Banker S.A. June 2012 | Page 35

PwC’s Global CEO Survey Threats and opportunities ‘T he weaker banks need to disappear because, aside from failing to do their job of providing credit, they weaken the rest of the system.’ That’s how Francisco Gonzalez, chairman of Argentina’s Banco Bilbao Vizcaya, sees it. Gonzalez is one of over 1 200 CEOs interviewed in 60 countries – including 32 in South Africa – for PwC’s 15th Annual Global CEO Survey, ‘Delivering results: Growth and value in a volatile world’. The survey explores CEO confidence in their company’s growth prospects, and how they’re building local capabilities and creating new stakeholder networks in new markets. A significant percentage of CEOs see the lack of skills as a major challenge to the growth of their businesses, with only a minority ‘very confident’ that they will have access to the talent that they need over the next three years. In this year’s survey, South African CEOs showed greater concern over a number of external factors, most particularly the availability of key skills. No less than 78% of local CEOs are concerned about this single issue, compared to a global average of 54%. Gerald Seegers, director for human resources services at PwC Southern Africa, says: ‘CEOs are facing a “talent crunch”, and it’s an issue keeping them awake at night. An inability to find and keep the right people is biting, with CEOs saying the lack of talent is stifling expansion and innovation within their organisations.’ This is particularly felt by South African CEOs, more than half of whom reported that it was becoming more difficult to recruit workers in their industries, citing the supply of skilled candidates, changing skills needs and compensation expectations as the leading reasons for this. ‘CEOs are also candid about the effect talent constraints have had on their companies’ growth and profitability in the past year, with South African organisations being significantly more affected than their global counterparts in a number of areas.’ PwC Southern Africa CEO Suresh Kana says, ‘It comes as no surprise to learn that the biggest strategic changes anticipated in the next year are likely to be seen in CEOs’ strategies for managing talent, organisational structure and technology investments.’ ‘To face up to this crisis,’ Seegers says, ‘CEOs are turning outside their sector ́