Why it matters
Regulators, customers and investors increasingly expect organisations to explain how they oversee AI. Established frameworks include the NIST AI Risk Management Framework and ISO/IEC 42001, the international standard for AI management systems published in 2023. The EU AI Act also affects Indian companies serving European markets.
What to get right
- Name one executive accountable for AI risk, and report to the board regularly.
- Maintain an inventory of AI systems and classify them by risk.
- Set rules for data use, human oversight and testing before deployment.
- Add AI-specific scenarios to incident response plans.
Common questions
Does India have an AI law?
At the time of writing, India relies on existing laws such as the IT Act and the DPDP Act, together with government guidelines and advisories, rather than a single AI-specific law. Watch for developments.
Is ISO/IEC 42001 certification necessary?
Not mandatory, but it offers a recognised structure. Some organisations use it as a framework without certifying.