Within the PMI perspective on managing AI-enabled initiatives, data privacy and compliance are not treated as isolated technical controls but as part of a broader data governance capability. A data governance plan defines how data is collected, stored, accessed, shared, protected, and monitored across the AI lifecycle. It clarifies roles and responsibilities, policies, standards, processes, and controls that ensure regulatory, contractual, and ethical obligations are met.
PMI’s AI-oriented guidance explains that before choosing specific mechanisms (like audits or encryption), project leaders should first establish governance structures that align with organizational strategy, legal requirements, and risk appetite. This includes specifying privacy requirements, data retention rules, consent and usage constraints, and processes for handling data subject rights and incidents. A governance plan also provides the basis for later activities, such as privacy audits, encryption standards, and incident response.
In an AI quality-control solution for manufacturing, a comprehensive data governance plan will: (1) ensure personal or sensitive data is identified and minimized, (2) define compliance checks for relevant industry and data protection regulations, and (3) integrate privacy and security considerations into model development, deployment, and monitoring. Therefore, developing a comprehensive data governance plan is the most effective initial approach to address data privacy and compliance.