This paper by KPMG suggests that, as employees embrace generative AI to boost productivity and bypass outdated systems, unsanctioned or unauthorised use is increasingly becoming the norm, with 44% of employees reporting they use AI in ways that violate company policies. While this introduces real risks, it also reflects a workforce that is eager to innovate. The paper explores how organisations can move beyond reactive controls and adopt a proactive strategy that reduces risk, builds trust and transforms “shadow AI” into a powerful engine for innovation and growth.