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The Advertiser
15 hours ago
- Business
- The Advertiser
Lack of AI playbook puts Australia down readiness ranks
Two in three Australian businesses are not ready to implement artificial intelligence, a study has found, despite most companies being committed to spending more on the technology. The lack of clear plans or trained staff has dragged Australia down the AI readiness rankings over the past year, even though most employees remain concerned about the effect it will have on their jobs. ServiceNow released the findings from its AI Maturity Index on Monday, leading experts to warn businesses to reassess their plans for artificial intelligence or risk missing out on productivity gains. The warning comes as the federal government prepares to host a summit on boosting productivity, and after the Productivity Commission named AI as one of its five focus areas for the coming year. The company's AI Maturity Index, prepared with Oxford Economics, surveyed more than 4400 senior business leaders from 16 countries including 560 Australian executives. It found Australian businesses were less prepared to implement AI than they were in the previous year, falling from a score of 46 points out of 100 to 35. The lower grade reflects one in three business leaders saying their companies had a clear vision to change using AI, and 37 per cent said they had the right mix of skills and talent in their workforce. The result was particularly surprising, ServiceNow emerging technology director Dani Magnusson said, as most Australian companies planned to increase AI spending over the coming year. "We've got 82 per cent of organisations investing in AI but only a third of those organisations setting a clear vision and strategy for how it gets implemented across the organisation," she told AAP. "Businesses aren't planning for AI." Keeping the technology "siloed" in individual business departments was holding back progress, Ms Magnussen said, although businesses should also consider whether their employees had the right skills to implement AI reform. "There's no question it will give us more productivity and more capacity and it will take away some of the parts of the jobs and the roles that we don't enjoy doing today," she said. But the survey also identified widespread fear among employees, with six in 10 Australian executives saying workers had raised concerns about job security due to generative AI. The research predicted the technology could be used to automate 670,000 roles by 2030, while it created a comparatively few 150,000 technology jobs. The findings should encourage more workers to learn about the technology, management consultancy Bain & Company's Asia Pacific AI head Richard Fleming said, and for organisations to make AI tools available to staff for experimentation. "It's now our responsibility to start individually using AI and working out how do I use it in my everyday life, how do I use it at work to build skills and understanding," he told AAP. "We should be embracing AI and training people on how to use it, training them on the risks, and that becomes a broad responsibility." Two in three Australian businesses are not ready to implement artificial intelligence, a study has found, despite most companies being committed to spending more on the technology. The lack of clear plans or trained staff has dragged Australia down the AI readiness rankings over the past year, even though most employees remain concerned about the effect it will have on their jobs. ServiceNow released the findings from its AI Maturity Index on Monday, leading experts to warn businesses to reassess their plans for artificial intelligence or risk missing out on productivity gains. The warning comes as the federal government prepares to host a summit on boosting productivity, and after the Productivity Commission named AI as one of its five focus areas for the coming year. The company's AI Maturity Index, prepared with Oxford Economics, surveyed more than 4400 senior business leaders from 16 countries including 560 Australian executives. It found Australian businesses were less prepared to implement AI than they were in the previous year, falling from a score of 46 points out of 100 to 35. The lower grade reflects one in three business leaders saying their companies had a clear vision to change using AI, and 37 per cent said they had the right mix of skills and talent in their workforce. The result was particularly surprising, ServiceNow emerging technology director Dani Magnusson said, as most Australian companies planned to increase AI spending over the coming year. "We've got 82 per cent of organisations investing in AI but only a third of those organisations setting a clear vision and strategy for how it gets implemented across the organisation," she told AAP. "Businesses aren't planning for AI." Keeping the technology "siloed" in individual business departments was holding back progress, Ms Magnussen said, although businesses should also consider whether their employees had the right skills to implement AI reform. "There's no question it will give us more productivity and more capacity and it will take away some of the parts of the jobs and the roles that we don't enjoy doing today," she said. But the survey also identified widespread fear among employees, with six in 10 Australian executives saying workers had raised concerns about job security due to generative AI. The research predicted the technology could be used to automate 670,000 roles by 2030, while it created a comparatively few 150,000 technology jobs. The findings should encourage more workers to learn about the technology, management consultancy Bain & Company's Asia Pacific AI head Richard Fleming said, and for organisations to make AI tools available to staff for experimentation. "It's now our responsibility to start individually using AI and working out how do I use it in my everyday life, how do I use it at work to build skills and understanding," he told AAP. "We should be embracing AI and training people on how