Only 37% of U.S. CEOs say they are prepared for a recession.
Most CEO’s are worried about recession and elevated inflation, but they feel unprepared to deal with either.
U.S. chief executives and global ones rank recession as their top external concern for 2024, followed by inflation, according to a survey of 1,200 global executives, including 630 CEOs, from The Conference Board. At the same time, most CEOs say their companies aren't prepared to navigate a recession or inflation crisis.
Only 37% of U.S. CEOs say they are prepared for a recession. And only 34% say the same about high inflation.
C-Suite Outlook 2024 also reveals that CEOs have thrown up their hands when it comes to getting workers back into the office full time. Only 4% of U.S. CEOs say they will prioritize a full-time return to the office. Consistent with past surveys, attracting and retaining talent remains the number-one internal focus for CEOs globally.
In other findings, while wars in the Middle East and Ukraine are top of mind, America’s CEOs see the biggest geopolitical threat at home: the ballooning national debt and deficits, which they put as their top geopolitical risk in 2024. Their other top geopolitical concerns are cyberattacks (#2), war in the Middle East (#3), higher energy prices (#4), and war in Ukraine (#5).
Other insights from the report are below.
•For short-term profit growth, U.S. CEOs are prioritizing introduce new products/services; tech investments; 3) increasing sales via marketing; and entering new markets.
•For long-term revenue growth, the growth strategies of U.S. CEOs over the next three to five years are investing in innovation; new lines of business; digital transformation (including AI); marketing and promotions; and upskilling and retaining existing talent.
•More than nine-in-10 (92%) U.S. CEOs believe AI will increase productivity; 86% expect it to improve marketing capabilities; 63% anticipate a boost to sales, revenue and profits. Worldwide, 91% believe AI will increase productivity; 79% expect it to improve marketing capabilities; 68% anticipate a boost to sales, revenue and profits.
•A third (32%) of U.S. CEOs say the transition to renewable energy will be significantly positive for their organizations. When asked to rank their upcoming plans for growth, CEOs in the US and globally put renewable energy just 20th out of 23 choices.