CEOs globally expect rise in hiring over next 3 years

Strategic Priorities over the Next Three Years
Globally, executives have their sights set on the following, in order of importance: developing new growth strategies, having a stronger client focus, expanding geographically, reducing their cost structures, enhancing speed to market, and fostering innovation.

When asked whether their primary focus would be on growth or operational efficiency over the next three years, 94 percent of US CEOs cited growth, while their Asian and European counterparts said they were focused on operational efficiency.

In terms of issues having the greatest impact on their company's prospects and performance, the top three issues identified by CEOs were ‘global economic growth,' followed closely by the ‘regulatory environment,' and ‘disruptive technology.'

Central Europe, US Top Expansion Targets
When asked which areas they expected to devote significant capital to over the next three years, CEOs identified expansion outside their home countries as the number one area. US CEOs are focused on Europe, especially Central Europe, followed by China and South America.

For CEOs in China, Japan, the United Kingdom, Germany and France, the US is the region offering the greatest potential for new growth. "The resiliency of the US economy makes the US an attractive investment target for companies based in Europe and Asia," said KPMG's Veihmeyer.

Growth Mix
Today, 52 percent of the CEOs say their current growth strategies are built primarily around organic growth, with 42 percent saying it is a combination of organic and inorganic growth through acquisitions and six percent saying it's primarily inorganic.

When asked to consider their anticipated growth strategies over the next three years, 59 percent of CEOs expect their priority will be organic growth, 22 percent indicated an even split between organic and inorganic growth through acquisitions, and 19 percent say it will be through inorganic growth. Twenty-nine percent of US CEOs demonstrated a more acquisitive strategy, identifying inorganic growth as a main growth driver.
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