to use it, training them on the risks, and that becomes a broad responsibility." Two in three Australian businesses are not ready to implement artificial intelligence, a study has found, despite most companies being committed to spending more on the technology. The lack of clear plans or trained staff has dragged Australia down the AI readiness rankings over the past year, even though most employees remain concerned about the effect it will have on their jobs. ServiceNow released the findings from its AI Maturity Index on Monday, leading experts to warn businesses to reassess their plans for artificial intelligence or risk missing out on productivity gains. The warning comes as the federal government prepares to host a summit on boosting productivity, and after the Productivity Commission named AI as one of its five focus areas for the coming year. The company's AI Maturity Index, prepared with Oxford Economics, surveyed more than 4400 senior business leaders from 16 countries including 560 Australian executives. It found Australian businesses were less prepared to implement AI than they were in the previous year, falling from a score of 46 points out of 100 to 35. The lower grade reflects one in three business leaders saying their companies had a clear vision to change using AI, and 37 per cent said they had the right mix of skills and talent in their workforce. The result was particularly surprising, ServiceNow emerging technology director Dani Magnusson said, as most Australian companies planned to increase AI spending over the coming year. "We've got 82 per cent of organisations investing in AI but only a third of those organisations setting a clear vision and strategy for how it gets implemented across the organisation," she told AAP. "Businesses aren't planning for AI." Keeping the technology "siloed" in individual business departments was holding back progress, Ms Magnussen said, although businesses should also consider whether their employees had the right skills to implement AI reform. "There's no question it will give us more productivity and more capacity and it will take away some of the parts of the jobs and the roles that we don't enjoy doing today," she said. But the survey also identified widespread fear among employees, with six in 10 Australian executives saying workers had raised concerns about job security due to generative AI. The research predicted the technology could be used to automate 670,000 roles by 2030, while it created a comparatively few 150,000 technology jobs. The findings should encourage more workers to learn about the technology, management consultancy Bain & Company's Asia Pacific AI head Richard Fleming said, and for organisations to make AI tools available to staff for experimentation. "It's now our responsibility to start individually using AI and working out how do I use it in my everyday life, how do I use it at work to build skills and understanding," he told AAP. "We should be embracing AI and training people on how to use it, training them on the risks, and that becomes a broad responsibility." Two in three Australian businesses are not ready to implement artificial intelligence, a study has found, despite most companies being committed to spending more on the technology. The lack of clear plans or trained staff has dragged Australia down the AI readiness rankings over the past year, even though most employees remain concerned about the effect it will have on their jobs. ServiceNow released the findings from its AI Maturity Index on Monday, leading experts to warn businesses to reassess their plans for artificial intelligence or risk missing out on productivity gains. The warning comes as the federal government prepares to host a summit on boosting productivity, and after the Productivity Commission named AI as one of its five focus areas for the coming year. The company's AI Maturity Index, prepared with Oxford Economics, surveyed more than 4400 senior business leaders from 16 countries including 560 Australian executives. It found Australian businesses were less prepared to implement AI than they were in the previous year, falling from a score of 46 points out of 100 to 35. The lower grade reflects one in three business leaders saying their companies had a clear vision to change using AI, and 37 per cent said they had the right mix of skills and talent in their workforce. The result was particularly surprising, ServiceNow emerging technology director Dani Magnusson said, as most Australian companies planned to increase AI spending over the coming year. "We've got 82 per cent of organisations investing in AI but only a third of those organisations setting a clear vision and strategy for how it gets implemented across the organisation," she told AAP. "Businesses aren't planning for AI." Keeping the technology "siloed" in individual business departments was holding back progress, Ms Magnussen said, although businesses should also consider whether their employees had the right skills to implement AI reform. "There's no question it will give us more productivity and more capacity and it will take away some of the parts of the jobs and the roles that we don't enjoy doing today," she said. But the survey also identified widespread fear among employees, with six in 10 Australian executives saying workers had raised concerns about job security due to generative AI. The research predicted the technology could be used to automate 670,000 roles by 2030, while it created a comparatively few 150,000 technology jobs. The findings should encourage more workers to learn about the technology, management consultancy Bain & Company's Asia Pacific AI head Richard Fleming said, and for organisations to make AI tools available to staff for experimentation. "It's now our responsibility to start individually using AI and working out how do I use it in my everyday life, how do I use it at work to build skills and understanding," he told AAP. "We should be embracing AI and training people on how to use it, training them on the risks, and that becomes a broad responsibility."
