Eleanor Hawkins, Axios; AI gaps in the boardroom are becoming a reputational risk
"The big picture: Companies across every industry are being forced into rapid AI-driven transformation, but many corporate boards lack the expertise to guide strategy, manage risk or communicate decisions credibly to stakeholders.
By the numbers: Only 39% of Fortune 100 boards have any form of AI oversight, such as committees, a director with AI expertise, or an ethics board, according to McKinsey research.
Another recent report found that only 13% of S&P 500 companies have at least one director with AI-related expertise.
Similarly, McKinsey's survey of directors found that 66% say their boards have "limited to no knowledge or experience" with AI, and nearly one in three say AI does not even appear on their agendas.
And a report from the National Association of Corporate Directors (NACD) found that only 17% have established an AI education plan for directors, and 6% have a dedicated committee to oversee AI.
Between the lines: Having an AI-savvy board is a major competitive advantage, according to a recent MIT study."
