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Leveraging AI Governance: Moving Your Generative AI Projects from POC to Production

As CISOs, you may find yourself at the intersection of innovation and security, balancing the immense potential of generative AI with the critical need for governance, compliance, and risk management. A recent webinar by Portal26 explored how organizations can successfully transition their generative AI projects from Proof of Concept (POC) to full-scale production while ensuring responsible adoption, security, and regulatory compliance. Here are the key takeaways.

The Challenge: AI Excellence Hindered by POC Purgatory

Despite massive investments in AI experimentation, over 90% of generative AI projects remain stuck in POC mode, failing to yield meaningful ROI. While sanctioned AI projects stagnate, shadow AI proliferates – 80% of employees are already using generative AI tools, often outside IT and security oversight. The result? A governance and risk nightmare, as organizations struggle with a lack of visibility, accountability, and effective control mechanisms.

At the same time, blocking AI outright is proving ineffective. Organizations attempting to restrict generative AI use find that over 50% of AI-related activity still bypasses network controls. AI is embedded into numerous applications, making traditional GenAI blocking mechanisms inadequate. Without clear visibility, enterprises face significant risks, including data exposure, compliance violations, and reputational damage.

 

Leveraging AI Governance for Production Success

To transition generative AI from experimentation to production securely, organizations must establish governance frameworks that balance security with business value. Here’s how:

1. Gain visibility into Shadow AI

The first step in leveraging AI governance is understanding what’s already happening. Shadow AI – unsanctioned generative AI usage – poses a significant security and compliance risk. By scanning network traffic, security teams can identify direct and indirect AI usage across the organization. This GenAI visibility enables security leaders to pinpoint which departments, use cases, and tools are most prevalent, forming the foundation for strategic AI empowerment.

2. Implement Risk-Based AI Controls for Excellence

Once visibility is established, organizations must assess GenAI-related risks. This includes:

  • Identifying sensitive data exposure in AI interactions (e.g., PII, financial data, confidential IP).
  • Differentiating between high-risk and low-risk AI tools and interactions.
  • Aligning AI risk management with existing security controls, including DLP, SIEM, and SOAR integrations.

Portal26’s analysis shows that many organizations miss significant AI-related risks because their existing security tools aren’t tuned to detect them effectively. Real-time scanning, policy enforcement, and forensic tracking are essential for mitigating these risks and achieving AI excellence.

3. Establish AI Consumption Guardrails for Responsible AI Empowerment

Governance extends beyond AI models to how AI is consumed within the enterprise. GenAI Data Security teams must define:

  • What AI tools employees can use.
  • Which data is safe for AI processing
  • How AI-generated content is monitored and validated.

Implementing policy-based access controls, AI-specific DLP rules, and continuous user education ensures AI adoption remains within acceptable risk thresholds while maximizing AI empowerment.

4. Prioritize AI Use Cases for Maximum Business Value

Many AI projects fail because they are chosen based on assumptions rather than data. By analyzing AI adoption patterns, organizations can align POCs with actual business needs. Evaluating AI use cases through a risk-value framework ensures that high-value, low-risk initiatives move forward while high-risk, low-value ones are deprioritized. This strategic approach to leveraging AI delivers measurable outcomes.

5. Ensure Continuous Monitoring for Sustained AI Excellence

Generative AI evolves rapidly, and governance must evolve with it. Organizations leveraging AI should:

  • Continuously monitor AI interactions and risks.
  • Benchmark AI adoption internally and externally.
  • Iterate governance strategies based on real-world AI usage patterns.

The Road Ahead: Leveraging AI with Confidence

Blocking AI is not a long-term solution, nor is unregulated experimentation. By implementing structured AI governance, CISOs can enable responsible AI empowerment that maximizes business value while mitigating risk. Portal26’s approach – combining real-time AI discovery, risk assessment, policy enforcement, and forensic auditing – provides a blueprint for security leaders leveraging AI in the generative landscape.

For organizations looking to move beyond POC purgatory and achieve AI excellence, the message is clear: AI governance isn’t a barrier to innovation – it’s the key to leveraging AI’s full potential securely and responsibly.

Portal26: Your partner in leveraging AI securely, responsibly, and profitably

Don’t let your generative AI investments languish in POC purgatory. With Portal26’s AI TRiSM platform, you can start leveraging AI with confidence while maintaining the security and compliance your organization demands.

Book a demo today to speak with an AI governance specialist who can help you transform your AI investments from experimental projects to production powerhouses.

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