What would happen if your company faced a 35 million euro fine for using AI without proper oversight? Most mid-market companies are using AI without understanding their legal obligations or the real risks involved. The EU AI Act exists for good reason, but compliance is often treated like an afterthought. That’s where the danger lies.
The Real Problem: AI Risks Go Unnoticed Until It’s Too Late
90% of SMEs don’t know what AI risks they’re actually running. They use AI solutions, sometimes quite extensively, without understanding the legal framework or potential consequences.
The EU AI Act isn’t theoretical – it comes with real teeth. Fines go up to 35 million euros or 7% of annual revenue, whichever is higher. But that’s just the financial side. There’s also the reputational damage when an AI system makes a biased decision, or when you can’t explain to a customer why their loan was denied.
Most companies report a similar pattern: “We didn’t realize we needed governance until we were already exposed.”
The Question: How Could You Protect Your Company Proactively?
What if you knew exactly which of your AI applications carry regulatory risk? What if you had a clear process – not just for compliance, but for building AI systems that actually work ethically from day one?
That’s not about creating mountains of documentation. It’s about understanding your processes, making smart decisions early, and building structures that stay with you as you grow.
How It Works: Building AI Governance That Sticks
Real AI governance isn’t about checking boxes. It’s about three core things:
First: Understanding your AI landscape. A comprehensive approach involves reviewing all current and planned AI applications and categorizing them by regulatory risk. Some carry minimal risk. Others – like decision-making systems that affect customers or employees – need careful attention.
Second: Creating clear structures. Who’s responsible for documenting your AI systems? Who decides if a new AI application is compliant before it goes live? How do you handle issues when they emerge? These aren’t bureaucratic questions – they’re practical ones that save you from costly mistakes.
Third: Monitoring and adjusting. AI governance isn’t a one-time project. It’s ongoing. Effective governance builds processes that let your teams stay on top of what’s happening, catch problems early, and adapt as regulations evolve.
The tool we use at schnell.digital is Vectense – a platform where these governance processes can be described in natural language by your own teams. No coding, no complex BPMN diagrams. Just clear descriptions of how your organization handles AI decisions. Everything is GDPR-compliant and EU-hosted.
What This Actually Means for Your Business
When you get governance right, several things happen:
You stop worrying about compliance fines because you have clear documentation that you’ve made informed, responsible decisions.
Your reputation improves. If your AI systems are documented and ethical, you can confidently explain how they work to customers, regulators, and the public.
Your teams trust the process. Engineers and managers know what’s expected, and they know there’s a framework that catches problems before they become crises.
Why schnell.digital Approaches This Differently
With experience from over 75 AI projects in mid-market organizations across the DACH region, schnell.digital brings practical knowledge paired with real understanding of the regulatory landscape.
The company works with your actual processes, your actual teams, and your actual risks – rather than applying generic templates that don’t fit. schnell.digital is a supporter of the EU AI Pact because it believes AI should be governed responsibly. The approach is always practical and proportionate to your actual risk level – not a box-checking exercise that wastes your time.
The Next Step: Where Does Your Company Stand?
A free Process Potential Check can help you understand where your biggest AI risks actually are. In about 3 minutes, you can see which of your processes would benefit most from proper governance. You might be surprised at what your organization is already running without realizing it.
Ready to dig deeper? Let’s talk about what a practical AI governance approach would look like for your organization.