Cybersecurity Blog / AI Security

AI Governance and Cybersecurity for Canadian Businesses

AI governance is the set of rules, ownership, controls and review processes an organization uses to decide how AI can be adopted safely. Cybersecurity should be built into that governance from the beginning, not added after AI tools already have access to business data.

Short answer: Start by knowing which AI systems are in use, what information they can access, who is responsible for them and what happens when an AI workflow behaves unexpectedly.

1. Create an approved AI inventory

Document approved AI applications, business owners, vendors, connected systems and intended use. An inventory makes it easier to identify shadow AI and evaluate new integrations consistently.

2. Classify the data AI can receive

Define what employees may and may not enter into public or third-party AI services. Sensitive client information, credentials, regulated records and internal security data require explicit handling rules.

3. Apply identity and least privilege

AI applications and agents should receive only the permissions needed for their purpose. Review service accounts, API keys, OAuth permissions and administrative roles regularly.

4. Review AI vendors and integrations

Security review should cover authentication, data retention, subprocessors, logging, administrative controls, contractual commitments and how the service connects to your environment.

5. Monitor important AI activity

Where practical, retain logs for administrative changes, integrations and sensitive automated actions. Monitoring becomes more important as AI moves from answering questions to taking actions in business systems.

6. Include AI in incident response

Response plans should account for compromised AI credentials, excessive permissions, unintended data exposure and unsafe automated actions. Teams should know how to disable an integration quickly.

A practical governance model

Assign an executive owner, maintain an approved-use policy, review higher-risk use cases before deployment, establish security requirements and revisit permissions as workflows change.

Related guidance: AI security risks for Canadian businesses, securing AI agents, and the Cybersecurity Knowledge Center.

For a broader review of your controls, start with a Cybersecurity Gap Assessment.