What Happens When AI Moves Faster Than Governance?

By Iain MacNeil – 25 years spent crafting solutions for forward-thinking businesses worldwide.

AI adoption today has become simple. Some might even say it’s too simple. The barriers to entry are practically gone. You’ll find specialized tools designed to tackle every business challenge imaginable—easy to access, straightforward to use, and efficient. Teams across departments like marketing, HR, and operations now rely on tools like ChatGPT, Gemini, Claude, and more, all working. They’re completing tasks quicker and more without ever needing to check in with their IT or digital support.

Recent research reveals that 94% of business leaders consider AI critical to success over the next five years, yet only 20% have comprehensive AI governance programs. This gap between adoption and governance represents a significant risk for enterprises.

And that’s a good thing.

It’s innovation. It’s productivity. It’s exciting.

But it’s also introducing a massive operational challenge: governance.

The Governance Gap: When Creation Moves Faster Than Control

One of our clients faced a surprising situation. A business unit that required help from the digital team went ahead and created their own digital solution using AI. The result worked, but it ignored the company’s rules and processes.

Now think of this happening in every part of the organization.

You get stuck with digital assets that no one reviewed, checked, or matched to enterprise standards. When central teams take a look at these assets, their response isn’t , “Awesome let’s use this.” Instead, they ask things like, “Who made this? Is it scalable? Secure? Does it follow compliance rules?”

Teams often end up revising, reworking, or even tossing out AI-generated results. Not because they’re terrible, but because they weren’t created within the established framework.

And that framework? It’s overdue for a change.

Centralized vs. Decentralized: A Tale as Old as Technology

This issue is nothing new.

AI represents the newest phase in the long-running tension between centralizing and decentralizing digital systems. This familiar problem is now moving quicker and with higher stakes than before.

For decades, companies worldwide have faced one main decision: Should they keep digital tools in a central hub or spread them out across teams?

We’ve guided businesses to tackle this through approaches like:

• Shared service systems
• Centers focused on excellence and support
• Technology strategies with shared control

AI doesn’t remove this challenge; instead, it speeds it up. even people with little tech experience can come up with ideas, build, and roll out solutions. That’s exciting, but it also makes things more complicated.

The main question is this: How can you allow creativity while still keeping governance and operational standards strong?

What About Shared Services?

Here’s what leaders need to figure out: If execution moves out to different teams how can shared services stay useful?

They don’t go away. They change.

Shared services can find new roles like:

• AI Polishing and Validation: Let teams build things but have shared services refine them—making sure security is solid, improving usability, and boosting performance.
• Consulting on Operating Models: Support teams in moving from central control to a structure that empowers them more.
• Fast Technical Validation: Check if tools picked up on the spot are being used and are helpful.
• Enterprise Product Management: Help business units achieve success while ensuring governance and compliance requirements are met.

At the heart of it all—we prioritize agility. Governance isn't about blocking teams. It's about giving them the tools they need to move quicker and more.

Empathy from Both Perspectives

Some companies react to this change by shutting things down. They claim, “We only use Copilot.” Or they declare, “No AI unless IT approves it.” That’s like saying, “We avoid SaaS. We rely on desktop software.”

This approach limits innovation. It halts progress. It holds your business back.

At Appnovation, we understand the challenges. We have spent years guiding global companies through shared services and sorting out complexities. We know governance is important. Speed is important. Creativity matters too. 

Confidence? Just as crucial.

The real question isn’t about stopping AI adoption. Instead, it’s about asking this: “How can we grow with it?”

Where Does Appnovation Come In?

We push our clients to embrace AI to complete projects faster, with fresh ideas and improved outcomes. But we also get the need for governance, keeping data controlled, and maintaining strong operations. Our experience in high-compliance industries has taught us that balance.

We are ready to help you move quickly while staying confident.