Engagement with AI is high in Australia with 86% reporting their business encourages the use of AI, and 88% feeling confident their business is harnessing the benefits of AI.
Australian businesses are recognising the benefits of AI and plan to significantly boost their AI spending in the coming years to improve operations, drive growth, and remain competitive globally, according to BSI’s newly published International AI Maturity Model.
The model reveals that 67% of Australian businesses are investing more this year than last year in AI to improve operations or performance, the second highest market globally.
BSI’s model assesses and weights a suite of measures, including organisational confidence and readiness for AI adoption amongst businesses globally, to produce a single maturity score. It identifies Australia in the middle when it comes to AI maturity with a score of 3.1, compared to India, the most AI mature market, scoring 4.6. Based on insights from 932 business leaders across nine countries and seven sectors, the metrics include attitudes and actions including around investment, training, internal and external communications, and safety.
Published as part of BSI’s Trust in AI report, the analysis identifies the UK and Japan to be less mature relative to others, potentially influenced by factors including policy direction or media narratives focused on risk rather than opportunity. China and India lead the way on all measures, with the US in third place, followed by Australia.
The research by the business improvement and standards company identified gaps between perceptions of what successful AI adoption entails and the concrete steps being taken by businesses. Three-quarters of Australian business leaders (75%) feel that organisations will be at a competitive disadvantage if they do not invest in AI, and only 11% felt that their businesses were not investing enough in AI tools, compared to a global average of 19%. Additionally, six in ten Australian business leaders felt offering training to ensure safe, ethical and effective use was very important (60%), and a similar proportion (86%) felt businesses should train teams to utilise AI tools to protect jobs.
Engagement with AI is high in Australia with 86% reporting their business encourages the use of AI, and 88% feeling confident their business is harnessing the benefits of AI. As AI is already shaping everyday business practice, it is unsurprising that 94% of Australian business leaders say that it is important to inform employees about how AI is being used within organisations and what the plans for the future.
While Australia scores above the Asia Pacific average across enterprise, government, and socio-economic dimensions of AI maturity, it still lags AI leaders such as the US, China and India as well as some countries across Europe such as France and the Netherlands. Moreover, Australia had the one of the lowest expectations for businesses having a role to play in building trust in AI across society (82%) compared to China (97%), India (96%) and the US (89%). As a lack of skilled talent persists as one of the top challenges to AI adoption in Australia, the model reveals just under a third (31%) of Australian business leaders reported substantive awareness of their company offering such training compared to India (49%) and China (47%). Just under two-fifths (38%) of Australians said their businesses had a specific learning and development programme compared to China (72%) and India (55%).
Charlene Loo, Managing Director, BSI Australia, said: “BSI’s Global AI Maturity Model paints a positive but nuanced picture of a world excited about AI’s potential and its promise as a force for good. While Australian businesses are increasing their investment in AI, we continue to see some challenges relating to a lack of skilled talent. Investment in standards, training and assurance is key as AI becomes integral to the future of life and work.”
Susan Taylor Martin, CEO, BSI, said: “While the Model shows diverging paths thus far on AI, its mass adoption and integration into work and life is a marathon, not a sprint. Success is not about being first, but about building trust. BSI is committed to playing a role in shaping the guardrails for the safe and ethical use of AI, which will help businesses in Australia embrace AI to build a positive future for all.”
Notably, half of Australian businesses have an AI strategy (50%), higher than the global average of 44%. More positively, 88% of Australian business leaders recognise the importance of an ethical approach to AI. BSI recently published the first international AI management system standard (BS ISO/IEC 42001), along with a package of measures designed to enable the safe, secure and responsible use of AI. However, only one in three (30%) were aware of significant moves by their businesses to implement such policies and processes.
BSI also explored where business leaders see scope for AI to be a force for good, with 53% of Australian business leaders saying the key opportunity is around improving productivity and efficiency, including supply chain management (49%). Just over a quarter (27%) see it as a tool to reduce reliance on contractors or consultancies, while nearly two-fifths (38%) expect AI to support the management, measurement and reporting of sustainability goals, and 46% expect to use it to support cybersecurity processes. Reassuringly, only over a third of Australian business leaders (35%) anticipate AI changing or replacing specific job functions.
BSI’s research draws together four key takeaways exploring how businesses can act to shape trust in AI across their ecosystems and wider society, so AI can be realised as a force for good. These include:
- Think long-term:Look at AI as part of your wider business strategy – once the foundations are in place, businesses can optimise and evolve their AI strategy as technology advances.
- Businesses and policymakers should collaborate across borders: The goal must be to innovate with AI, but to do so safely. Alongside regulatory routes, cross-border collaboration can offer necessary protections.
- Move from intention to action: Instil trust in AI by clarifying priorities and accelerating progress towards them.
- Lead and inspire: Set the standard for an AI future in which the technology is a force for good.
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