An international standard that sets out requirements for an organization’s management system to govern the safe, reliable, and responsible development and use of artificial intelligence. Think of it as a playbook or safety checklist that helps companies design processes, controls and documentation so AI tools behave predictably and comply with laws and expectations; for investors, certification or alignment can signal lower operational, legal and reputational risk and better long-term value.
ai governancetechnical
AI governance is the set of rules, oversight and practices a company uses to design, test, deploy and monitor artificial intelligence tools so they behave reliably, safely and fairly. Think of it as a vehicle’s maintenance schedule, road rules and driver checks for software: it reduces the chance of costly errors, legal penalties or reputation damage and helps investors judge whether a business can scale AI responsibly and protect value.
predictive and adaptive analyticstechnical
Predictive and adaptive analytics are data tools that use past and real-time information to forecast future outcomes and then automatically adjust those forecasts and decisions as conditions change. Think of it like a GPS that not only predicts travel time but reroutes when traffic shifts; for investors, it signals that a company is using technology to reduce surprises, improve efficiency, manage risk, and respond quickly to market or operational changes, which can affect future earnings and valuation.
natural language processingtechnical
Natural language processing is a technology that enables computers to understand, interpret, and respond to human language in a meaningful way. It allows machines to analyze large amounts of text, like news articles or social media posts, to identify patterns, trends, or sentiment. For investors, this means gaining faster insights from vast information sources, helping to inform smarter decisions in a rapidly changing world.
ai impact assessmentstechnical
AI impact assessments are structured reviews that evaluate how a company's use of artificial intelligence affects its operations, costs, legal compliance, data privacy, and reputational risk. Investors care because these reviews reveal potential savings, regulatory fines, or public backlash—similar to a home inspection that shows both the upside of renovations and hidden problems that could require costly repairs—so they help gauge future profits and risks.
human-in-the-looptechnical
Human-in-the-loop describes systems where people supervise, check, or make final decisions on work performed by automated tools or algorithms. Like a pilot overseeing an autopilot, humans step in to catch errors, interpret nuance, and apply judgment that machines may miss. For investors, this matters because human oversight can reduce operational and regulatory risk, improve decision quality, and increase trust in results produced by automated systems.
eu ai actregulatory
The EU AI Act is a European law that sets rules for how artificial intelligence systems can be developed, marketed and used, grouping applications by risk and requiring safety checks, transparency and oversight. For investors it matters because the law changes costs, approval timelines and market access for AI products—like a building code for software that can raise compliance bills for some firms while creating a safer, more predictable market that benefits companies that follow the rules.
A software platform that uses artificial intelligence to monitor, coordinate and optimize a company’s operations, decisions or workflows—like a digital brain or autopilot for business tasks. Investors care because it can lower costs, speed up decisions, reduce errors and scale operations faster than manual systems, which may boost profitability and change risk profiles; it also introduces considerations around data quality, reliability and regulatory oversight.
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Certification validates Pega’s enterprise-grade AI management system for faster, safer AI adoption
WALTHAM, Mass.--(BUSINESS WIRE)--
Pegasystems Inc. (NASDAQ: PEGA), The Enterprise Transformation Company™, announced it has achieved ISO/IEC 42001:2023 certification for Pega Cloud® services, Pega GenAITM solutions, predictive and adaptive analytics capabilities, and natural language processing. This certification demonstrates how Pega solutions meet the rigorous international standard for AI governance, directly addressing some of clients’ most pressing trust, compliance, and procurement challenges.
AI adoption continues to accelerate at an unprecedented pace, with Gartner projecting that global AI spending will top $2 trillion by 2026. However, 74% of enterprises struggle to balance innovation with security when deploying generative AI, according to Boston Consulting Group. The ISO/IEC 42001:2023 standard provides a comprehensive framework for responsible AI lifecycle management, covering everything from AI impact assessments and human-in-the-loop controls to supplier governance and corrective action protocols. For Pega clients deploying AI-powered workflows in highly regulated sectors, the certification delivers the third-party validation needed to scale AI with confidence.
Pega's certification directly addresses three challenges organizations face when adopting AI:
Buying-center trust and reduced friction: Enterprises require evidence of formal AI governance, supplier controls, and shareable policy artifacts. Without third-party certification, security reviews stall and procurement cycles extend. Pega's ISO/IEC 42001 certification provides auditable evidence that accelerates vendor evaluation and shortens time to contract.
Regulatory readiness and market access: The EU AI Act, which began phased implementation in 2024, imposes strict lifecycle requirements on AI systems, and similar regulations are emerging globally. EU penalties can reach up to €35 million or 7% of global turnover for prohibited practices. Pega's certification validates the formal controls required by these regimes – including AI impact assessments, incident management, risk management, and competency tracking – are already operational.
Operational risk and scale: To deploy AI across the enterprise, organizations need consistent safeguards such as human-in-the-loop oversight, data masking, and release gating. Pega's Artificial Intelligence Management System enforces these controls natively, enabling organizations to scale AI features without introducing unmanaged risk.
Pega’s ISO/IEC 42001 certification applies to version 25.1 and newer of Pega Infinity™ — Pega’s Agentic Enterprise Platform — helping organizations modernize legacy systems, automate work with AI agents, and boost productivity without sacrificing reliability. Pega’s certified AI management system gives clients confidence in achieving measurable value while reducing risk. Built in controls support regulatory readiness, lifecycle safeguards enable safe AI scaling, and auditable supplier controls strengthen governance, trust, and brand credibility in regulated environments.
For more information, download Pega’s ISO/IEC 42001 certification here and visit www.pega.com/trust for more detail on Pega’s security practices.
Quotes & Commentary:
“As enterprises rush to adopt AI, the gap between innovation and governance is the biggest barrier to success,” said Carlos Fuentes, chief information security officer, Pega. “The ISO/IEC 42001 certification isn’t just a compliance checkbox, it’s proof Pega AI solutions are built on solid, auditable controls, so clients can move fast without taking unnecessary risks. In regulated industries, governance isn’t optional – it’s an essential part of business. This certification gives clients the confidence that they can unlock AI’s potential while meeting regulatory and industry expectations.”
About Pega
Pega provides the leading AI-powered platform for enterprise transformation. The world’s most influential organizations trust our technology to reimagine how work gets done by automating workflows, personalizing customer experiences, and modernizing legacy systems. Since 1983, our scalable, flexible architecture has fueled continuous innovation, helping clients accelerate their path to the autonomous enterprise. Ready to Build for Change®? Visit www.pega.com.
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