Yes, Your Business Needs an AI Policy (And I’ve Got Your Back)

If you asked me to describe my dream evening, “reading or writing company policies” wouldn’t make the cut. Heck, it probably wouldn’t even make the list. Policies are often cold, bureaucratic, and about as much fun as a surprise client conflict.

But here’s my approach: if you can’t live without policies (and trust me, you can’t), you may as well write them so they actually make sense… and maybe even make life easier for the people who have to follow them.

Many years back, I ran a little computer shop, and had a challenging client who wouldn’t stop trying to fix things on his own before asking for my help. So I crafted two simple documents for him:

1. “What Not to Do When You Have Computer Issues,”
2. “What to Try When You Have Computer Issues?” 

The difference it made was incredible. He finally stopped making things worse at 10 PM! Why? Because those documents were for him, not for a court of law. He got it, he used it, and he actually followed the advice. That experience formed the foundation of how I approach building policies around people so they actually work.

Fast forward to today: businesses are scrambling to keep up with AI, hoping nobody on their team causes a major headache or even worse, rushing company policies out the door which read like they were designed for robots, not for humans. No wonder nobody wants to read (or follow) them.

The Reality: AI Is Already Being Used in Your Business

Let’s not kid ourselves. If you’re leading a firm in 2025, odds are someone on your team is already using AI. Maybe it’s for quick design ideas, crafting client emails, or building presentations. Chances are you likely looked at entire documents or presentations your team put together that were spit out from ChatGPT and never noticed it.

Here’s a story fresh from the trenches: last month, a new prospect emailed us a laundry list of IT requirements for their business ahead of our initial call. I spent a good amount of time putting information on everything they asked during our call only to realize later… none of it really mattered. They just asked ChatGPT, “What should I ask from a potential new IT provider?” and pasted the answer in an email to me. They didn’t understand half of what was on their own list. 

If seeing poor AI outputs being passed around as a good day’s work feels familiar, you’re not alone. You have every right to be concerned, even if you haven’t seen such poor use cases of AI. In the end your business is like a high-end restaurant. Your clients expect you, the chef, to know every ingredient that’s going into their dish and there is no mystery meat in their stew.

Unmanaged, unintentional AI use isn’t neutral; it’s risky.

It’s a bit like handing out calculators that can’t reliably multiply numbers or using a laser tape measure that “mostly” gets the numbers right. Maybe it nails the distance ten times in a row. Then one day, it’s off enough to cause walls not to line up, budgets turn upside down, and clients wonder what went wrong.

Why Every Business Needs an AI Policy

You might think, “I told my team not to use AI or use it with extreme caution, problem solved!” But here’s the reality check:

  • 45% of employees admit to using AI tools that are technically forbidden at work
    (Anagram survey)

  • 25% never check company policy before diving into the latest shiny AI tool
    (CalypsoAI report)

  • And the kicker: Over half of all employees admitted if AI would make their jobs easier, they would silently break the company rules!

Saying “don’t” doesn’t prevent people from doing so, it just pushes the problem into the shadows and multiplies the risk because most employees do not quite understand the risks nor have help from leadership to use AI properly.

Even if you already have a 25-page policy written by your legal team, I bet fewer than half of your people have read it fully and even less truly understood what it was saying. Complex, jargon-packed documents get signed, filed, and forgotten. Worse, they lull everyone into thinking all the boxes are checked… until something breaks.

A truly useful AI policy isn’t about playing gotcha after something goes wrong. It's about teaching up front.

It means everyone, from the fresh intern to the lead architect, actually understands what’s safe and smart versus what’s risky and off-limits. Most importantly, a good policy spells out the “why” behind each rule, so your team can get behind it and stay alert, even in those tricky, not-quite-covered scenarios when the policy doesn’t give a black-and-white answer.

Turning Policy into Education

Here’s my not-so-secret sauce: treat policies like teaching tools, not just rulebooks. If it’s just a list of “thou shalt nots,” nobody’s going to care until they trip up.

So, how do you get real buy-in?

🎯 Actionable Steps:

  1. Read Out Loud
    Don’t sneak this into a shared drive. Open it at a team meeting and read it together.

  2. Welcome Confusion
    Stop and highlight anything that makes people pause or scratch their heads. If it’s confusing, unclear, or full of legalese, fix it on the spot.

  3. Crowdsource Examples
    Ask the group: “Can anyone picture a situation where this wouldn’t cover us? Any edge cases or fun failures?”

  4. Send to Your Legal, Last
    Once it’s clear, pass it to your lawyer with a note: “Please don’t turn this into legal gloop. Just make sure its format, language, and tone remains intact as you make changes or additions.”


📌 Important: This approach isn’t about lowering standards; it’s about raising the odds your policy will actually prevent problems.

Your Downloadable AI Policy Template 🧩

I’m going to make your life easier and give you a headstart with our plain English, fully editable AI policy template.

No, it’s not one-size-fits-all, and it’s definitely not legal advice. Consider it a catalyst. A gateway to smarter, safer AI use.

Review it with your team. Share it early. Have your lawyer fine-tune the details so it’s rock-solid without losing the friendly tone.

Tip: Don’t just email it out. Print it, talk through it, and get every single person to say, “I actually understand what this means.” Have them sign off not just as a check-the-box, but as a sign they’re truly on board.

👉 [Download the AI Policy Template PDF]


The Payoff: Clarity & Confidence For Your Whole Team

When you approach policies as education (not after-the-fact ammunition), you build:

  • Understanding: fewer “oops, I didn’t know” moments

  • Intentionality: AI becomes an asset, not an accident waiting to happen

  • Relief: for both leaders and team members; everyone knows the limits

  • A culture of trust: transparency wins, fear and confusion lose

Bring It Home: Your Next Best Step

Here’s the big picture:


If your team uses AI (and they do), the real question isn’t “Do you need a policy?” It’s, “Does everyone actually get it?”

Download the template. Grab some coffee with your team. Make sure these rules aren’t just filed, they’re understood and accepted.


Because the right conversation now is your shortcut to fewer headaches later.

Your future self and your team will thank you for it.

Want more like this? Pass it along, or just tell me how it landed. I’m always listening.

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