Choosing AI Tools Safely: A Vendor Evaluation Framework
A practical framework for evaluating AI vendors on security, compliance, and data handling. The questions to ask before you sign.
A practical framework for evaluating AI vendors on security, compliance, and data handling. The questions to ask before you sign.
AI tools are appearing everywhere, from standalone SaaS products to features embedded in software you already use. The rush to adopt means many organisations are using AI tools without properly evaluating how they handle data.
This creates real risk. Your customer data, employee records, financial information, or proprietary knowledge could be stored in unknown locations, used for model training, or accessible to the vendor's staff.
For every AI tool your organisation considers, evaluate these five areas:
Before signing up for any AI tool that will handle business data:
| Question | Ideal answer | Red flag |
|---|---|---|
| Is data used for model training? | No, with opt-out by default | "By default, yes" with no opt-out |
| Where is data stored? | Specific region (e.g., AWS Sydney) | "Various global data centres" |
| Can data be deleted? | Yes, on request with confirmation | "Data may be retained indefinitely" |
| Third-party access? | No sub-processors without disclosure | Unnamed third-party processing |
| Encryption? | AES-256 at rest, TLS 1.2+ in transit | "Encryption where appropriate" |
Our approach: Self-hosted or Bedrock-based AI means your data never leaves your AWS account. No vendor training, no third-party access, full audit control.
Meet the person
This article comes from real projects. If it raises a question about your own system, you can ask the founder directly.
HELLO PEOPLE designs, builds and looks after AI, software, app and data solutions for Australian businesses, with senior expertise on every project and a scope agreed before work starts. For AI, that means working on your own data, with a person able to check every answer.
Since 2007, HELLO PEOPLE has delivered more than 100 projects from Perth for small and medium businesses across Australia: custom software and apps, system integrations, data migrations, reporting and dashboards, and AI that works inside the systems a business already runs.
I lead every engagement myself. I trained in accounting before moving into IT, hold accounting and IT professional qualifications and an MBA, and bring more than 20 years of experience across sales, service delivery, inventory and compliance. I am also a PhD candidate in AI at Curtin University, researching retrieval-augmented generation (RAG), so the technology is always judged by what it does for the business.
Small and boutique. The person who scopes your AI project is the person who builds it, and the same person checks its answers before your team relies on them.
No ticket queue and no account manager in between. You hear back within one business day, usually sooner.
The first AI project is the start, not the end. When you need the next system, integration or report, you call the same person, who already knows your business.
Ask the author
Ask it here and it comes straight to the founder. No sales call, no obligation, and a real answer even if the answer is that you do not need us.
Kasun Wijayamanna
Founder, replies within one business day
Tell us what you're working on. We'll come back with a practical recommendation and clear next steps.
Built here. Your data stays here.
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