NZ Small Businesses Embrace AI, But Still Struggling to Implement

Small businesses in New Zealand are increasingly experimenting with artificial intelligence (AI) to boost productivity. According to HP and Xero, two technology firms that conducted research on AI adoption among small to medium-sized enterprises, many businesses are still learning by trial and error.

The study found that almost two-thirds of surveyed businesses were already using AI, resulting in an average time-saving of one working day. However, the majority of these firms reported concerns about privacy, security, accuracy of answers, and proper setup.

Xero's executive general manager James Bergin emphasized that while there is strong interest in AI, many companies lack practical guidance on its implementation. HP New Zealand managing director Shannon Harris added that businesses need clear rules covering security, governance, and appropriate use to avoid slowing down innovation.

Bergin highlighted the importance of 'accountable intelligence,' which involves using AI for routine tasks while ensuring business owners or advisers remain responsible for final decisions. He also stressed that turning available AI capability into practical use is a crucial challenge facing New Zealand's economy, where productivity remains a key concern.