TLDR: A new report from the Oliver Wyman Forum, ‘CEO Agenda 2025,’ highlights that 95% of NYSE-listed company CEOs consider Artificial Intelligence (AI) a crucial driver for growth. India is positioned as a significant market and innovation hub, propelled by its rapidly digitizing workforce and high AI adoption rates. Despite this optimism, global business leaders are grappling with substantial risks, including regulatory challenges, inflation, and geopolitical instability.
The Oliver Wyman Forum’s latest ‘CEO Agenda 2025’ insights reveal a strong consensus among global business leaders regarding the transformative power of Artificial Intelligence. The report indicates that an overwhelming 95% of CEOs from NYSE-listed companies, many overseeing extensive global operations, view AI as a critical engine for future growth. Concurrently, 95% of these executives are actively pursuing mergers and acquisitions (M&A) and developing disruptive business models to capitalize on emerging opportunities in the evolving global landscape.
Despite this forward-looking optimism, CEOs are acutely aware of significant looming risks. The survey found that 68% identify regulation as a major threat, 90% are critically concerned about inflation, and 89% point to geopolitical instability as a substantial disruption to their global operations. Geopolitical concerns, specifically, have seen a marked increase, rising by 20 percentage points from 2024, with 89% of CEOs rating geopolitics, trade policies, tariffs, and industrial policy as a risk to their company.
India is emerging as a pivotal player in this AI-driven transformation. The nation holds the potential to become a critical market and innovation hub, mirroring the dynamic shifts observed in the global economy. Sumit Sarawgi, Head of Oliver Wyman India, emphasized India’s unique position, stating, “India’s rapidly digitizing workforce and widespread AI adoption create a powerful platform for competitive advantage.” He highlighted that 83% of Indian employees are utilizing generative AI tools weekly, a rate that surpasses many developed markets, positioning India to lead the next wave of digital transformation.
Sarawgi further cautioned that technology alone is not a panacea for success. He advised, “Indian CEOs must invest decisively in talent development, build resilient supply chains, and navigate geopolitical shifts with agility. This convergence of AI, workforce transformation, and supply chain realignment presents a once-in-a-generation opportunity for Indian business leaders to shape the future.”
The report also provides tangible evidence of AI’s impact, with 60% of CEOs already reporting a quantified impact of at least 1% in cost savings or revenue growth from AI initiatives. A significant 17% of CEOs are seeing even more substantial returns, with AI producing cost or revenue improvements exceeding 10%. This growing evidence underscores the sentiment among leaders, as 71% of CEOs believe the primary risk associated with AI is not doing enough to leverage its potential. Companies are primarily investing in AI to enhance efficiency, gain customer insights, and reduce operational risks (over 90%), while 87% are focused on boosting workforce productivity. However, less than half have developed an enterprise-wide AI strategy, despite 56% seeing AI as a key priority for growth.
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Boards of directors are also increasing their involvement, with 55% of CEOs reporting heightened board engagement in strategy and governance. As AI continues to reshape the workforce, a World Economic Forum report suggests that 40% of workers’ skills could become outdated within the next five years, underscoring the critical importance of continuous learning and adaptability for sustained growth in the AI era.
