Why do Australian corporate boards have so few technology experts in the age of AI?

The global economy is undergoing profound change as artificial intelligence (AI) finds its way into almost all industries, changing business models and investment decisions.

For those who sit on a company’s board, setting overall strategy and holding management accountable, change raises the bar for what is required. Board members need to understand the new technology in which they are investing. They also need to be able to monitor complex technological risks.

With this in mind, one would expect large companies to staff their boards with directors who have expertise in science, technology, engineering and mathematics (STEM). But that’s not the case.

Our new research shows that across Australia’s 500 largest listed companies, many boards lack technology-savvy members. More than half had no directors with STEM skills on the board.

Here’s why this is a problem – and why we all have an interest in fixing it.

What we found

We examined the…