PwC’s Annual Global CEO Survey, now in its sixteenth year, aims to inform and stimulate the debate on how businesses are facing today’s challenges. Over the years, thousands of CEOs around the world have taken the time to share their views with us.
In total, we conducted 1,330 interviews with CEOs in 68 countries between 5 September and 4 December 2012. By region, 449 interviews were conducted in Asia Pacific, 312 in Western Europe, 227 in North America, 165 in Latin America, 95 in Central and Eastern Europe, 50 in Africa and 32 in the Middle East. The interviews were spread across a range of industries, with further details by region and industry, available on request.
To better appreciate CEOs’ perspectives for 2013, we also conducted in-depth interviews with 33 CEOs from five continents over the fourth quarter of 2012, and more extensive extracts can be found in this website where you can explore responses by sector and location.
Learn more about it here www.pwc.com/gx/en/ceo-survey/about-the-ceo-survey.jhtml
Let's start with tech CEO's - who are once again focusing on innovation this year.
The CEO survey shows asset management leaders developing growth strategies, repositioning and reengineering their businesses for a post-credit crisis environment.
Auto executives say they’re investing in capacity, working with supply chain partners, getting closer to customers and investing in people.
Banking and capital markets CEOs are striving to create agile and adaptable organisations capable of dealing with upheaval and emerging from the crisis on strong competitive footing .
Infrastructure CEOs report increased collaboration with the public sector in this year’s CEO survey. They’re working with local communities to build more resilient infrastructure and closing the talent gap by encouraging global mobility.
Chemicals CEOs are a bit less optimistic this year. They’re worried about threats like exchange rate volatility and rising energy and raw materials costs. But they’re working hard to build organisations that can thrive despite disruptions. How are they doing it?
Great summary of the report from PWC's Robert Sullivan.
Findings show that CEOs are expecting growth in the next year.
CEOs are also putting more power in more hands. Nearly a third encourage all their staff to get involved in strategic planning. 79% include managers below board level in strategic decision-making in order to develop - and most CEOs see it as the best way to develop their leadership pipelines.
The way organisations interact with each other is also changing. CEOs have moved well beyond the ‘build or buy’ dichotomy, with nearly half looking to form a new strategic alliance or joint venture in 2013 – only slightly less than those planning to a new merger or acquisition. Global M&A activity has dropped sharply since the start of the global financial crisis, and while we believe this is due to current levels of uncertainty rather than a major change in emphasis, we’re also seeing a move by businesses toward ‘sharing’, by forming partnerships or networks.
Learn more about it here
The key in this environment is the people agenda. I think it's one of the easier things to cut in terms of investment when you're in a tough environment, but I think it's essential that companies continue to invest in their people.A great quote from Chief Executive of Imperial Tobacco Group Alison Cooper
Today’s CEOs are concerned about a wide range of potential and ongoing threats to their business growth prospects. These include catastrophic events, economic and policy threats, and commercial threats.
We asked CEOs about their organisation’s ability to cope with a range of disruptive scenarios. Most felt their organisation would be negatively impacted, with major social unrest being cause for the greatest concern.
Of course, major disruptions aren’t the only cause for worry. CEOs are nervous about a whole clutch of fiscal and political threats. Continuing economic volatility tops the list, as it has done for the past two years. But 71% of CEOs are also concerned with how debt-laden governments are addressing growing deficits. And, nearly as many are anxious about overregulation. On the commercial front, higher taxes, the shortage of key skills, and energy and raw material costs dominate CEO concerns.
But it’s not all doom and gloom. Some CEOs are finding the upside in disruption. Nearly a fifth of CEOs in the Middle East believe the collapse of the Eurozone could bring new business opportunities. Similarly, 16% of CEOs in the Middle East and 13% of CEOs in Central and Eastern Europe think China’s slowing growth could open new doors. And 13% of CEOs in North America would welcome a squeeze on natural resources for the same reason.
One thing is clear: the risk landscape is changing radically. Threats are coming harder and faster, from all directions, and in more subtly varied forms. CEOs recognise that traditional risk management approaches aren’t enough. The only solution is to build organisations that are agile and adaptable: organisations that not only can survive, but thrive amid disorder and emerge stronger than before.
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