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A structured review of an AI system or AI governance program to assess whether it meets defined standards, policies, or legal requirements. AI audits can be internal (conducted by the organization itself) or external (conducted by a third party). A basic internal AI audit covers: which AI tools are in use, what data they access, what controls are in place, whether the AI policy is being followed, and whether any incidents have occurred. External AI audits are increasingly required by regulation and enterprise procurement requirements.
Why this matters for your team
A quarterly AI audit — reviewing your tool inventory, vendor DPAs, incident log, and policy compliance — takes about half a day and dramatically reduces regulatory and reputational risk. Build it into your calendar before you have a compliance obligation to do so.
A startup conducts a quarterly AI audit: reviews its tool inventory for changes, checks that each vendor's DPA is still current, reviews the incident log for patterns, and updates the AI policy if new tools have been adopted.