Published Date: 28th October 2025
Artificial intelligence continues to capture global attention. From headlines about models outperforming humans in exams to claims of superhuman capability, it is easy to assume that AI has reached new levels of intelligence. But how smart is AI really?
At Beyond Recruitment, this question often comes up in conversations across our Technology, Transformation & Digital network. While IQ seems like a simple way to measure intelligence, it was never intended for machines. Human intelligence is layered and shaped by emotion, context and lived experience, qualities that AI simply does not possess. Comparing the two might sound useful, but it tells us very little about what AI can actually do.
This question is especially relevant in Wellington, where the Technology, Transformation & Digital sector sits at the centre of New Zealand’s public innovation. From data-led decision making to transformation projects across government and private enterprise, understanding AI’s capabilities and limitations has become essential for ethical and effective adoption.
Why IQ Doesn’t Fit
IQ tests measure reasoning, memory, problem solving and language, all deeply human abilities. AI systems, on the other hand, learn by processing data. They recognise patterns, generate predictions and provide recommendations, but they do not think, feel or reason as people do.
This is why AI performs exceptionally well in structured environments but fails when faced with ambiguity. It can excel at image recognition or summarising information yet struggle with abstract thinking, empathy or moral choice.
Research continues to reinforce this distinction. The University of Sheffield found that AI is unlikely to gain human-like cognition without being physically connected to the real world through robotics. For Wellington’s digital economy, this underscores the importance of human oversight. AI may optimise systems and services, but it still relies on people to set ethical parameters and ensure its application reflects real world values.
What Happens when we Test AI Anyway
Despite the obvious differences, attempts have been made to test AI on IQ style assessments. On a culture fair IQ test, advanced models scored the equivalent of below average human intelligence. Yet in simulations measuring emotional intelligence, research from the University of Geneva showed that AI outperformed people in recognising and reasoning about emotions.
These inconsistencies demonstrate that AI’s intelligence is situational. It is exceptional in data heavy tasks that require logic and recall but limited when common sense or emotional context is needed. For New Zealand organisations, particularly those leading transformation in government or enterprise, this uneven capability highlights the need for clear, human led governance around AI use.
Measuring what really Matters
Instead of asking what IQ AI has, the more useful question is whether this technology delivers better outcomes.
True AI capability should be evaluated through practical benchmarks such as:
Accuracy and reliability in performing defined tasks
Adaptability to incomplete or biased data
Alignment with human and organisational values
Contribution to collaboration between people and technology
Across New Zealand’s Technology, Transformation & Digital landscape, these factors are already shaping real world priorities. AI is being used to strengthen cyber resilience, modernise data infrastructure and enhance public facing digital services. The technology is valuable not because it thinks but because it helps people and organisations work more effectively.
At Beyond Recruitment, we explored similar ideas in Humanising Recruitment with AI, where we discussed how the best applications of AI are those that enhance, not replace, human connection. That same philosophy applies to broader digital transformation. The goal is not to automate everything but to integrate technology in a way that improves trust, transparency and outcomes for people.
Lessons from Recruitment: Balancing People and Technology
The recruitment industry provides a powerful example of how AI can support human expertise. As explored in our article AI in Recruitment: A Consultant’s Perspective, automation tools can assist with candidate sourcing, CV screening and data insights but they cannot replicate the intuition that drives good hiring decisions.
Recruiters bring empathy, judgement and context. They understand career motivations, team dynamics and cultural fit, all of which shape successful placements. These insights cannot be taught to an algorithm. In Wellington’s fast moving technology market, where demand for data engineers, software developers and transformation leaders continues to rise, that human perspective is what ensures alignment between talent and strategy.
We also see this intersection of people and technology in candidate experience. Our piece on Optimising Your Resume for AI explored how candidates can adapt to automated systems without losing the human story behind their skills. The same principle applies to organisations: leverage data where it adds value but keep people at the heart of every decision.
The Evolving Definition of Intelligence
AI has proven that intelligence is not one dimensional. It can analyse, calculate and predict faster than any human yet lacks empathy, purpose and creativity. In the years ahead, the focus will shift from how smart AI is to how well it works with us.
Intelligence will increasingly be defined by adaptability, the ability to learn from context, navigate complexity and make ethical choices. These are inherently human abilities that machines can assist but not replace. As AI tools become part of everyday workflows, the organisations that succeed will be those that maintain this balance between analytical capability and human understanding.
Shaping the Future of Digital Leadership
For leaders across New Zealand’s Technology, Transformation & Digital sector, this evolution presents both opportunity and responsibility. The challenge is not whether AI can outperform people but how we use it to build more resilient, ethical and inclusive workplaces.
AI’s true value lies in its potential to amplify human capability, to automate repetitive work, reveal new insights and empower better decisions. But it will always need people to interpret results, apply judgement and ensure fairness.
At Beyond Recruitment, our Technology, Transformation & Digital specialisation works with organisations navigating this intersection between innovation and humanity. By combining data driven insight with empathy, curiosity and partnership, we help clients build teams that are not only technically capable but prepared to lead in an AI driven world.
Please don’t hesitate to contact me or our team today.