How to Develop a Corporate Policy for Employee Use of AI: A Guide for Automotive Suppliers

As generative AI tools continue to gain popularity in the workplace, it has become increasingly evident that automotive suppliers need to consider establishing a corporate policy that governs their employees’ use of these tools.


While employees may already be utilizing AI tools like ChatGPT informally – or with management approval – for solving problems, summarizing reports and more, a formal policy can address issues, mitigate risks and provide guidelines for responsible usage.

Let’s explore the importance of developing a corporate policy for employee use of AI tools and our suggestions, as well as a template, for crafting an effective policy.

5 Reasons Why Automotive Suppliers Need an AI Policy

  • Protecting Confidentiality and Data Privacy – Sharing proprietary or confidential data and information with AI tools may inadvertently risk exposing sensitive data to outsiders. A corporate AI use policy would clarify what type of data can be used with the AI tools and under what circumstances, thereby helping to ensure compliance with confidentiality obligations and data privacy laws.
    • Intellectual Property Considerations – AI tools can and do generate works that substantially reproduce an earlier copyrighted work. So, the AI policy should educate employees about ownership issues related to content generated using AI tools. Clarifying the implications of copyright law can help shape the policy’s provisions regarding ownership and use of AI-generated works.
    • Mitigating Legal Risks – A well-crafted corporate AI policy can reduce the likelihood of legal issues stemming from misuse of AI tools, such as those mentioned above. Defining the scope of permitted use and outlining guidelines should align with the approach taken for other company-provided IT tools and communication platforms.
    • Ensuring Accuracy and Validating Output – Generative AI tools may produce inaccurate or biased information that could damage customer relationships, risk lawsuits or tarnish a company’s reputation. A solid AI use policy would serve to educate employees about the limitations of AI and encourage employees to validate or vet the output before it is used or published.
    • Promoting Effective and Responsible Use – A corporate AI policy can maximize the benefits of AI tools, while also minimizing potential distractions and inefficiencies. It sets expectations for employees regarding responsible usage and helps to align their actions with your organization’s goals.

    Developing and Implementing an AI Policy

    It’s advisable to start the process with a cross-functional team that at minimum includes human resources, legal, IT, communications and operations department representatives providing input.

    To begin, you’ll want to define the specific purposes for which employees can use generative AI tools, for example drafting emails, creating documents, generating reports and conducting research, etc. Some companies will want to limit the use of AI tools to conducting research or analyzing data. Others may want to allow the use of AI tools to draft documents, content and communication.

    You’ll also want to consider the requirements for the different teams and functions throughout your company and tailor your AI policy accordingly, perhaps even identifying which AI tools should and should not be used.

    Then, you’ll want to establish clear protocols for handling sensitive information with AI tools. Specify guidelines for sharing sensitive information – or prohibit sharing of any sensitive, confidential or proprietary data altogether. And be sure that these new AI guidelines align with existing IT security guidelines and policies.

    To help you get started, we offer the following template that is based on our research of current best practices:

    [Automotive Supplier Name] AI Policy

    This AI policy aims to establish guidelines and best practices for the responsible and ethical use of Artificial Intelligence within [Automotive Supplier Name].

    It ensures that our employees are using AI tools in a manner that aligns with the company’s values, adheres to legal and regulatory standards, and promotes the safety and well-being of our stakeholders.

    This policy applies to all employees, contractors and partners of [Automotive Supplier Name] who use or interact with AI tools.

    • Responsible AI Use – Employees must use AI tools responsibly and ethically, avoiding any actions that could harm others, violate privacy or facilitate malicious activities.
    • Transparency and Accountability – Employees must be transparent about the use of AI in their work, ensuring that stakeholders are aware of the technology’s involvement in decision-making processes. Employees must utilize [Automotive Suppliers Name]’s centralized system for AI governance and compliance efforts (‘AI Tool of Record’) to ensure transparency of proposed and active AI activities. Employees are responsible for the outcomes generated by AI tools and should be prepared to explain and justify those outcomes.
    • Data Privacy and Security – Employees must adhere to the company’s data privacy and security policies when using AI tools. They must ensure that any personal or sensitive data used by AI tools is stored securely.
    • Compliance with Laws and Regulations – AI tools must be used in compliance with all applicable laws and regulations, including data protection, privacy and intellectual property laws.
    • Human-AI Collaboration – Employees should recognize the limitations of AI and always use judgement when interpreting and acting on AI-generated recommendations. AI should be used as a tool to augment human decision-making, not replace it.
    • Training and Education – Employees who use AI tools must receive appropriate training on how to use them responsibly and effectively. They should also stay informed about advances in AI technology and potential ethical concerns.

    This policy is effective as of [Date].

    Final Thoughts

    You may also wish to add a section about implementing and ongoing monitoring of your AI policy.

    Once your AI policy is developed, you will want to communicate the policy effectively and provide training. This will help ensure employees understand the guidelines and responsibilities associated with generative tools, as well as offer practical tips for responsible usage.

    As with any policy, you’ll want to monitor employee usage of AI tools to ensure adherence to the policy.

    Encourage employees to inform colleagues when AI-generated work is used to ensure proper validation or vetting. And you may want to implement an auditing process to review AI-generated content and employee interactions.

    Finally, as the technology is advancing rapidly, you’ll want to review and update your AI policy periodically to address new developments and potential risks associated with evolving AI tools. Some companies designate a responsible team or individual for such ongoing policy review.

    In summary, AI tools like ChatGPT can certainly present both opportunities and challenges in the workplace. By developing and implementing a comprehensive corporate AI tool use policy, automotive suppliers can take advantage of the power of these tools, while mitigating potential risks.

    Author: Jessica Muzik

    Jessica is vice president – account service at Bianchi PR with more than 26 years of PR experience across the corporate, industrial and community perspectives.

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