AI: The Double-Edged Sword of Asia's CEOs

Asia Pacific’s next-generation CEOs are steering their companies through an era of what has been coined a “polycrisis.” This term encapsulates the multifaceted challenges of today, from political instability and social upheaval to environmental crises and the rapid evolution of technology.

As these leaders navigate tumultuous times, they adopt innovative management strategies and operational practices, as highlighted in Teneo's latest report, "Next-Generation CEOs in Asia Pacific: Leading in an Era of Polycrisis."

The importance of resilient and adaptive leadership cannot be overstated in the current global landscape. The Asia Pacific region, home to a diverse range of family-run enterprises and cutting-edge startups, is at the forefront of experiencing these changes. CEOs in the area are finding themselves at a crossroads where traditional business models no longer suffice, and agility, foresight, and a strong emphasis on sustainability and technology are crucial for success.

One notable finding from the report is the CEOs’ cautious yet optimistic approach to artificial intelligence (AI). While acknowledging the potential risks, these leaders see AI as a valuable tool for enhancing efficiency, particularly in areas requiring significant labor, such as data aggregation and compliance monitoring.

This capability is not just about making these tasks quicker and less prone to human error; it's about unlocking new possibilities for strategic decision-making. With the current human-AI task division still skewed mainly towards human involvement (approximately 90%-10%), it's evident that we are only scratching the surface of what AI can accomplish.

Furthermore, the report underlines a shift in how companies approach Environmental, Social, and Governance (ESG) initiatives. The focus has moved from merely making commitments to demonstrating tangible progress, with a premium placed on governance to ensure accountability and effective reporting.

“It was a privilege to speak to this new group of CEOs to explore how they are leading their businesses in this newly emergent age of ‘polycrisis,’ when a range of political, social, environmental and technological forces are colliding to create a hugely complex operating environment,” said Lauren Chung, chief executive officer, Asia Pacific Strategy & Communications, Teneo.

Despite the prevalence of digital communication tools, the report also reveals a preference among CEOs for maintaining personal connections with stakeholders. This balance between digital and personal interaction is crucial for navigating the misinformation that often proliferates on social media platforms.

Image credit: iStockphoto/Mariia Vitkovska