57% of India CEOs optimistic about economic growth in 2023: PwC survey

Eighty-six per cent of CEOs in India do not plan to reduce the size of their workforce, while 96 per cent do not plan to reduce compensation.

Around 62 per cent of CEOs in India believe that changing customer demand will affect profitability in their respective industries over the next ten years to a large or very large extent, followed by 54 per cent, who are concerned about changes in regulations.

While 52 per cent of global CEOs see shortage of labour and skills as their next biggest concern, 53 per cent of Indian CEOs are more worried about technology disruptors such as artificial intelligence and blockchain, and 49 per cent are worried about supply chain disruption.

Certain sectors such as pharmaceuticals, automotive, consumer electronics and chemicals have significant dependence on materials imported from countries such as China, Taiwan and Japan. These factors cause Indian CEOs to worry about supply chain disruption, uncertain lead times, heightened freight rates and commodity prices, the survey found.

The lower concern about availability of labour and skills—only 40 per cent—is surprising and is perhaps a reflection of India’s youthful demographics, irrespective of concerns regarding skill set mismatch, PwC noted.

About 78 per cent of Indian CEOs believe that global economic growth will decline over the next 12 months and 29 per cent expect economic growth to improve in their countries or regions over the next 12 months.

For 26 per cent of Indian CEOs, driving current operating performance ‘actually’ consumes the biggest share of their time. Asked how they would ideally allocate their time if they could start with a blank calendar, 24 per cent of Indian CEOs say that they would like to spend more time evolving their business and its strategy to meet future demands and 19 per cent, ideally engaging with and mentoring or developing employees.

Around 85 per cent of India respondents are investing in upskilling their workforce in priority areas, 82 per cent in automating processes and 81 per cent in deploying technology like cloud and artificial intelligence over the next 12 months.

ALCHEMPro News Desk (DS)