Technology Leaders Struggle to Govern Rapidly Expanding AI Deployments

Chief information officers (CIOs) and chief technology officers (CTOs) are increasingly being held accountable for artificial intelligence systems they may not fully oversee, according to a new IBM Institute for Business Value survey. The study found that 67% of tech executives manage AI they don’t completely control, while 70% report technology deployment outpacing IT tracking capabilities.

The gap between accountability and control is widening as organizations accelerate AI adoption across business functions. Analysts note that AI functionality is now embedded in SaaS platforms, cloud services, and developer tools, often bypassing traditional IT governance structures.

“AI capability is now embedded in various enterprise systems, so adoption happens at the edges while accountability remains centralized,” explained Deepika Giri of IDC Asia/Pacific. “Enterprises have decentralized experimentation faster than they’ve decentralized accountability.”

The Rise of Agentic AI

The challenge grows with the increasing use of AI agents—autonomous programs that can make decisions, interact with systems, and carry out tasks with limited human oversight. By 2027, organizations expect to deploy an average of 1,661 AI agents each (a 38% increase), creating a governance gap that manual processes cannot fill.

“Agentic AI introduces dynamic behavior and external interactions, breaking traditional governance models,” said Charlie Dai of Forrester. “Enterprises lack real-time traceability into decisions, creating misalignment between accountability and actual system performance.”

The IBM survey also revealed that 80% of respondents operate under CEO-driven mandates to accelerate AI transformation efforts, further compressing the time available for establishing effective governance frameworks.