Ian Pham at the Victorian Managed Insurance Authority (VMIA) outlined approaches to managing AI adoption during the PSN Victorian Government Cyber Security Showcase. Organisations face the challenge of adopting AI while maintaining effective risk management as these systems become more embedded in government operations.
Cybersecurity teams have traditionally operated with a risk-averse approach focused on minimising threats. Such an approach can slow innovation when applied to AI systems used in public sector environments.
A shift towards managing risk in line with organisational objectives is presented as necessary. This includes prioritising relevant risks and moving from reactive responses towards supporting decision-making processes.
AI adoption involves secure environments for experimentation with defined guardrails, including synthetic or non-sensitive data, monitoring mechanisms, usage conditions, and identity and access controls. Exposure can then be increased gradually, supported by governance and continuous reassessment.
Risks linked to AI systems include data leakage, privacy concerns, unauthorised use, and data quality issues. These risks are described as requiring visibility and management, alongside organisational awareness and engagement to support confidence in AI use.
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