In February, CommBank became the first Australian bank to publish a detailed report on its AI implementation, governance framework and practical applications.
“When businesses commit to responsible AI, the benefits extend well beyond their own operations,” says CommBank’s Ranil Boteju.
“Apart from giving customers an insight into our AI governance and management framework, the report is also helpful to other Australian businesses wanting to implement AI responsibly,” says Ranil Boteju, chief AI officer at CommBank.
As agentic AI emerges, the black‑box problem intensifies, increasing the importance of explainability and oversight.
“We’re investing in technologies that give us better visibility into how AI systems make decisions,” says Telstra Data & AI Strategy and Architecture executive Lisa Green. “When working at scale, good governance relies on the right tools, as well as human oversight. We’re working closely with our SaaS partners to make sure a similar level of transparency is built into their solutions.”
Customers also want clarity on how their data is used, shared and whether it trains AI models. Steps that lift confidence include options for human intervention, strong monitoring and employee training.
“Existing regulatory approaches are beginning to address automated decision making,” Green says. “Looking ahead, as people become more familiar with AI, we’re likely to see growing expectations for transparency and the ability to better understand and interact with AI-supported decisions.”
Responsible AI also reaches into human rights, bias and discrimination. Telstra advocates through forums such as the UNESCO Business Council for ethical AI, while CommBank points to Australia’s AI Ethics Principles (2019) as a north star and uses them across the AI lifecycle – from design to deployment and monitoring.
Accountability in practice
Turning governance into practice requires clear structures.
Telstra’s Lisa Green says the organisation is investing in technologies that give them better visibility into how AI systems make decisions.
KPMG’s framework is values‑driven, human‑centric and trustworthy, informing build‑buy‑use decisions. Daffy says the firm has mobilised a Trusted AI Council with senior leaders and an external member, implemented an AI management system, and become the first professional-services firm globally – and first Australian company – to achieve ISO 42001 certification for responsible governance of its AI management system.
Telstra operates a structured risk-delegation framework. Every use case has a named owner and all new models or significant changes go to the AI Risk and Oversight Committee, with escalations to the Data and AI Council and senior executives for higher‑risk or strategic initiatives.
CommBank’s AI systems are guided by the Group AI Policy and Code of Conduct.
“These policies support our approach to safeguarding personal information, meeting our regulatory obligations, protecting against cyber risk, and keeping our customers and systems safe, stable and resilient,” Boteju explains.
Third parties are managed through robust onboarding while sustainability also is part of responsible AI for the Bank.
The bank matches electricity use in its Australian operations with 100 per cent renewable energy and engages third‑party AI providers on renewable energy and water‑related commitments.
Responsible AI the way forward
Daffy stresses that responsible AI and sound AI governance should not be seen as hurdles.
“Together, they scale value and build confidence,” he says. “Some organisations are doing a really good job of communicating how they’re using AI, and how they’re testing and monitoring their AI systems to ensure they’re operating in line with their AI principles. I think that’s a powerful new level of transparency.”
Adds Boteju: “When businesses commit to responsible AI, the benefits extend well beyond their own operations.
“We share customers and communities, so the more organisations that lead with transparency and accountability, the stronger the foundation of trust becomes for everyone.”
