AI Guide

A Comprehensive Guide to AI Risk, Governance, and Best Practices

Gurpreet Dhindsa
|
April 5, 2025
Table of Content
AI Guide

A Comprehensive Guide to AI Risk, Governance, and Best Practices

Gurpreet Dhindsa
|
April 5, 2025

The Enterprise LLM Revolution

Enterprises are rapidly embedding Large Language Models (LLMs) across internal tools, customer touch-points, and decision-making workflows.

From chatbots and code assistants to search augmentation and document summarisation, GenAI is changing how work gets done. But with that acceleration comes a reality check:

LLMs are not just smart—they are risky, non-deterministic, and opaque.

Unlike traditional software systems, LLMs:

  • Can’t guarantee consistent output
  • Don’t “understand” security boundaries
  • Are vulnerable to novel attack vectors
  • Ingest and potentially reveal sensitive data
  • Lack native access control mechanisms

To harness their full potential safely, enterprises must adopt a security-first approach to LLM integration.

This guide outlines the key risks and presents an actionable framework to design, deploy, and govern LLMs securely—without slowing innovation.

The New Risk Landscape for LLMs

LLMs introduce a category of risks that are fundamentally different from those in conventional software systems.

Let’s break down the core security threats:

1. Prompt Injection Attacks

Attackers manipulate prompts to override system instructions, jailbreak the model, or hijack downstream actions.

  • Direct Injection: Crafted input to bypass system context.
  • Indirect Injection: Hidden commands embedded in data the LLM reads (e.g., PDFs, emails, websites).

Mitigation: Input sanitisation, role separation, strict validation.

Read full post → Prompt Injection: The Hidden Threat in Your LLM Workflows

2. Training Data Poisoning

Malicious or manipulated data is injected into training or fine-tuning datasets, altering model behaviour in subtle or dangerous ways.

  • Backdoor triggers
  • Biased or false content
  • Hard-to-detect behaviour drift

Mitigation: Verified data sources, adversarial testing, dataset versioning.

Read full post → Training Data Poisoning: The Silent Saboteur of Your AI Strategy

3. Model Theft & IP Leakage

LLMs trained on proprietary data are at risk of being extracted, cloned, or misused—exposing competitive intelligence or regulated information.

  • API probing attacks
  • Insecure storage
  • Insider threats

Mitigation: API throttling, encryption, RBAC, watermarking.

Read full post → Model Theft and LLM IP Protection

4. Insecure Output Handling

LLMs can generate malicious, incorrect, or exploitable responses that trigger vulnerabilities downstream—e.g., shell commands, XSS attacks, or privileged instructions.

Mitigation: Output validation, sandboxing, human-in-the-loop.

Read full post → Why You Can’t Trust LLM Output (Yet)

5. AI Supply Chain Vulnerabilities

LLM deployments often rely on external models, plugins, tools, and APIs—each a potential risk if unvetted or improperly scoped.

Mitigation: SBOM for AI, plugin isolation, CVE monitoring.

Read full post → The AI Supply Chain: Models, Plugins, and APIs

6. Data Privacy & Compliance

LLMs may store or surface personal data without the ability to “forget,” leading to GDPR, HIPAA, or data residency violations.

Mitigation: Tokenisation, access control, prompt logging, localised deployments.

Read full post → Privacy, Compliance, and Access Control

Implementing a Security-First LLM Framework

Here’s how to operationalise security across the full LLM lifecycle—from integration to monitoring:

Input Controls

  • Sanitise and validate all user and system prompts
  • Apply context-specific filters for special characters, escape sequences, indirect injection markers

Role-Based and Policy-Based Access

  • Wrap models with access control layers
  • Segment by user, team, or function
  • Limit what data and actions the LLM can access

Output Handling Guardrails

  • Enforce schemas (e.g., valid JSON, expected types)
  • Moderate for toxic, biased, or unsafe content
  • Apply sandboxing for generated code or commands
  • Require human review for high-stakes outputs

Supply Chain Defence

  • Maintain an AI SBOM: models, data sources, libraries
  • Validate all third-party plugins and APIs
  • Patch ML frameworks and monitor for CVEs

Monitoring and Logging

  • Log all LLM interactions (inputs, outputs, user, timestamp)
  • Use anomaly detection for prompt abuse or injection attempts
  • Track versioning of fine-tuned models and RAG document sources

Privacy and Governance

  • Tokenise PII and PHI before prompts reach the LLM
  • Keep logs encrypted and access-restricted
  • Isolate regulated workloads to local regions or VPCs
  • Prepare for right-to-erasure and audit requests

Your Secure LLM Deployment Blueprint

Balancing Innovation with Responsibility

Security should not block innovation—but it must shape it.

Enterprise LLM deployments that skip foundational security will pay for it later in the form of:

  • Data leaks
  • Compliance violations
  • Operational disruption
  • Loss of trust

The solution is not to ban LLMs—it is to design them for accountability from day one.

Final Takeaway

LLMs are not inherently secure.

But with the right guardrails, policies, and controls, they can be safely embedded across your enterprise.

Build with a zero-trust mindset.

Control the inputs, secure the outputs, and govern the pipeline.

That’s how you unlock GenAI’s power—without losing control.

Explore the Full Guide Series

Prompt Injection and Response Control

Training Data Poisoning and Dataset Integrity

Model Theft and IP Protection

Output Validation and Zero-Trust Integration

AI Supply Chain Security

Privacy, Compliance, and Access Control

Table of Content

Enterprise AI Control Simplified

Platform for real-time AI monitoring and control

Compliance without complexity

If your enterprise is adopting AI, but concerned about risks, Altrum AI is here to help.

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