Australia faces a paradox that should concern every leader across business and government: we're capable or achieving unprecedented productivity gains through AI while simultaneously undermining our capacity to develop the next generation of leaders and innovators.
Australia imports more than we create - particularly in technology, innovation, and ideas.
While our education sector remains a strong export, we're essentially training talent that creates value elsewhere rather than building domestic capability. This "brain drain plus" model leaves us increasingly dependent on others' innovations.
The disappearing learning curve
Generative AI is eliminating the entry-level tasks that have traditionally built workforce capability. At .id, we've moved beyond using AI as a personal assistant to deploying it for rapid prototyping, code refactoring, and complex land use analysis. The productivity gains are substantial, but they work because our teams already possess foundational skills.
Here's the critical question: What happens when the next generation never develops those foundations?
The stakes extend beyond individual career development. If Australia wants to transition from net consumer to net creator, we must invest in young people not just as workers, but as future founders and producers. This requires deliberate action from today's leaders and investors.
Forward-thinking organisations are already addressing this challenge by:
- creating "learning laboratories" where junior staff tackle real problems alongside AI tools
- establishing mentorship programs that transfer tacit knowledge before it becomes obsolete
- redesigning career progression to emphasise problem-solving over task completion
The companies that crack this code won't just develop better talent - they'll build competitive advantage in an AI-driven economy.
Your move
How is your organisation balancing AI-driven productivity with capability development? The choices you make today will determine whether your industry remains dependent on imported innovation or becomes a source of it.
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