Responsible risk-based AI Governance

If AI approaches AGI-level autonomy, governance has to exist inside firms, across stakeholders & at the public level, with clear accountability loops.

1. Corporate AI Governance: AI as a controlled Corp. Agent

AI systems must be governed like high-impact corporate decision-makers, similar to executives, risk models or financial controls to prevent misaligned, unsafe or legally risky AI behavior before it causes harm, while enabling innovation.

Corporations shouldn’t wait for AI to be legally recognized as an entity but they should already treat it as a regulated internal actor.

2. Stakeholder AI Governance: Participatory AI Oversight

If AI systems affect people, those people must have voice, visibility & recourse to build trust, prevent social harm and surface risks that corporations & regulators often miss.

Stakeholder governance acts as an early warning system catching harms long before regulators do.

3. Public (Societal) AI Governance: Risk-based AI Regulation & Oversight

Some AI risks are too large, too fast and too systemic to leave to markets alone. AI is basically a system-level risk, like finance or nuclear tech.

Public AI governance is thus about systemic containment (not micromanaging every model) and must protect democratic institutions, human rights and systemic stability without freezing innovation.

How the three fit together

Corporate: Day-to-day control & accountability

Stakeholder: Legitimacy, trust, early risk detection

Public: Systemic safety & democratic protection

Failure in one layer increases pressure on the others.

A SIPOC map provides clarity & understanding of an AI system function and its conceivable risks and impacts to all stakeholders.

Using the following link you can access this sandbox SIPOC model in the ProcessHorizon web app and adapt it to your needs (easy customizing) and export or print the automagically created visual AllinOne SIPOC map as a PDF document or share it with your peers: https://app.processhorizon.com/enterprises/AaUUxBdsdP9Q79XrqreweLYt/frontend