Insight from Generative AI and the future of work in Australia (McKinsey & Company, 2024).

Past waves of automation improved or assisted repetitive manual tasks in the physical world. Think of the advancements seen on manufacturing lines and logistics warehouses over the years. Generative AI is now redefining the roles and tasks of office workers.

In the report they describe five key factors that will affect the pace and extent of automation of certain office tasks:

1. Technical feasibility - if capabilities can automate a particular activity.

2. The time it takes to integrate these capabilities into solutions.

3. Costs associated with developing and deploying solutions.

4. Economic feasibility, contingent on labor market dynamics (wages).

5. Other factors that have an impact on adoption, both regulatory and social, including risk appetite, regulatory choices, and acceptance of change. 

What does this mean for Australian businesses? It means your competitors are probably weighing up their options and you should too. That doesn't mean get carried away, but to get the tangible uplift you'll need to commit to move beyond riskless pilot programs and access to generic tools for the team. That is table stakes.