According to a new survey conducted by Gartner, growth will be the top business priority for 62% of CEOs by 2024. This figure represents the highest level of priority given to growth since 2014 and marks a notable increase from 49% of CEOs who cited growth as their top priority the previous year.
“While there is a growing focus on growth, our research reveals a relatively weak position on cost control, as most CEOs and senior business executives believe the most challenging economic times are behind us. ,” said David Furlonger, Gartner Fellow and Distinguished VP Analyst. “We are entering a phase where business leaders are feeling more confident and business strategies are being re-energized.”
The 2024 Gartner CEO and Senior Corporate Executive Survey was conducted between July and December 2023 and involved 416 CEOs and other senior corporate executives. These participants represented a range of industries, revenue tiers and company sizes across North America, Europe, Asia Pacific, Latin America, the Middle East and South Africa. Survey results indicate that CEOs are now adopting a growth mindset in their business environment.
AI is recognized as a key focus area in business transformation, with 34% of CEOs citing it as their top theme after digital transformation, followed by operational efficiency at 9%. Comments from Don Scheibenreif, distinguished VP analyst at Gartner, highlight the importance of generative AI (GenAI), which has replaced digital as the leading buzzword among CEOs. “The majority of CEOs surveyed believe that a breakthrough in AI in 2023 has justified the hype in the technology space. They are relying on their CIO, CTO or CDO to unlock the value of GenAI, indicating that it is a teamwork in working on these projects and not just a top-down experience,” said Scheibenreif.
Despite the optimism surrounding AI, caution remains. 87% of CEOs believe the benefits of AI outweigh the risks to their business. Furthermore, he is 90% in agreement with the idea that the notion that AI poses an existential threat to humanity is overstated. However, the potential challenges posed by AI are not being overlooked, with 56% of CEOs admitting that misinformation, disinformation, and deepfakes can cause operational problems.
Additionally, 29% of CEOs were concerned about power supply constraints, and 53% cited general supply chain issues as a potential problem caused by GenAI demand. Scheibenreif advises CEOs to maintain a balanced approach to AI integration. “CEOs should be tolerant of low-cost GenAI projects,” he said. “But the temptation to try to centrally control GenAI use should be avoided. The excitement and energy will become almost uncontrollable. CEOs should let the hype cycle take its course.”
He further warned that a trough of disillusionment with GenAI could arrive by the end of 2024. “The CEO should only police experiments that he deems dangerous to the company's reputation, and this time let the crowd police itself,” Scheibenreif concluded.
The survey summarises a significant shift in CEO priorities and highlights a renewed focus on the huge opportunities and challenges associated with growth and AI as the business landscape evolves in 2024.
