What should businesses assess before implementing Generative AI?
Before deploying Generative AI, leadership must evaluate data residency, IP ownership, prompt injection vulnerabilities, and model error tolerances. Foundational models generate probabilistic text, meaning applications requiring deterministic accuracy must be architected with Retrieval-Augmented Generation (RAG), verified document grounding, and strict human-in-the-loop validation workflows to prevent hallucinations and data leakage.
Generative AI creates enormous productivity gains when grounded in enterprise reality, but unvetted deployments introduce legal liabilities and inaccurate business outputs.