7NEWS
2 days ago
- Business
- 7NEWS
Aussies could soon have a four-day working week, in new push announced to boost productivity
Australians could soon enjoy a four-day working week, as unions make a fresh push for shorter working weeks and more holidays over tax cuts to help improve Australia's productivity. The Australian Manufacturing Workers Union and the Australian Nursing and Midwifery Federation launched the push in response to the Productivity Commission, which will set the agenda for next month's economic reform roundtable. AMWU national secretary Steve Murphy told The Australian last week there needed to be a discussion about cutting hours in response to increased productivity, which will benefit Aussie workers. Murphy has argued there is a variety of ways to reduce working hours without cuts to pay, which included four-day week, nine-day working fortnights, or a 35-hour week. Murphy argued that work-life balance was more important to employees than a cut in income tax or company tax, arguing most working Aussies were fine paying taxes to fund government services or infrastructure. 'We're not one of the advocates that says we should pay less tax,' Murphy told the publication. 'One of the ways that we can share in productivity, if we're more productive over the course of the week, is to work less hours. That would be a great outcome from a productivity discussion. 'Or (if) we were able to have more annual leave to spend our time with the people that we love and care about.' On Monday, Minister for Social Services Tanya Plibersek joined a Sunrise panel the government was open to ideas. 'We'll listen to all views respectfully (at the roundtable),' Plibersek said. 'The Treasurer's roundtable on productivity, I think, is a great way of bringing unions and business and other groups together to discuss how we make our economy stronger and more productive. 'What we won't be doing to improve productivity is ask people to work longer for less. 'That was the policy of the previous government. 'We want to invest in our people, boost training, invest in technologies and new ways of working, make sure that we're playing to our competitive advantages as a nation. 'That's how we boost productivity.' Previously, Skills Minister Andrew Giles said key trades to boost productivity in the country will be electricians to help build homes, as well as more people to work in aged care, childcare, health and disability sectors. Parliament will resume on Tuesday. Prime Minister Anthony Albanese is set to introduce legislation to cut student debt by 20 per cent, end subsidies for childcare centres that fail to meet safety requirements, and prevent penalty rates from being lowered by the Fair Work Commission.
West Australian
2 days ago
- Business
- West Australian
Lack of AI playbook puts Australia down readiness ranks
Two in three Australian businesses are not ready to implement artificial intelligence, a study has found, despite most companies being committed to spending more on the technology. The lack of clear plans or trained staff has dragged Australia down the AI readiness rankings over the past year, even though most employees remain concerned about the effect it will have on their jobs. ServiceNow released the findings from its AI Maturity Index on Monday, leading experts to warn businesses to reassess their plans for artificial intelligence or risk missing out on productivity gains. The warning comes as the federal government prepares to host a summit on boosting productivity, and after the Productivity Commission named AI as one of its five focus areas for the coming year. The company's AI Maturity Index, prepared with Oxford Economics, surveyed more than 4400 senior business leaders from 16 countries including 560 Australian executives. It found Australian businesses were less prepared to implement AI than they were in the previous year, falling from a score of 46 points out of 100 to 35. The lower grade reflects one in three business leaders saying their companies had a clear vision to change using AI, and 37 per cent said they had the right mix of skills and talent in their workforce. The result was particularly surprising, ServiceNow emerging technology director Dani Magnusson said, as most Australian companies planned to increase AI spending over the coming year. "We've got 82 per cent of organisations investing in AI but only a third of those organisations setting a clear vision and strategy for how it gets implemented across the organisation," she told AAP. "Businesses aren't planning for AI." Keeping the technology "siloed" in individual business departments was holding back progress, Ms Magnussen said, although businesses should also consider whether their employees had the right skills to implement AI reform. "There's no question it will give us more productivity and more capacity and it will take away some of the parts of the jobs and the roles that we don't enjoy doing today," she said. But the survey also identified widespread fear among employees, with six in 10 Australian executives saying workers had raised concerns about job security due to generative AI. The research predicted the technology could be used to automate 670,000 roles by 2030, while it created a comparatively few 150,000 technology jobs. The findings should encourage more workers to learn about the technology, management consultancy Bain & Company's Asia Pacific AI head Richard Fleming said, and for organisations to make AI tools available to staff for experimentation. "It's now our responsibility to start individually using AI and working out how do I use it in my everyday life, how do I use it at work to build skills and understanding," he told AAP. "We should be embracing AI and training people on how to use it, training them on the risks, and that becomes a broad responsibility."
