Global study identifies key challenges for chief executives in 2014
Bosses around the world plan to take a “worker-centric approach” in 2014 to maximise the future growth of their businesses, according to a global study.
Research from The Conference Board and the Chartered Management Institute (CMI) revealed that reshaping workplace culture is the top priority of chief executives.
The study of leaders from more than 1,000 companies globally found that bosses recognise the benefits of employee engagement and better management in improving competitiveness, winning new customers and raising productivity.
The findings are detailed in the report, ‘CEO Challenge 2014’, which shows that human capital — how best to develop, engage, manage, and retain talent — is the main challenge for employers, followed by the closely linked issues of customer relationships, innovation, operational excellence, and corporate brand and reputation.
Nine out of the top 10 human capital strategies chief executives prioritised globally are focused on current employees. These include providing training and development, raising employee engagement and increasing efforts to retain vital talent.
The findings also suggest that management performance will come under closer scrutiny as “improving leadership development programmes” has moved up the list of priorities for chief executives compared to last year, rising from 10th place to 5th.
Chief executives were also asked to identify the leadership attributes most critical to future success. Integrity was rated number one globally, suggesting bosses have learnt from ethical scandals in the banking and retail sectors. The other top five most important leadership attributes were leading change, managing complexity, an entrepreneurial mindset and the ability to retain and develop talent.
Petra Wilton, CMI’s director of strategy, said: “Building world-class workforces is a top challenge for CEOs, who are looking to help their organisations hit new levels of performance in 2014.
“Leadership attributes like integrity, leading change and managing complexity are fundamental to cracking the challenges facing managers and leaders in the year ahead, and will be absolutely key to future success.”
Rebecca Ray, senior vice president, human capital at The Conference Board, and report co-author, commented: “Building a culture that supports engagement, employee training, leadership development, and high performance is something companies can control, and is making the difference between growing market share and simply surviving in 2014. Moreover, if the focus of individual companies is sustained, human capital may well be the engine that revives economic growth.”
Wilton also added: “This global research is a reminder that it’s imperative the UK keeps up with international competitors. The findings reinforce the case for ‘Valuing your Talent’, a new initiative CMI is collaborating on with the UK Commission for Employment and Skills, CIPD, Chartered Institute of Management Accountants, Investors in People and the Royal Society for the Arts.”