AI Strategy & Implementation Flashcards

Which of the following BEST describes the role of an AI sponsor in an implementation project?

Answer: A senior executive who champions the initiative, secures resources, and removes organizational barriers

An AI sponsor provides executive-level advocacy and authority to drive adoption and resolve cross-functional conflicts that technical teams cannot address alone.

What is the main risk of implementing AI solutions without a clear data governance policy?

Answer: Poor data quality, privacy violations, and biased model outputs that undermine trust and compliance

Without data governance, organizations risk using flawed or improperly handled data, leading to unreliable AI outputs and potential regulatory violations.

A financial services firm wants to use AI for credit scoring. Which ethical consideration is MOST critical?

Answer: Ensuring the model does not perpetuate or amplify discriminatory bias against protected groups

In high-stakes decisions like credit scoring, algorithmic fairness is paramount because biased models can cause material harm and violate anti-discrimination laws.

The concept of 'explainability' in AI is most important in which scenario?

Answer: A model that makes loan approval decisions affecting consumers' financial lives

Explainability is critical when AI decisions significantly impact individuals, as regulators and affected parties have the right to understand the basis for those decisions.

Which of the following is a key component of an AI implementation business case?

Answer: Quantified expected benefits, estimated costs, risks, and a projected ROI timeline

A business case must justify investment by clearly linking costs to expected financial and operational benefits with a realistic timeline.

When an organization adopts a 'federated AI' approach, it typically means:

Answer: AI capabilities and responsibilities are distributed across multiple business units while adhering to enterprise-wide standards

Federated AI balances local business unit autonomy and agility with centralized governance and standards to prevent fragmentation and duplication.

A company is evaluating whether to retrain an existing AI model or replace it entirely. The PRIMARY factor driving this decision should be:

Answer: Whether the performance gap is due to data drift (retrain) or a fundamental change in the problem definition (replace)

The nature of the performance gap determines the right response: drift issues can be fixed by retraining, but a changed problem scope typically requires a new model design.