Scaling AI With Adaptive Governance

Drawing on in-depth interviews at Microsoft, Barclays, Nasdaq, Lloyds Bank, and the Abu Dhabi Department of Finance, MIT Sloan Management Review researchers identify how AI governance breaks down in practice and what organizational trade-offs leaders face as AI systems scale. The study concludes that organizations must embed risk controls into operations, overcome cross-domain barriers, and institutionalize continuous learning to maintain decision accountability. For SEA boards overseeing AI-driven workflows, this provides an evidence-based framework for building adaptive, lifecycle-aware governance that keeps human judgment at critical decision nodes.