Perth Now
2 days ago
- Business
- Perth Now
Lack of AI playbook puts Australia down readiness ranks
Two in three Australian businesses are not ready to implement artificial intelligence, a study has found, despite most companies being committed to spending more on the technology. The lack of clear plans or trained staff has dragged Australia down the AI readiness rankings over the past year, even though most employees remain concerned about the effect it will have on their jobs. ServiceNow released the findings from its AI Maturity Index on Monday, leading experts to warn businesses to reassess their plans for artificial intelligence or risk missing out on productivity gains. The warning comes as the federal government prepares to host a summit on boosting productivity, and after the Productivity Commission named AI as one of its five focus areas for the coming year. The company's AI Maturity Index, prepared with Oxford Economics, surveyed more than 4400 senior business leaders from 16 countries including 560 Australian executives. It found Australian businesses were less prepared to implement AI than they were in the previous year, falling from a score of 46 points out of 100 to 35. The lower grade reflects one in three business leaders saying their companies had a clear vision to change using AI, and 37 per cent said they had the right mix of skills and talent in their workforce. The result was particularly surprising, ServiceNow emerging technology director Dani Magnusson said, as most Australian companies planned to increase AI spending over the coming year. "We've got 82 per cent of organisations investing in AI but only a third of those organisations setting a clear vision and strategy for how it gets implemented across the organisation," she told AAP. "Businesses aren't planning for AI." Keeping the technology "siloed" in individual business departments was holding back progress, Ms Magnussen said, although businesses should also consider whether their employees had the right skills to implement AI reform. "There's no question it will give us more productivity and more capacity and it will take away some of the parts of the jobs and the roles that we don't enjoy doing today," she said. But the survey also identified widespread fear among employees, with six in 10 Australian executives saying workers had raised concerns about job security due to generative AI. The research predicted the technology could be used to automate 670,000 roles by 2030, while it created a comparatively few 150,000 technology jobs. The findings should encourage more workers to learn about the technology, management consultancy Bain & Company's Asia Pacific AI head Richard Fleming said, and for organisations to make AI tools available to staff for experimentation. "It's now our responsibility to start individually using AI and working out how do I use it in my everyday life, how do I use it at work to build skills and understanding," he told AAP. "We should be embracing AI and training people on how to use it, training them on the risks, and that becomes a broad responsibility."
West Australian
3 days ago
- Business
- West Australian
Editorial: As momentum finally builds, Treasurer Jim Chalmers must act on the tax reform
If one of life's few certainties is tax (alongside death, depressingly) then one of economics' certainties is the constant call for tax reform. For once, there could be some momentum behind those calls, with Treasurer Jim Chalmers sounding a positive tone and saying the right things ahead of a highly-promoted economic reform roundtable, for which there are high hopes. 'Of course we are interested in ways to simplify the tax system.,' he said during the week. 'Ideally, people will come with views about how we simplify the tax system and where that fits more broadly into our efforts on productivity.' The Productivity Commission has also published submissions to its inquiry into economic dynamism and resilience, including from the nation's biggest company, the Commonwealth Bank, which is urging a greater clampdown on multinational tax avoidance. 'It will be critical that we find mechanisms to ensure that multinationals do not profit-shift offshore, but instead contribute to Australia and pay their fair share of tax,' the CBA said. 'This is particularly true for software-based businesses, which continue to grow significantly faster than the economy.' Australia's tax take — the way government funds its spending on services the nation enjoys and needs — has been for too long now too reliant on personal income taxes compared to other forms of revenue. In the 2023-24 financial year, income tax was $331.5 billion, with the strong labour market pushing that figure 11.7 per cent higher compared to the year before. Productivity Commissioner Danielle Wood, in her former capacity as head of the Grattan Institute think tank, previously explained various taxes cost the economy in different ways — that some come at the cost of economic activity and some cost the system more than they actually collect. Stamp duty on property purchases remains the bugbear of many academics, but few State governments will willingly accept reform in that area given how much revenue it yields. With a projected decline in the number of workers, Australia needs to reform its tax system to ensure it's effective beyond relying on income tax. This concern is even more acute when considering the big expenses facing the country: Medicare, the NDIS, aged care and defence, and when considering the Federal Budget is in structural deficit. To this end, a raft of options should be on the table, with big business, key lobby groups and research institutes attending the reform roundtable next month. Though tempting to just write it off as another gabfest (and the Treasurer, should this eventuate, will rightly be condemned) the potential is too great given how genuine tax reform has not been implemented for decades. While a sugar tax may be controversial, it's an idea worth considering, as are broader changes to cut tax concessions that don't add to the economy. The Treasurer must seriously commit to action following the talks, and ensure the tax system is fair and equitable for coming generations. The worst outcome from yet another political talkfest would be maintaining the status quo. Responsibility for editorial comment is taken by Editor-in-Chief Christopher Dore.
