-- Low to Moderate Growth Expected Over the Next Three Years -- Investments in Technology and Digital Transformation Accelerate -- Environmental Risk and Talent Risk Identified as Greatest Threats to Growth Apart from Pandemic -- CEOs See World of Work Changing in Numerous Ways
In the midst of the COVID-19 pandemic, many U.S. CEOs remain confident in the growth prospects of the domestic economy and their companies and are accelerating investments in digital transformation, according to a study released today by KPMG LLP, the U.S. audit, tax, and advisory firm.
The 2020 KPMG CEO Outlook features insights from 315 CEOs at large companies globally, including 100 in the United States, who were surveyed in July and August about the business landscape over the next three years. Key findings include:
“U.S. CEOs are resilient and remain optimistic as they continue to rise to meet the challenges and opportunities resulting from the pandemic and ongoing economic uncertainty,” said Paul
Knopp, KPMG U.S. Chair and CEO. “They are accelerating the digital transformation of their
businesses, but also see a multitude of risks apart from the pandemic -- with talent risk becoming front and center in the current environment.”
Digital Investments Accelerating
The majority of CEOs noted the COVID-19 pandemic has accelerated their digital investments and progress across numerous dimensions by at least a matter of months. These areas include:
CEOs cited difficulty making quick technology-related decisions (31%) and a lack of insight into future operational scenarios such as new ways of working (22%) as the greatest challenges associated with accelerating digital transformation within their organization. As they respond to COVID-19 and prepare for the post-pandemic reality, 74% said they were prioritizing investments in new technology and digitization over developing their workforce’s skills and capabilities (26%).
Changing Working World
As a result of the pandemic, CEOs see the world of work changing in numerous ways.
Trust and Leadership
“As much as COVID-19 changed how people work and how organizations invest in technology, companies are re-assessing their values and purpose,” Knopp said. “CEOs also are placing a greater emphasis on employee engagement and corporate culture in this new working reality.”
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