BUSINESS TECH | Internal audit seen as key to responsible AI adoption

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Artificial intelligence may be accelerating business operations, but executives and AI experts say organizations should strengthen—not bypass—internal audit as they deploy the technology across critical systems.

That was the consensus during a forum on AI governance attended by executives from the MVP Group and Gokongwei Group, where speakers argued that internal audit plays a growing role in identifying risks, ensuring accountability, and preventing unintended consequences as AI becomes embedded in business operations.

Dr. Erika Legara, director and chief data officer of the Philippine Center for AI Research, said development teams cannot anticipate every outcome of increasingly complex AI systems, making independent oversight essential.

“No team, no matter how good it is, can see the whole system and its unintended consequences while they are building it. That’s where internal audit comes in. It is not a barrier to innovation, but a way of helping organizations see what the system is actually doing,” Legara said.

She added that organizations that view audit as an obstacle may be prioritizing speed over accuracy, increasing the risk of deploying AI without fully understanding its impact.

The discussion comes as enterprises increasingly integrate generative AI and other data-driven technologies into customer service, operations, cybersecurity, and decision-making, raising concerns about governance, data integrity, transparency, and regulatory compliance.

David Gulliver Go, chief human resources officer of JG Summit and a director of Cebu Air, said the conglomerate is taking a measured approach to AI adoption by involving employees and internal auditors in evaluating potential security vulnerabilities and data risks before new systems are deployed.

Francis Flores, global managing director of Pickup Coffee, said startups should establish strong operational controls before expanding AI use, noting that internal systems serve as guardrails for sustainable growth.

Closing the forum, PLDT Chief Operating Officer Menardo “Butch” Jimenez Jr. said AI can automate many processes but cannot replace human accountability, integrity, or experience in making critical business decisions.

Legara said audit teams will need deeper technical understanding of emerging technologies in the years ahead, while recognizing when to seek expertise beyond their own organizations.

The forum was organized by the Internal Audit Group of PLDT and Smart Communications in collaboration with the internal audit teams of the MVP Group and JG Summit Holdings as part of International Internal Audit Awareness Month.


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