As a global challenge that threatens corporate growth and the global economy over the next five to ten years, CEOs worldwide recognize national and corporate cyber security. Apart from digital security, the main challenges worldwide, according to CEOs, are labor market reshuffles due to changes in technology, ethical aspects of Artificial Intelligence, income inequalities and climate change.
The above comes from EY’s CEO Imperative Study 2019 survey, which was conducted among 200 CEOs, 100 senior institutional investors and 100 independent board members. Among other things, the survey reflects CEOs’ concerns about how to respond to the challenges of the next decade.
According to the survey, only one-third of CEOs (34%) believe that the C-suite type of corporate structure is well designed for the requirements and opportunities that will arise over the next decade. For this reason, CEOs and BoDs are changing the image of management models, with the addition of many senior management positions in recent years, such as Chief Innovation Officer, Chief Digital Officer and Chief Executive Officer. Chief Strategy Officer.
Additions and changes to the C-suite structure are still underway, with 72% of CEOs predicting that they will add or change roles in the C-suite structure, with 82% of board members reporting exactly the same . The five major new features that need to be integrated into the C-suite structure and are important for the continued growth of companies, according to CEOs, are: digital transformation (55%), innovation (53%), artificial intelligence (55%) 43%), data science (33%), and behavioral science (25%).
Meanwhile, a business’s attitude towards global challenges is evolving into an increasingly important investment criterion. More than half (55%) report that CEOs’ engagement with global challenges has been taken into account for funding decisions in the last two years. In fact, 83% of investors stress that companies’ attitude towards global challenges will become more important in decision making in the next five years.
In any case, board members (58%), institutional investors (54%), and CEOs (51%) believe, to a significant degree, that activating companies is necessary in order to address these important, global challenges.