Nearly half of global chief executives expect no return to ‘normal’ business until next year, while almost a third say ‘normality’ will return in 2021.
The results come from KPMG’s CEO Outlook Pulse Survey.
The survey also indicates a steep decline in the number of executives planning to reduce their company’s physical footprint. Last summer, almost 70% of chief executives planned to cut their office space, but that figure has fallen precipitously to just 17% now.
And with the US rejoining the Paris Accord on climate change and COP26 taking place this year, half of senior corporate leaders plan more stringent environmental sustainability practices.
Only one on five of large firms in the survey are looking to hire talent that works predominantly remotely, a significant shift from last year’s 73%.
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The vast majority of business leaders, at 89%, are focused on locking in the sustainability and climate change gains their companies have made as a result of the pandemic.
KPMG managing partner Seamus Hand (pictured) commented: It’s really interesting to see how CEOs are thinking about transforming their operating models and further accelerating digital transformation projects, as they start to think about the possible return of their employees to an office environment.
“The pandemic has also acted as a catalyst for many business leaders in looking at the role of their business and its impact on society. Climate change in particular will continue to grow in importance as a leadership issue as businesses address the pressing need for measurable, target-based action in this area.”
During lockdown, remote working has become the norm, says the report, which poses new data security risks to organisations. As a result, global business leaders identified cyber-security as the top concern impacting their growth and operations over a three-year period. Cyber-security was named ahead of regulatory, tax and supply chain concerns.
Three-quarters of CEOs see government encouragement for businesses to return to ‘normal’ as the prompt to ask staff to return to the workplace. In addition, 61% of global executives said that they will also need to see a successful vaccine rollout in key markets, with more than 50% of the population vaccinated, before taking any action toward a return to offices.
When employees can safely return to workplaces, one in five firms plan to institute additional precautionary measures by asking clients and other visitors to inform them of their vaccination status.
The full report is available for download here.
