Mumbai: Against the backdrop of uncertain economic growth and rapid technological changes, CEOs in India continue to be confident of their company’s growth prospects in the coming twelve months.
According to PwC’s 20th CEO Survey, 71 per cent of respondents are very confident of their company’s prospects for revenue growth over the next twelve months.
They are far more optimistic with respect to growth prospects than their global counterparts. Only 35 per cent of the CEO’s in China and 57 per cent in Brazil expressed optimism regarding their business prospects for the next one year.
The factors behind this burgeoning optimism are strong growth fundamentals such as favourable demographic profile, rising income levels and urbanisation. The other special triggers to this optimism are the upcoming policy reforms to be implemented in the near-term and increase in Foreign Direct Investment (FDI).
The survey highlighted that Indian CEOs are giving equal focus on both organic initiatives as well as cost reduction to fuel growth.
About 80 per cent of the CEO said they would focus on organic growth while 69 per cent of CEOs in India expect to cut costs to grow stronger and reinvest savings into fuelling growth. The survey further mentioned that CEOs in India are also tapping select large markets outside the home turf such as the US, China and UK.
While CEOs in global markets are debating the ‘man versus machine’ question, their Indian counterparts believe that the two must coexist to fuel growth. Around 56 per cent of CEOs in India are exploring the benefits of humans and machines working together. Unlike their global counterparts, 67 per cent of them expect to increase their company headcount over the next twelve months.
The survey also found that skill sets such as adaptability, leadership, problem solving, creativity and innovation (capabilities that automation and other technologies cannot execute) are gaining prominence on the agenda of CEOs. However, this year, 64 per cent of CEOs have stated that it is difficult for their organisation to recruit people with problem-solving skills. Similarly, 74 per cent find it a challenge to recruit talent that is innovative and creative, and 66 per cent have said that it is difficult to recruit talent who are adaptable.
“It is encouraging to see that CEOs continue to be confident of their revenue growth prospects given the volatility of the dynamic business environment in India. Though disruptive innovation is a priority for CEOs in India, they are in constant need for talent with unique skill sets that could be leveraged in today’s highly automated world,” said Shyamal Mukherjee, chairman, PwC India.
