Tough Time Ahead for Indian CEOs

CEOs in India are facing challenges and obstacles to growth on multiple fronts – from geopolitical uncertainty and politicisation to increased stakeholder expectations in the environmental, social and governance (ESG) space and the adoption of generative AI.

Stakeholders are increasingly demanding that businesses adopt more sustainable and ethical practices. This is putting pressure on Indian CEOs to invest in ESG initiatives, which can be costly and time-consuming.

Generative AI is a rapidly developing technology that has the potential to disrupt many industries. However, it is also a new and untested technology, which means that there are significant unknowns and risks associated with its adoption. Indian CEOs need to invest in generative AI to stay ahead of the curve, but this can be challenging, given the high cost and complexity of the technology.

Even though leaders in India, are having to deal with macroeconomic and geopolitical challenges right now, they are fairly positive on the growth prospects of the global economy as well as their organisation, which is very reassuring.

As per the report of KPMG, there is quite number of risks to growth in the coming three years. CEOs in India have witnessed a noteworthy change in their perception of risks affecting their organisation’s growth. Geopolitics and political uncertainty and environmental/climate change top the list of most pressing concerns for CEOs in India today.

Emerging/disruptive technology, return to territorialism and supply chain were considered as the top risks to growth by CEOs in India in 2022.

As geopolitical uncertainties take centre-stage in 2023, CEOs in India are looking at prioritising and understanding this complex landscape, so as to develop a strategic approach to mitigate potential risks. They believe that incorporating a comprehensive geopolitical risk assessment into their overall business plan, would be crucial for success