumer Protection Act, implementing strong data security measures, and creating guidelines for data retention and deletion. Depending on the AI tools used, you may very well want to prohibit the inclusion of proprietary or confidential information in prompts.

C. Intellectual Property Considerations
Intellectual property considerations should not be overlooked when drafting AI use policies. As AI systems become more sophisticated, questions arise about the ownership and protection of AI-generated content and innovations. Your policy should clearly address these issues, outlining who owns the output of AI systems and how such intellectual property will be protected and managed.

D. Ethical Guidelines
Ethical guidelines should align with your company’s values and industry norms, addressing issues such as bias prevention, transparency in AI decision-making processes, and the responsible use of AI in customer interactions.

AI Policies Help Mitigate Risk Implementation

Implementing a robust AI policy can significantly mitigate various risks faced by corporations:

  • Regulatory Compliance: Ensures AI use aligns with relevant laws and regulations
  • Liability Protection: Limits corporate exposure in case of AI-related incidents or disputes
  • Reputational Risk Management: Demonstrates commitment to responsible AI use

Implementing Your AI Policy

A. Regular Policy Review and Updates
Given the rapid pace of technological advancement in the AI field, it’s crucial to build flexibility into your policy. Plan for regular reviews and updates to keep pace with evolving AI technology and regulations. This might involve establishing a dedicated team or committee responsible for monitoring AI trends and recommending policy adjustments as needed.

B. Employee Training and Education
Training programs play a vital role in the successful implementation of any AI policy. Develop comprehensive training modules to ensure that all employees understand the policy, its implications, and their responsibilities. This should include:

  • Technical training on approved AI tools
  • Education on ethical considerations in AI use
  • Awareness of potential risks associated with AI deployment

Conclusion

In conclusion, drafting an effective AI use policy is a complex but crucial task for modern corporations. By addressing key areas such as scope, data handling, intellectual property, and ethics, while also considering risk mitigation and implementation strategies, companies can create a framework that enables them to harness the power of AI responsibly and effectively.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

© Harris Beach PLLC

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