C-suite executives are feeling the burn of the business climate: Eighty-one percent of execs told KPMG that boards and owners have voiced increased expectations for their organizations’ ability to adapt to disruption.
As C-suite execs shoulder increased workplace stress, KPMG researchers recommended “significant” investments — but they also insisted that business leaders are overspending on technology and underspending on talent.
According to the data, 57% of business leaders said that improving performance and efficiency was one of their top priorities, but less than 10% said developing stronger workforce training programs was a top objective. Similarly, KPMG found, executives were twice as likely to invest in new technology as they were in training employees.
Atif Zaim, KPMG US’s deputy chair and managing principal, said that many tech investments tend to fall flat because “new tools alone don’t drive performance.”
Ultimately, AI and tech adoption generally require change management, researchers said, adding that “firms that don’t invest enough in building the skills employees need to make the most of new tools often struggle to realize their full value.”
Some of KPMG’s recommendations for improving workforce resilience and adaptability include incorporating “continuous learning” into the fabric of the company, championing structured processes and centralized decision-making, and investing in strategic partnerships.
“Adaptability is a recipe. It comes from aligning how organizations work, how they develop people, and how decisions are made,” Zaim said. “The companies getting ahead are moving beyond isolated fixes to disciplined, coordinated execution.”