AI governance gap identified in Japan as Shadow AI usage rises

A significant gap exists between corporate leadership and employees regarding AI usage and policy awareness in Japan. According to a global survey by Okta Japan, while 54% of Japanese executives believe their AI policies are clear, only 22% of employees agree, with 78% stating they cannot find official policies.

Furthermore, a disconnect exists in visibility. While 84.6% of Japanese executives believe they can monitor AI tool usage, nearly half of employees (47.5%) admit to using unapproved “Shadow AI” tools. Gartner research highlights that 73% of companies are struggling to manage this, either because they cannot detect these tools or cannot take action once identified.

To address this, Gartner suggests moving away from centralized IT control toward a “division of labor” model. This involves categorizing AI into “Enterprise AI,” “Departmental AI,” and “Individual AI,” assigning responsibility to the users who benefit from the tools. Additionally, Gartner recommends evaluating AI based on specific functions rather than entire tools to better manage risks.

In response to evolving digital needs, Okta Japan has announced new features for Auth0. These updates aim to enhance B2C and B2B identity management, specifically focusing on securing transactions made via AI agents and optimizing user conversion rates through improved session tracking and authentication flows.