As franchise businesses navigate a rapidly changing operating environment, understanding how artificial intelligence (AI) is transforming the business landscape has never been more important. From driving operational efficiencies to enhancing customer experiences, AI presents opportunities for franchise owners seeking to stay competitive and future-ready.

Businesses are still in the early stage of embedding AI into their operations, but it is creating rapid transformation and delivering a simple message – adapt and leverage, or be left behind.

That’s the message from Keri Smith, a world leader in AI transformation and the managing director, global banking data & AI lead, for international professional services giant Accenture.

Keri travelled from her base in the US to speak at NAB’s inaugural Business Summit in Melbourne in September. She said there was still caution and scepticism around AI as an evolving technology, but that most now accepted its transformative role in the years ahead.

Investing in AI requires deep thought

For businesses and their supporting investors, a key question for performance will be how well a company integrates and utilises AI to deliver measurable outcomes, as well as how it quantifies the return on investment (ROI) and, potentially in the future, how a firm determines its moral and social responsibility in implementing AI.

The last point is not just about data sharing and manipulation; it also concerns just how many jobs will be replaced by AI.

It’s a question NAB chief executive, Andrew Irvine, has contemplated, and he also has a simple message: “AI is not going to take away people’s jobs. People using AI are going to take the jobs of people not using AI.” 

Transformative change

As the head of a company already embracing and looking deeper into the opportunities AI can deliver, Andrew Irvine expects change: “We are talking about something that is going to be as consequential as some of the big industrial revolutions that have come before.

“AI is going to be as consequential as steam and moving from horse-drawn carriages to locomotives and trains. It’s going to be as consequential as electrification. It’s going to be as consequential as the motor car or internet-enabled mobile phones.

“We’re talking about something that is going to change how we live and work. For every business and every person, it’s going to have an enormous impact on what we do every day and how productivity and growth and innovation is derived.”

Navigating the AI footprint

Currently, AI can generally diagnose issues and determine why something happened. It can also detect patterns in vast data bases and provide insights, deliver current trends and themes but also use predictive analysis to forecast outcomes in the future.

A lot of these transformations are placed in a basket called ‘Generative AI’. Until recently it was the forefront of AI initiatives, but things are evolving rapidly, and already companies are grappling with limitations, particularly around ROI.

New emerging AI technologies include Agentic AI, which are autonomous agents that plan, reason and act with minimal human direction. It means you don’t tell an agent how to do something, you tell it the outcome you want and leave the agent to execute a plan to deliver what is required.

Keri Smith’s advice was to: “Stay alert, agile, and be ready for change – adapt or be left behind.”

Disrupting and adapting are not new concepts

Of course, AI is not the first disruptor that has impacted society or business, although expectations are it has the potential to be the greatest.

Large corporations are among early AI adopters. As Keri said, “initial wariness has given way to acknowledging its real potential and impactful possibilities”.

But smaller businesses are not being left behind. Keri said Australia had a high level of AI utilisation, with 45 per cent of small to medium-sized enterprises now saving about 12 hours a month of management time through automation of processes using AI. This suggests that change is already happening.

By embracing AI-powered tools today, franchise owners can position their businesses for long-term success and ensure they’re adapting alongside the most innovative players in Australia’s evolving business landscape. 

Franchisees embracing these changes and working with new technology can enhance operational efficiency, consistency in delivery, and support growth in sales via data-driven insights. Whether it’s inventory management, optimised employee scheduling or personalised marketing, many franchise brands are investing in AI as the way of the future. 

To find out more or to speak to a franchise business specialist today, visit nab.com.au/franchising

Important information

This article has been prepared by NAB and is intended to be of a general nature only.  It is not intended to be relied on as advice.  It has been prepared without taking into account any person’s objectives, financial situation, or needs.  Before acting on the information in this article, NAB recommends that you consider whether it is appropriate for your circumstances. NAB recommends that you seek independent legal, financial, taxation or other professional advice before acting on any information in this article. Information correct as at October 2025.

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