DSI 001Decision Standards Institute
DSI 001 · For investors and investment committees

The risk is not the AI

It is the governance the buyer inherits. DSI 001 provides diligence evidence relevant to valuation, IC review, conditions precedent, portfolio monitoring and exit readiness, for companies whose value depends on autonomous systems.

The governance the buyer inherits

The risk is that material valuation depends on an autonomous system whose governance cannot survive customer, insurer, regulator or acquirer review.

The absence of an external governance classification is itself a diligence consideration, particularly where valuation depends on autonomous-system performance.

Where it enters the deal

Stage 01
IC memo input
A system-level read beside technical and commercial diligence.
Stage 02
Term-sheet condition
A target GBI band as a condition or covenant.
Stage 03
Monitoring
Reassessment on material change, across the book.
Stage 04
Exit readiness
An artefact the next buyer can rely on.

Where value is impaired, dimension by dimension

D1Autonomy. How much value depends on unattended decisions?
D2Data. What is the data-exposure tail on the balance sheet?
D3Contract. Is liability pushed up or down the chain?
D4Liability. Is the AE3 exposure recognised, capped or insured?
D5Leverage. Is the company locked into a system it cannot change?
D6Stability. Does governance survive the next update and the next buyer?
On the data room

AI prompts, outputs and communications are increasingly treated as discoverable evidence of decision quality. A contemporaneous, independently assessed record is the difference between a clean data room and a reconstructed one.

Add a GBI to your diligence

Bring a classification into IC review, or condition a deal on one.

What a DSI 001 result is, and is not. A DSI 001 result is a scoped governance classification and evidence record, not a determination of legal, regulatory, insurance, credit or fiduciary outcomes, and it is valid only within its stated windows. Full disclaimers are in the disclaimers.