May 22, 2025
May 22, 2025

New Zealand’s AI Skills Gap Is Real, and It’s Holding Us Back

Discover why building trust, skills, and confidence is the only way NZ can keep pace with global AI adoption.

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Have you heard about this new fancy tech called AI? Of course you have!

It’s all the hype now. Every LinkedIn influencer, each marketing campaign, and pretty much every product release is geared up to ride the AI wave. Your new computer, fridge, and even golf clubs are selling themselves with AI. So why is NZ still so slow to adapt to using AI in the workplace?

And I’m not saying that to be dramatic. I’m saying it because the numbers back it up.

A global study by KPMG and the University of Melbourne found that New Zealanders are among the least confident and least trained when it comes to using AI. Only 41 percent of Kiwi workers say they use AI at work. In India, it’s 91 percent.

That is not a small gap. It’s a full-blown chasm.

On top of that, we are near the bottom of the list when it comes to trust in AI. Most people here still aren’t sure if the benefits outweigh the risks. And frankly, I don’t blame them.

The real problem isn’t fear. It’s preparation.

Based on those shocking stats above, you might assume we’re a country full of technophobes. But that’s not the case. What we’re actually facing is a serious lack of practical training and support.

That same KPMG study showed that 76 percent of New Zealanders haven’t had any formal or informal AI training. More than 60 percent say they don’t feel confident using it.

Of course trust is low! How can you trust something you’ve never been shown how to use?

So we just need to train everyone in AI, and problem solved right? Well, not quite…

One of the biggest things missing in the AI conversation is change management. Too many projects get kicked off without thinking about how to bring people along for the ride. We introduce new tools and expect people to just start using them, without explaining why they matter or how they’ll help.

In every AI engagement I’ve been part of, the teams that succeed are the ones that take the time to focus on the human side of adoption. They explain what’s changing and why. They give people room to try things out, to ask questions, and to learn at their own pace. Just as importantly, they show the payoff. Yes, it takes time to learn new ways of working, but when people understand how that time investment will help them, they’re much more likely to get on board.

When there’s no plan, that's when things fall apart

Right now, plenty of employees are already using tools like ChatGPT on their own. That’s not a bad thing. Curiosity is a good start. But without structure or support, it doesn’t take long for things to go sideways.

I’ve seen teams make decisions based on flawed outputs. I’ve seen stakeholders lose confidence because the first attempt at using AI didn’t deliver anything meaningful. I’ve also seen hours poured into experimentation that led nowhere, simply because no one had defined what success should look like.

When that happens, people lose interest. The sceptics feel proven right. The momentum disappears. And the next time someone suggests exploring AI, the room gets quiet.

The reality check – keep it simple, make it work

Most organisations don’t need a shiny innovation lab or a team of data scientists to get started with AI. What they need is grounded, role-specific support that helps people understand how AI fits into their actual day-to-day work.

That means going beyond the theory. It means creating space & guardrails for people to try things, understand the risks, and build the confidence to use AI safely and effectively.

It also means recognising that not all AI is the same. There is a big difference between using AI on demand, such as asking ChatGPT to summarise a document, and embedding AI by design into your workflows. One gives you small but incremental time savings. The other transforms how your organisation operates. Both can add value, but they require different levels of planning, training, and support.

Organisations that get this right are the ones that treat enablement as an ongoing investment, not a one-off checklist item.

NZ cannot afford to fall further behind

New Zealanders don’t need to dive headfirst into AI without a plan. But we also can’t afford to sit back and watch. The opportunity is real, and so is the risk of inaction.

If we want AI to work for us, we need to stop chasing the hype and start building the foundations. That means focusing on skills, support, and a culture that is ready to make the most of what AI can offer. That is what will set us up for long-term success. And if you’re not sure where to start, that’s okay.

Start with your people. Everything else will follow.

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Want to build AI confidence in your team?

The Digital & Data Academy was born out of the exact challenges we highlight above – teams have the desire to get moving with everything data and AI can offer but need some guidance on the how.

We offer hands-on training through the Digital & Data Academy that helps organisations adopt AI safely, effectively, and with a clear purpose.