Executive guide · Compliance leader
How to Create an AI Acceptable-Use Policy
Policy without approved tools fails. Tools without policy create shadow AI. You need both.
By Chad Gniffke · Reviewed by BRITECITY Technical Review · Updated 2026-08-04
Executive summary
Policy without approved tools fails. Tools without policy create shadow AI. You need both.
Definition
An AI acceptable-use policy is a written standard that defines how employees may use generative AI with company and client information.
Why it matters to the business
Leaders should care because the issue shows up as cost, risk, or lost capacity, not as a technical curiosity.
- Reduces confidential data leakage to public models
- Sets expectations for customer and regulated data
- Creates a basis for training and enforcement
What to do next
1.List prohibited data classes
Credentials, regulated data, client confidential, unpublished financials.
2.Name approved tools
Enterprise options with known data handling.
3.Require human review for external outputs
Especially legal, financial, and customer communications.
4.Train and revise
Update as tools and laws change.
Answers
Frequently Asked Questions
How long should the policy be?
Should legal write it alone?
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