Australian firms lead global move to build internal AI tools without long-term plans

Australian companies are adopting a build-first approach to artificial intelligence, outpacing peers in North America and Europe. A study published on 3 November 2026 by workforce platform Remote examined workplace software practices across eight countries. The survey covered 3,250 business and human resources leaders, tracking how workplaces implement automation and software.

According to the findings, 97 percent of Australian respondents reported building their own internal artificial intelligence tools and automations over the past twelve months, rather than purchasing standard off-the-shelf software. That figure placed Australia at the front of all surveyed markets, narrowly ahead of Singapore at 96 percent and Germany at 95 percent. By comparison, 93 percent of businesses in the United States and 74 percent in the Netherlands took the same approach.

Looking ahead, 94 percent of Australian organisations plan to rely even more heavily on custom-built software across the next two years. However, the survey found that much of this activity happens on the fly. Across all surveyed markets, only 46 percent of companies treat custom software development as a deliberate strategy. An identical 46 percent admitted to assembling systems on an ad hoc basis to resolve problems as they appear. In addition, 59 percent of surveyed employees reported paying for software subscriptions out of pocket to get their work done.

Growth running ahead of governance

The report showed that internal software creation often moves faster than internal policies can handle. When teams produce standalone scripts and micro-applications without clear supervision, companies face operational hurdles. One in three respondents identified regulatory compliance worries as a direct obstacle to gaining clear returns from their internal tools.

The problem becomes acute when custom scripts touch employee data, financial processes or sensitive operational records. Without central records of who built a tool and what data feeds it, businesses struggle to maintain auditing standards or keep systems running when staff depart.

What this means for Australian businesses

For small and medium companies, creating lightweight internal automations can solve daily bottlenecks without enterprise software costs. Even so, ad hoc systems create business exposure if left unchecked. Business owners can take practical steps to keep their operations orderly:

• Audit internal creations. Ask team leads to list every custom script, automated workflow and third-party bot currently running across departments. Knowing what exists is necessary before you can secure it.
• Assign a single owner to each workflow. Every operational tool should have an assigned manager responsible for maintenance, data permissions and documentation. If that employee leaves, transfer ownership immediately.
• Restrict payroll and staff records. Avoid connecting unvetted homemade automations to core accounting, employee files or customer databases. Keep sensitive data inside established software with existing audit logs.
• Consolidate staff subscriptions. Address out-of-pocket spending by providing approved team licenses for vetted platforms. This prevents company data from scattering across personal worker accounts.