A financial services firm's Chief AI Officer is presenting AI risks to the board. Which risk communication approach BEST conveys the significance of AI model risk to a non-technical board?
Select an answer to reveal the explanation.
Short Explanation and Infographic
Here's the deal — b is correct because effective board-level risk communication translates technical AI risks into business terms — financial impact, regulatory exposure, and customer harm — that enable non-technical directors to exercise oversight and make informed governance decisions. A, C, and D are technically detailed but inaccessible to non-technical board members and do not translate risk into business consequences.
Full explanation below image
Full Explanation
B is correct because effective board-level risk communication translates technical AI risks into business terms — financial impact, regulatory exposure, and customer harm — that enable non-technical directors to exercise oversight and make informed governance decisions. A, C, and D are technically detailed but inaccessible to non-technical board members and do not translate risk into business consequences.