The Role of AI in Enhancing Data Governance Strategies

Abstract

Digital transformation has restructured company processes, enhancing efficiency, innovation, and competitiveness using artificial intelligence (AI) and sophisticated analytics. The fast implementation of AI-driven processes presents considerable regulatory and security problems, requiring strong data governance frameworks to assure compliance, manage risks, and safeguard sensitive information. This paper examines the convergence of digital transformation and data governance, emphasising solutions for regulatory compliance and safe AI-driven corporate operations. The document initially analyses the changing environment of AI regulation, highlighting international frameworks as the General Data Protection Regulation (GDPR), the California Consumer Privacy Act (CCPA), and nascent AI governance regulations. It emphasises the essential function of compliance in alleviating data privacy issues, guaranteeing transparency, and promoting ethical AI deployment. The paper further examines data governance techniques crucial for AI-driven organisations. These tactics encompass data categorisation, access control systems, encryption protocols, and real-time audits to augment data integrity and security. The significance of explainable AI (XAI) is addressed, illustrating how organisations may attain regulatory compliance while preserving the interpretability of AI models. The research emphasises optimal strategies for aligning digital transformation activities with data governance frameworks. The document features case studies of AI-driven organisations that have effectively adopted compliance-oriented operational frameworks, illustrating how organisations may harmonise innovation with regulatory compliance. Critical components like risk-based methodologies, third-party data assessments, and compliance automation instruments are examined. The article ultimately offers insights into forthcoming trends in AI governance, forecasting the growing confluence of digital transformation, AI ethics, and regulatory regulations. With the rapid deployment of AI, organisations must implement proactive data governance frameworks to mitigate security risks, comply with legal requirements, and address ethical concerns. This report functions as a thorough resource for organisations managing the intricacies of digital transformation while maintaining data security, regulatory compliance, and ethical AI deployment. Through the integration of strategic data governance processes, enterprises can fully harness AI's promise while ensuring customer trust and compliance with regulations.