Demystifying ISO 42001: Unpacking BlackLine’s New Standard for Trusted AI in Finance

As we continue our focus on cybersecurity this month, the conversation must extend to the responsible development and deployment of Artificial Intelligence (AI). For finance and accounting leaders, the promise of AI is matched only by the imperative for trust, security, and control.

This is why we are proud to announce that BlackLine has achieved ISO/IEC 42001:2023 certification, the world’s first standard for Artificial Intelligence Management Systems (AIMS).

This certification is not just a technical achievement; it is a direct answer to the market's call for trustworthy AI. For the Office of the CFO, it ensures that the AI you rely on is governed by a rigorous framework for ethical development, accountability, and risk management. It formalizes our commitment to delivering responsible AI for finance, ensuring that both innovation and integrity advance simultaneously.

Our achievement of the ISO 42001 certification is the latest milestone in a journey spanning more than 12 years. Trust in finance and technology is not built overnight. It is earned through a sustained, demonstrated commitment to security and data protection.

While some platforms are just beginning their security development, BlackLine’s foundation is deep and established, providing a proven framework for secure financial automation. This new AI-specific standard is a logical extension of our long-standing, security-first posture.

The ISO 42001 standard joins our extensive portfolio of internationally recognized certifications, which together create a comprehensive shield for your financial data. This multi-layered approach demonstrates a holistic commitment to security that is unmatched. Our core certifications include:

• ISO/IEC 27001: The global standard for Information Security Management Systems (ISMS).

• ISO/IEC 27017: A code of practice for information security controls for cloud services.

• ISO/IEC 27018: A code of practice for protecting personally identifiable information (PII) in public clouds.

• ISO/IEC 27701: The standard for Privacy Information Management Systems (PIMS).

This certification directly validates the promise behind BlackLine Verity, our purpose-built AI for finance and accounting. Verity, from the Latin word for "truth," is designed to provide reliable insights that accountants can trust. The ISO 42001 framework affirms that our AI management system is engineered to mitigate risks, including the "garbage in, garbage out" problem that can plague generic AI models.

By building AI specifically for the complexities of accounting, we ensure that the models, data, and outputs are relevant and accurate. This is not a general-purpose tool retrofitted for finance; it is a specialized engine designed by accounting experts for accounting professionals.

With Verity, we are evolving beyond simply automating tasks to actively augmenting strategy, insight, and decision-making. The result is trusted AI in accounting that enhances, rather than complicates, your processes.

Translating this certification into practical value, here is what BlackLine’s commitment to responsible AI means for your organization.

1. Confidence to Innovate Without Risk

The ISO 42001 standard provides a verified framework that reduces the risks associated with AI adoption. For finance leaders, this means you can embrace AI-driven transformation with confidence, knowing that the underlying technology is governed by strict ethical and security protocols. You can accelerate innovation in areas like the financial close without introducing unforeseen compliance or data privacy vulnerabilities.

2. Complete Control with Full Auditability

Trust requires transparency. Our AI management system provides the auditable trail that regulators, auditors, and stakeholders demand. The certification confirms that our processes for developing, deploying, and monitoring AI are documented and verifiable.

3. A Competitive Edge with Agentic AI

BlackLine Verity includes access to agentic experiences, meaning it can proactively identify work, execute tasks, and surface insights for your team to validate. This capability transforms your finance function from a reactive cost center to a proactive, strategic partner. With the assurance of ISO 42001, you can leverage agentic AI to automate complex reconciliations and analyses, freeing your team to focus on high-value activities that drive a competitive edge.

In a market crowded with "AI-first" claims, our approach is different. BlackLine has always been a security-first company. Our commitment to security is not a marketing response to a trend; it is embedded in our DNA.

The addition of specialized cloud security and privacy certifications like ISO 27017 and ISO 27018 creates a more robust foundation for responsible AI than a simple AI certification alone. This deeper commitment ensures that every layer of our platform—from the infrastructure to the AI models—is engineered for the highest levels of security, privacy, and reliability.

BlackLine’s ISO 42001 certification is more than a badge. It is a testament to our unwavering dedication to empowering finance and accounting professionals with technology they can depend on. It proves our deep-rooted commitment to building a future where innovation and responsibility are one and the same. We believe the most powerful AI is the AI you can trust completely.