Half (50%) of c-suite executives of UK companies are uncertain their businesses will survive the next decade, according to a new study by consultancy groups BJSS and Sparck.
It found that most of the 101 executives it spoke to focused extensively on tackling known threats over the short term, but gave little thought to long-term survival.
Indeed, 41% of respondents plan three years ahead, with only 17% of UK business leaders having a strategy in place for the next decade.
Terry Dixon, head of growth at SPARCK, said he hopes these findings act as a “wake-up call” for UK companies to move away from short-term thinking and plan for long-term survival.
“In economic turbulence, business leaders often prioritise short-term gains, neglecting long-term viability,” he said.
“However, this trend poses risks to survival. It’s crucial to balance short-term benefits with long-term planning for sustainability.”
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This report confirms what other recent studies have been concluding. Research by PwC found in January that almost half (45%) of CEOs believe that technological disruption will make their businesses invalid within the next decade, namely due to artificial intelligence (AI).
The rise of AI was a noteworthy concern in the BJSS and Sparck report too. It was the top priority for 18% of executives over the next 12 months.
However, the study warns that there is a “paradoxical disconnect” in UK business leaders’ understanding of AI and its potential implications.
This was highlighted by the fact that 20% of respondents saw cyber security as the biggest threat to their business over the long-term, yet only 4% expressed unease about disruption from emerging technologies.
“The disparity in concern levels between cybersecurity and AI’s perceived impact may indicate a lack of comprehensive understanding or awareness regarding the potential disruptions posed by emerging technologies like AI,” the report found.
“This could imply that organisations may be proceeding based on existing assumptions or might lack the capacity to thoroughly explore and make informed positions on the broader implications of AI.”
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