CEOs are increasingly adopting artificial intelligence to improve business performance - but few would call it a revolution just yet.
In the 2025 Herald Mood of the Boardroom survey, CEOs were asked to rate the impact of AI adoption on their business performance over the past year. Most reported a moderately positive lift, with an average score of 2.86/5 (where 1 means “no impact” and 5 rates as “transformational”).
For Mitre 10 NZ chief executive Andrea Scown, AI is already embedded across the business: “We are using AI across much of our business functions and digital customer-facing experiences, including some use of AI agents in IT development. We have not removed labour costs, nor have we articulated this to be a goal.”
“It is growing fast,” says a banking chairperson. “In the short- to medium-term I see jobs going, and it’s not yet clear where the new jobs are going to come from.”
Others emphasised the productivity potential rather than workforce reduction. Downer NZ CEO Murray Robertson says: “While AI clearly has potential to improve productivity, we have yet to see it lead to a reduction in workforce numbers. At this stage, it’s more about enhancing how we work – but this will undoubtedly evolve over time.”
An independent energy chairperson notes the importance of a careful rollout. “The journey has started, but we have much more we can and will do, in a carefully considered fashion to ensure we retain human engagement for our people and customers.”
Some companies are already seeing real gains. “Massive benefits are starting to flow for our data centre business, but also at an operational level,” says an investment boss. A food industry CEO adds: “We are increasingly using AI in digital marketing and sales, but have yet to adopt it within operations.”
Justine Smyth, chairwoman of Spark New Zealand, points to years of investment in AI paying off. “We are improving the productivity of our people and delivering tangible benefits for customers – such as shorter wait times in our call centres and faster identification and resolution of network issues.”
We are improving the productivity of our people and delivering tangible benefits for customers.
Yet the depth of adoption across New Zealand business remains thin. “We are really only starting our AI journey,” says an agribusiness leader. “The focus is over the next 12 months.”
Another chairperson was more blunt: “We need to get a move on.”
When asked how ready their organisations were to harness AI and automation technologies to enhance productivity and competitiveness in the next 12 months, the score was only marginally higher at 2.97/5. Just seven executives rated their firms at the top end of the scale.
An experienced chairperson suggested success would depend on culture rather than technology: “Change will be constant, and successful companies focus heavily of creating an inclusive and adaptive culture that helps to support our human workforce to deal with constant change.”
Others highlighted the need to leverage what has already been built. “Having made significant digital investments over four years, our strategy is to utilise the AI tools embedded in what we have rather than build new.”
Others said the pace of change is dizzying. “You almost have to be one step ahead of tomorrow,” said one real estate CEO. “By the time it is implemented, you’re already behind the ball.”
The message from the boardroom is clear: AI is no longer optional. The challenge now is converting potential into productivity gains.