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AI Limitations & Authority Boundaries

This page is deliberately blunt. A compliance platform that oversells its AI creates exactly the risk it exists to manage.


What AI cannot do in OrviQ

These are structural. There is no configuration, permission or entitlement that enables them.

AI cannotBecause
Determine that a requirement is satisfiedSatisfaction is derived deterministically from evidence, coverage and effectiveness
Determine control effectivenessDerived from indicator results by rule
Produce an indicator pass or failIndicator evaluation is entirely deterministic
Calculate evidence coverageCounting against a declared denominator
Approve a mapping, exception, applicability decision, policy or planApproval requires an accountable person
Close a finding, incident or auditClosure is a governed decision
Set a risk ratingA judgement about business context
Set a recovery objectiveA business decision about acceptable harm
Assess regulatory reportabilityA legal test
Record a loss figureA financial fact
Submit anything to a regulatorA formal representation
Publish a requirement or a controlThe human adoption gate

What AI is genuinely bad at

Distinct from what it is forbidden from doing. These are capability limits worth planning around.

Facts about your organisation

A model reading a requirement about cardholder data has no way to know whether you handle cardholder data. It will produce fluent, plausible text asserting either position.

Consequence: every factual claim in an AI draft needs verification. See AI Applicability Rationale.

Jurisdictional and entity nuance

Which regime binds which group entity, how two overlapping regimes interact, what your supervisor agreed last year — none of this is in the text the model reads.

Granularity judgement

The most common extraction error. Obligations split too finely become unownable; left too coarse they become unassignable. There is no correct answer in the text; it depends on how your organisation is structured.

Relationship strength

The most common mapping error is over-claiming: proposing equivalent where the honest relationship is subset. A model matching on textual similarity has no way to notice that a control covers three of four elements of an obligation.

Consequence: interrogate every equivalent proposal. See Relationship Types.

Distinguishing obligation from definition

"For the purposes of this circular, material means..." arrives as a candidate requirement with some regularity.

Scanned documents

An image without a text layer produces nothing usable. This is a document pipeline limit, not a model limit, but it is the most common cause of an empty extraction.


Failure modes to watch for

Fluent wrongness

Generated text reads well. Reading well is not being right, and a fluent incorrect justification attracts less scrutiny than a clumsy correct one.

Mitigation: review for reasoning and factual accuracy, never for readability.

Confidence as evidence

A high confidence score means strong pattern matching. It is not a probability of correctness.

Mitigation: use confidence to triage, never to skip review. Never batch-approve above a threshold.

Homogeneity

A dozen AI-drafted justifications across one framework will share a structure and a voice. An assessor notices.

Mitigation: rewrite each around what is actually specific to it.

Generic recommendations

Lessons-learned and gap-analysis drafts tend toward recommendations that could apply to any organisation.

Mitigation: if a recommendation would be true for a firm you have never heard of, it is not a finding.

Silent volume

An AI pass producing 214 proposals produces 214 items awaiting review. The work moved; it did not disappear.

Mitigation: generate at a rate you can review. Track first-time approval rates — see Human-in-the-Loop.


The language convention

The product and the documentation use a consistent vocabulary, and the distinction is substantive:

AIHuman and engine
assists, suggests, proposes, extracts, drafts, summarises, recommendsdetermines, approves, decides, concludes, signs off, publishes

If you find AI described anywhere as determining, deciding or approving something, treat it as an error and report it.


Evaluating the boundary yourself

Four checks, all of which you can run during an evaluation.

1. Turn the AI entitlement off. Every governed workflow should keep working — registers, approvals, determinations, reports, historical reconstruction. AI accelerates work; it is never a dependency for governance.

2. Try to approve your own AI-generated proposal. It will be blocked. Triggering an AI pass makes you the maker on everything it produced.

3. Look for a path from an AI pass to an approved record. There is not one. AI-produced records enter as proposed, draft or candidate.

4. Check the permission grants in your roles. A role holding both mapping.ai_propose and mapping.review does not break the per-record block, but it weakens the design intent.


What AI is actually good for

To balance the page. In practice the highest-value capabilities are:

CapabilityWhy
Requirement extractionLargest measurable workload reduction. A 94-page circular in two hours instead of a day and a half
Investigation questionsCheap, and reliably surfaces the question nobody thought to ask
Root-cause hypothesesCounteracts stopping at the first plausible explanation
Control discoverySemantic search over a large control register genuinely beats keyword search
Mapping proposals, reviewed properlyTwelve days of analyst work replaced by two days of generation and four of review

Every one of those is the same shape: the AI does the mechanical part, and a person does the judgement.


OrviQ Enterprise Governance, Risk & Compliance Platform