IBM Study: AI Incidents Reach Boards in EMEA Enterprises
A new IBM study reveals that 80% of executives in EMEA experienced AI-related incidents reaching their board or C-suite in the past year, yet only 40% have updated their governance policies in response.
New research by IBM indicates that AI-related incidents are reaching boardrooms across Europe and the Middle East, but governance capabilities are not keeping pace with the technology's adoption.
Eight in ten executives surveyed reported that an AI-related incident, such as an agent failure, data exposure, or decision error, reached their board or C-suite in the last year. However, fewer than half (40%) of these organizations have subsequently changed their AI governance policies or frameworks.
When the pace of AI deployment outstrips governance readiness, the majority (56%) of surveyed executives report pressing ahead within agreed risk limits rather than pausing for governance adaptation. Only one-third delay deployment until governance is prepared.
The study, involving over 3,200 executives across eight countries in Europe and the Middle East, suggests governance policies will be further tested as AI agents take on more autonomous tasks. Three-quarters expect AI agents to have some decision-making autonomy by 2027, yet only 37% have a governance system designed to scale with agentic AI deployment.
Furthermore, only 37% of companies have a formal, board-reviewed quantification of financial risks stemming from gaps in AI governance. While nearly all executives (98%) have assigned AI risk responsibility at the board level, a clear consensus on accountability for adverse AI outcomes remains elusive.