Organizational Control Layer: Governance Infrastructure at the Execution Boundary of LLM Agent Systems

Abstract

LLM-based agents are increasingly deployed in workflows where generated outputs may trigger state-changing actions, such as price offers, refunds, payments, or tool calls. This creates an execution-boundary problem: a platform must decide whether an agent's proposed action is authorized before the action is executed. We introduce the Organizational Control Layer (OCL), a model-agnostic governance layer that separates proposal generation from environment-facing execution. OCL intercepts generated actions, checks them against role, policy, and economic constraints, and either approves, revises, blocks, or escalates them without modifying the underlying LLM generator. We evaluate OCL on adversarial buyer--seller negotiation environments adapted from AgenticPay. Across multiple frontier LLM backends, OCL reduces observed unsafe executions from 88% to 0% while increasing valid success from 12% to 96%. Ablations show that this gain comes from combining pre-execution enforcement with structured recovery, rather than from prompting or blocking alone. These results suggest that deployment-grade LLM agent systems require explicit governance at the boundary between language generation and executable action.

13 pages, 2 figures