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C-Suite Leaders Challenge Their Own AI Guidelines

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Why CIOs should be wary of agentic AI claims and vendor-led hype

Research commissioned by Nitro reveals significant non-compliance with AI guidelines among enterprises. Analyzing over 1,000 insights from C-suite leaders and employees, it was found that over two-thirds of executives used unapproved AI tools in the last three months, with many doing so multiple times. Security and compliance challenges are evident, as over half of these leaders rated implementation difficulties as significant. Additionally, one in three employees reported using AI to handle confidential data, raising security concerns regarding “shadow AI,” which has been linked to breaches costing organizations upwards of $4 million. This rise in unauthorized tool usage stems from a desire to expedite processes. With three-quarters of employees abandoning ineffective AI tools, organizations face inflated AI costs. Cormac Whelan, CEO of Nitro, underscores that adoption of AI should be earned through utility, not mandated. Businesses must address these challenges to harness AI’s potential effectively while ensuring compliance and security.

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