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Management Journal Article hero
Management Journal Article

The Governance of Generative AI

This paper explores how governance mechanisms can be combined to enable organizations to harness the benefits of GenAI while mitigating its risks.
Abstract

The rapid integration of generative artificial intelligence (GenAI) into organizational operations has elevated its governance to a critical concern for leadership. Information technology, data, and artificial intelligence governance frameworks, while foundational, do not fully address the unique challenges posed by GenAI's dynamic and pervasive nature. This ERF paper applies qualitative comparative analysis (QCA) to investigate how governance mechanisms can be combined to enable organizations to harness the benefits of GenAI while mitigating its risks. By examining governance configurations in two Fortune 500 companies deploying GenAI, we will identify enabling and constraining mechanisms contributing to effective GenAI governance. Our findings aim to advance governance research by proposing governance structures, processes, and relational mechanisms tailored to the dynamic nature of GenAI. The study also aims to offer insights for organizations seeking to refine their governance strategies to responsibly manage GenAI-driven transformations while aligning them with strategic objectives.

About the Researchers

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Jennifer Jewer, Associate Professor, Memorial University and Research Collaborator, MIT CISR

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Nadège Levallet, Associate Professor, University of Maine and Research Collaborator, MIT CISR

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Yolande E. Chan, Dean and James McGill Professor, McGill University and Research Collaborator, MIT CISR

MIT CENTER FOR INFORMATION SYSTEMS RESEARCH (CISR)

Founded in 1974 and grounded in MIT's tradition of combining academic knowledge and practical purpose, MIT CISR helps executives meet the challenge of leading increasingly digital and data-driven organizations. We work directly with digital leaders, executives, and boards to develop our insights. Our research is funded by member organizations that support our work and participate in our consortium. 

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