Topic

NACD

The National Association of Corporate Directors (NACD) is a professional organization representing board members and corporate governance leaders who establish oversight policies and standards across organizations. The NACD publishes influential governance guidance and conducts research on board responsibilities, including emerging areas like artificial intelligence oversight and data governance. For AI governance, NACD resources help boards understand their fiduciary duties regarding AI risk management, algorithmic accountability, and technology-related compliance obligations.

2 items

Corporate PolicyUS2026-05-03

Boards Urged to Overhaul AI Oversight as Deepfakes, Data Leaks Expose Governance Gaps, NACD Warns

The National Association of Corporate Directors (NACD) published guidance in January 2025 urging U.S. corporate boards to refine existing oversight mechanisms to address AI-specific governance failures. The guidance cites real-world incidents involving AI-generated deepfakes, confidential data leaks, and algorithmic bias as evidence that current board structures are inadequate for AI risk. NACD identifies a cross-functional leadership model as central to effective AI governance, placing the Chief AI Officer in coordination with the Chief Risk Officer, Chief Compliance Officer, Chief Legal Officer, and Chief Data Officer. For enterprise compliance teams, the guidance signals growing boardroom pressure to formalize AI accountability chains and integrate AI risk into existing enterprise risk management frameworks. Compliance professionals should expect boards to request clearer reporting lines, defined AI risk tolerances, and documented incident response protocols as standard governance requirements.

NACD board oversight AI governance enterprise risk management Chief AI Officer accountability risk management deepfakes United States algorithmic bias

Corporate PolicyUS2026-04-22

AI Incidents Up 32% in 2024, NACD Urges Boards to Strengthen Oversight Structures

The National Association of Corporate Directors (NACD) has published its 2025 Governance Outlook, urging corporate boards in the United States to adapt oversight structures for AI adoption in response to a measurable rise in AI-related incidents. According to the AI Incident Database, AI incidents increased 26% between 2022 and 2023, with a further increase exceeding 32% in 2024. The guidance identifies hallucinations, bias, and data privacy failures as primary risk areas and calls for tuned governance frameworks and updated board reporting structures to address them. While non-binding, the guidance signals growing director-level accountability expectations that enterprise compliance and risk teams should factor into internal AI governance programs. Compliance professionals should note that board-level engagement on AI risk is increasingly treated as a baseline governance expectation, with implications for how responsible AI policies are documented, escalated, and reported to senior leadership.

NACD board oversight AI governance AI incidents risk management responsible AI transparency accountability United States compliance