2019 YPO Global Leadership Survey
New YPO Global Leadership Survey Finds Young Business Leaders Overwhelmingly Believe Business is a Force For Good.
In early January 2019, YPO completed a Global Leadership Survey to understand whether the purpose of business is to have an impact on society beyond profits and wealth. In addition, the survey explored chief executive priorities and compared them with younger generation perspectives. A total of 4,154 respondents participated in the learning in the two surveys. A CEO survey conducted by YPO with 2,283 member CEOs from 110 countries and a companion survey of 1,871 younger generation people (future business leaders) ages 18-31.
Summary
A massive cultural shift about the role of business leadership is in progress.
Business leaders, and society in general, are moving from considering a business’s interest completely
focused on its traditional shareholders to having a significant impact on more stakeholders, including
society as a whole. Of chief executives surveyed, 74 percent note they have changed perspective on
the role of their leadership in the past five years.
- In ranking stakeholders, chief executives rank employees and customers as the most important
stakeholders, with family next and then shareholders. - Both CEOs and the younger generation are aligned with a view that business should have a
positive impact on society beyond pursuing profits and wealth. More than 92 percent of each
group share this perspective.
Both chief executive leaders and the younger generation are aligned on the top four areas of concern
Top UN SDG* areas of concern among chief executives
- Climate change (37 percent)
- Lack of quality education (37 percent)
- Peace, justice and global institutions (30 percent)
- Availability of work opportunities and economic growth (28 percent)
- Climate change (37 percent)
- Lack of quality education (27 percent)
- Availability of work opportunities and economic growth (24 percent)
- Peace, justice and global institutions (22 percent)
Business leaders are working to ensure their businesses make a positive impact.
To address these concerns, chief executives are working to ensure their businesses make a positive impact, creating jobs and prosperity for people and teaching/mentoring others. Younger generation respondents, who are more likely not to lead businesses yet, are more focused on their efforts to have a positive difference in their actions overall and to reduce wasteful consumption of the environment. Further, chief executives are focusing their efforts on business and not politics. Political action ranked 10th in a list of efforts.
The views of chief executives and younger generation respondents differ on what is holding back positive impact.
Chief executives cite government regulations and taxation along with shortages of capital funding and labor as the most important obstacles. Younger generation respondents cite corruption as the leading obstacle and believe chief executives are not interested in doing more to have positive impact. For them, these obstacles precede the effects of adverse government regulations on business. There is a large opportunity for leaders to better communicate their intentions and actions to the younger generation. Just one percent of chief executives say they are not interested in seeking greater impact through business, while 32 percent of younger generation respondents believe business leaders are not interested in doing more. They also perceive corruption as a larger problem than those leading businesses today.
There remains a great opportunity for public and private collaboration. All countries desire greater economic growth and more jobs, and business leaders seek greater positive impact through their businesses. The alignment in intention can realize greater outcomes with more communication and collaboration regarding government regulations, taxation and education.
* United Nations Sustainable Development Goals
