If artificial intelligence takes your job, the Government could pay you an income purely for being human - that’s the future this economist expects as tech companies talk up AI in this week’s earnings. Video / NZ Herald
Having adjusted for supply-side pressures coming out of Covid, CEOs today are heavily focused on demand-side challenges amid economic uncertainty across the globe.
While finding and retaining skilled staff is still a big issue, many business leaders have shifted their concern toward finding revenue growth and managing profit expectations. Inflationpressure and the general cost of doing business remain a challenge while the modern CEO has many environmental, social and governance issues to worry about.
Meanwhile, the rise of generative artificial intelligence (AI) is creating both opportunities and threats that business leaders must get in front of.
“Vision and mission clarity are critical for success, especially during times of economic uncertainty,” says ServiceNow NZ country manager Kate Tulp when asked to comment on the 2023 CEO of the Year finalists for the Deloitte Top 200 Awards.
Tourism Holdings’ Grant Webster, ASB Bank’s Vittoria Shortt and Simon Limmer of Silver Fern Farms have been named as finalists in the category.
“CEOs who focus on effective and empathetic communication get better alignment among stakeholders – and every leader is only as good as the teams they lead. Getting everyone focused on the same goals drives team unity and long-term success,” Tulp says.
“It’s interesting how much the Mood of the Boardroom survey findings have evolved, as last year there was a much stronger emphasis on people.
“With a more difficult economic situation, CEOs are prioritising revenue, aiming to maximise profit and productivity. This represents a ‘getting fit’ phase for businesses. The good news is technologies like automation and AI can massively help with this.”
CEO of the Year finalist ASB bank CEO Vittoria Shortt
Picture supplied
Perhaps the biggest challenge for executives outside of the normal course of business is how to respond to the rise of generative AI, which offers potentially huge opportunities while at the same time significant threats.
Most businesses recognise that maintaining a human touch is incredibly important when considering this technology.
They also recognise that with proper guardrails in place, generative AI can unlock new opportunities and speed up, scale, or otherwise improve existing business cases.
CEO of the Year finalist Tourism Holdings chief executive Grant Webster. Photo / Brett Phibbs
Tulp says AI will be a game-changer.
“Leaders should be working hard to understand it and how they can use it. If you don’t, you’ll already be falling behind. We believe it offers transformational opportunities – to increase productivity, lower costs, and make people more effective,” she says.
“First, leaders need to explore where it can most effectively be applied. What are the tasks that are slowing down people and teams, that could be more effectively done by machines?
“Once you have some applications in mind, leaders need to understand how your organisation will manage privacy and trust. Having clear policies and processes around privacy and robust governance are essential early steps for managing AI effectively.”
Another issue that CEOs are having to deal with is staff motivation. Companies have witnessed the great resignation, quiet quitting and are now trying to entice workers back to the office and improve staff engagement.
Tulp says effective leadership starts with transparent communication, and clearly voicing the organisation’s objectives and values.
“Regular communication with the team and leaders, being clear on what metrics you’re using to judge performance and having consistent and transparent measurement tools – like dashboards to track progress – helps people understand how their work is contributing to achieving your broader company goals.
“CEOs should also focus on motivating leaders to invest their energy, time, and passion in supporting organisational change. Encouraging two-way dialogue helps leaders get feedback that is essential to improving.”
CEO of the Year finalist Silver Fern Farms chief executive Simon Limmer. Photo / Supplied
The Deloitte Top 200 Awards were established in 1990 and are held annually to recognise and applaud outstanding individual and management team performances among New Zealand’s largest companies and trading organisations.
All the Deloitte Top 200 winners will be revealed at a gala event on Wednesday, December 6. The event will be live-streamed from 7pm on the NZ Herald website.
Last year’s winner of the CEO award was Jolie Hodson of Spark NZ.
- This was produced in partnership with the Deloitte Top 200 Awards and sponsors
