A study conducted by Datacom and engaged 318 business decision-makers working in Australian organisations has unveiled a significant contradiction within the Australian business landscape. The study reveals a notable disparity: while a considerable 72% of businesses are actively incorporating AI, merely 52% have established AI-related policies, and a modest 40% have put in place legal guidelines. The study shows that, although acknowledging AI's potential, 80% lack a complete understanding of its security implications. Additionally, 60% express concerns about security, control, and ethics.

The study also identifies industries poised to gain the most from AI adoption, with financial services leading the way as both the greatest opportunity (22%) and risk (30%). Healthcare and legal services follow closely behind.

Alex Coates, Managing Director of Datacom Australia, emphasises the importance of governance in the AI field. He highlights that organisations must implement strong governance frameworks to handle associated risks efficiently.

Why does it matter?

The study's findings have implications for companies, the workforce, and the economy as a whole. Companies that adopt AI technologies without adequate policies and guidelines in place risk exposing themselves to security breaches, ethical concerns, and legal liabilities. On the other hand, companies that implement strong governance frameworks can mitigate these risks and reap the benefits of AI adoption, such as increased productivity, revenue growth, and cost reduction.

The workforce will also be affected by AI adoption, with some jobs being automated and others requiring new skills. In the long run, AI adoption has the potential to drive economic growth and employment opportunities, but it requires a strategic approach that considers the impact on society as a whole.