Welcome to AI Pulse – KPMG’s quarterly snapshot of how organisations are adopting, scaling and governing AI in real time.
It tracks the challenges leaders are grappling with, the success stories emerging, and the signals that point to what’s coming next.
Each edition highlights the shifts that matter most and helps organisations understand not just where AI is headed globally, but what it means in their local Australian context.
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AI adoption is accelerating but value is concentrating among a few leaders
Many Australian organisations are moving beyond experimentation, but the gap between leaders and the rest is widening. The data shows value comes not from adoption alone, but from embedding AI into decision-making and core workflows.
AI is delivering value but demonstrating ROI continues to be challenging
The findings suggest that AI Leaders are achieving ROI, largely because they are further along in maturity and therefore scale. It’s premature to expect demonstration of ROI for companies that have not yet scaled adoption and put the prerequisites for success in place.
AI agents are the inflection point from tools to operating models
Governance and risk are now the biggest constraints on AI scale
In Australia’s highly regulated, trust-focused environment, governance is a defining factor. Organisations that embed controls, transparency and accountability into AI systems are better positioned to scale with confidence.
Workforce readiness is the multiplier for AI value
Workforce readiness is a critical differentiator locally. Organisations investing in capability building, role redesign and clear expectations for human–AI collaboration are seeing stronger outcomes.
Australia’s AI future will be human directed by design
While many regions expect AI agents to increasingly lead projects, governance models diverge by market. Australia shows a stronger preference for human-directed AI, with greater emphasis on oversight, controls and accountability than more autonomous models elsewhere.
This positions Australia to lead in responsible AI at scale, provided governance and operating models preserve human accountability while enabling speed and innovation.
Case study
Learn how Ausgrid piloted AI-enabled procurement decision support.
How KPMG can help
KPMG helps organisations turn AI ambition into real, responsible impact.
Talk to the team
Levi Watters
Head of Digital Build Services & National Sector Lead, Telecommunications
KPMG Australia
- anthony
- levi
- john m
- andrea
- nicola
Frequently asked questions
Australia’s AI maturity reflects a deliberate focus on responsible adoption and establishing the foundations needed to scale AI with confidence. Australian organisations are leading global peers in strengthening trustworthy AI policies, cyber security and data protection, while taking a more measured approach to automation – only 35% prioritise productivity gains through automation, compared to 42% of organisations globally.*
*KPMG Global AI Pulse Survey
AI ROI is difficult to measure early because many Australian organisations are prioritising trust, governance and security over immediate productivity gains. While this focus is important for responsible and scalable AI adoption, it means fewer organisations are realising measurable returns.
AI agents are enabling organisations to move beyond basic automation to more autonomous, adaptive ways of working. By combining advanced reasoning, planning, data and governance, they can make real-time decisions, collaborate with humans and automate complex processes under appropriate human oversight.
As organisations shift towards multi-agent AI systems that coordinate complex tasks, the risks around governance, accountability and oversight increase. In Australia and around the world, responsible AI is critical to ensure these systems are deployed safely, compliantly and with appropriate human control.
Without strong AI governance, risk management and oversight, organisations can face regulatory, legal, reputational and financial consequences, making responsible AI essential as adoption accelerates.
