LONDON, March 14, 2024—The CEOs of the world’s largest companies are maintaining optimism about future growth, despite the current turbulence. According to the second annual Arthur D. Little (ADL) CEO Insights Study, 66% of CEOs are highly positive about the global outlook over the next three to five years.
The study, launched today, reveals that CEOs across various sectors are increasing their growth investments. Notably, 96% of CEOs have already deployed artificial intelligence (AI) in some form, recognizing its importance for growth. However, only 13% have implemented a comprehensive, enterprise-wide AI strategy.
Understanding that success with AI lies in people, CEOs are prioritizing the need to reskill their workforces. The study shows a significant increase, from 13% in 2023 to 59% in 2024, in the number of CEOs recognizing the strong need for reskilling. Sectors such as manufacturing (+63%) and financial services (+55%) are particularly focused on reskilling to meet changing requirements.
In addition to AI and reskilling, CEOs are emphasizing the importance of environmental, social, and governance (ESG) factors for growth. The study reveals that 77% of CEOs are embedding ESG holistically across their organizations. They anticipate a 26% increase in the impact of ESG on growth strategies in the next three years.
While positive growth is forecasted across the board, there are variations between sectors and regions. For example, 78% of Asian CEOs anticipate positive growth, compared to 55% of CEOs in South America. Similarly, financial services are leading in AI adoption, with 69% having a company-wide strategy, compared to 56% in energy and utility companies.
Frequently Asked Questions
Q: What is the Arthur D. Little CEO Insights Study?
A: The Arthur D. Little CEO Insights Study is an annual research project conducted to gather insights from global CEOs of the world’s largest companies.
Q: Did the study reveal CEOs’ opinions on artificial intelligence (AI)?
A: Yes, the study found that 96% of CEOs have already deployed AI in some form, highlighting its crucial role in driving growth.
Q: Are CEOs prioritizing the reskilling of their workforces?
A: Absolutely, the study shows that 59% of CEOs recognize the strong need to reskill their workforces to meet changing requirements.
Q: How are CEOs integrating environmental, social, and governance (ESG) factors?
A: Over three-quarters (77%) of CEOs are embedding ESG holistically across their organizations, anticipating a 26% increase in its impact on growth strategies in the next three years.
Q: Are there differences in growth expectations between sectors and regions?
A: Yes, the study reveals variations in growth expectations. For example, Asian CEOs (78%) are more optimistic about future growth compared to CEOs in South America (55%). Financial services companies are leading in AI adoption and strategy (69%), while energy and utility companies lag behind (56%).
Francesco Marsella, Managing Partner and Global Leader of the Growth and Transformation Practices at Arthur D. Little, remarked, “The ADL 2024 CEO Insights Study demonstrates that CEOs of the world’s biggest companies are positive for the future, despite today’s business and geopolitical turmoil. With resilient operating structures, clear strategies, AI innovation, and a focus on reskilling, these CEOs believe their businesses can thrive in a sustainable future.”
Ignacio García Alves, Chairman and Chief Executive Officer at Arthur D. Little, added, “Innovation will be crucial in overcoming the pressing challenges faced by the world. Our 2024 CEO Insights Study highlights that CEOs are acknowledging this and are prioritizing the fusion of AI and human skills to drive innovation and achieve future success for their businesses and society as a whole.”
The Arthur D. Little 2024 CEO Insights Study surveyed nearly 300 global CEOs from companies with a turnover of over $1 billion. The respondents represented various industries and geographies, providing valuable insights into the minds of those at the helm of the world’s largest organizations.
For further information, visit www.adlittle.com.
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Frequently Asked Questions
Q: What is the Arthur D. Little CEO Insights Study?
A: The Arthur D. Little CEO Insights Study is an annual research project conducted to gather insights from global CEOs of the world’s largest companies.
Q: Did the study reveal CEOs’ opinions on artificial intelligence (AI)?
A: Yes, the study found that 96% of CEOs have already deployed AI in some form, highlighting its crucial role in driving growth.
Q: Are CEOs prioritizing the reskilling of their workforces?
A: Absolutely, the study shows that 59% of CEOs recognize the strong need to reskill their workforces to meet changing requirements.
Q: How are CEOs integrating environmental, social, and governance (ESG) factors?
A: Over three-quarters (77%) of CEOs are embedding ESG holistically across their organizations, anticipating a 26% increase in its impact on growth strategies in the next three years.
Q: Are there differences in growth expectations between sectors and regions?
A: Yes, the study reveals variations in growth expectations. For example, Asian CEOs (78%) are more optimistic about future growth compared to CEOs in South America (55%). Financial services companies are leading in AI adoption and strategy (69%), while energy and utility companies lag behind (56%).
Key Terms and Definitions:
– Artificial Intelligence (AI): The simulation of human intelligence processes by machines, typically including learning, reasoning, and self-correction.
– Reskilling: The process of teaching employees new skills to meet evolving job requirements or changes in the workplace.
– Environmental, Social, and Governance (ESG): A set of criteria used to evaluate a company’s impact on the environment, society, and corporate governance.
– CEOs: Chief Executive Officers, the highest-ranking individuals in a company who make major corporate decisions, manage resources, and protect the interests of shareholders.
Related Links:
– Arthur D. Little Official Website
The source of the article is from the blog bitperfect.pe