Appendix E: Glossary of Key Terms

This glossary is written for executive readers. The purpose is not exhaustive technical precision, but clear and consistent use across the book.

Terms

  • AI governance: the policies, processes, roles, and controls used to manage AI responsibly.
  • Audit readiness: the ability to produce current evidence showing how an AI system was approved, monitored, and controlled.
  • Bias: a pattern of unfair or unjustified difference in outcomes across people or groups.
  • Data drift: change in data patterns over time that can weaken model performance or relevance.
  • Evidence pack: the minimum record set used to support approval, review, and assurance for an AI system.
  • Explainability: the ability to make an AI system’s behavior or output understandable enough for the context.
  • Global explanation: explanation of what generally matters across many model outputs.
  • High-risk system: an AI system used in a context where legal, safety, rights, or major operational consequences justify stronger controls.
  • Human oversight: the practical ability for people to review, challenge, override, or stop AI use.
  • Inventory: a maintained record of AI systems, owners, purposes, and risk status.
  • Model-agnostic method: an explanation or evaluation method that works across different model types.
  • Model-specific method: an explanation or evaluation method tied to a particular model family.
  • Monitoring: post-deployment observation of system behavior, incidents, drift, complaints, and control breaches.
  • Out-of-context risk: the risk that a model is used in conditions different from those it was designed or validated for.
  • Post-hoc explainability: explanation added after training to help interpret a more complex model.
  • Residual risk: the level of risk left after controls are applied.
  • Trustworthy AI: AI that can be used responsibly because it is lawful, well-governed, technically robust, and subject to meaningful oversight.


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