PwC 2024 Global Investor Survey: AI, Climate Action, and Investor Expectations

The PwC 2024 Global Investor Survey reveals that 73% of investors advocate for large-scale AI solutions and expect significant increases in productivity, revenue, and profitability from AI investments. The survey also highlights investor concerns about climate change, governance, and the necessity for workforce upskilling, reflecting a shift toward comprehensive corporate accountability and strategic adaptability amidst evolving economic conditions.

On December 4, 2024, PwC released its 2024 Global Investor Survey, revealing that investors are increasingly pressing for companies to maximize the impact of their AI investments. The survey, which accounted for responses from 345 investors and analysts across 24 countries, indicated that 73% believe businesses should scale AI solutions. Furthermore, a considerable 66% expect productivity boosts from AI within the next year, while 63% anticipate increases in revenue and 62% foresee enhanced profitability.

The survey highlighted technological advancements as the critical change driver for companies, surpassing government regulations, shifts in consumer preferences, and supply chain challenges. Additionally, the study showcases that 74% of investors advocate for workforce upskilling in conjunction with AI deployment, with some expecting AI to contribute to workforce growth. The expectations set forth demand serious scrutiny of how businesses plan to harness AI for productivity gains—these measures ought to extend beyond technology modernization to fundamentally transform business operations.

Investor confidence appears cautiously optimistic regarding global economic growth, with 51% anticipating economic expansion in the coming year. Despite a decrease in macroeconomic and inflation worries, concerns about cyber threats and geopolitical conflicts remain high. Investors underscored the necessity for businesses to demonstrate resilience in crisis management, with 86% viewing crisis navigation as crucial to investment decisions, and 60% calling for revisions to business models to counteract supply chain instability.

The emphasis on climate reflects a growing priority among investors, with 30% expressing that companies will face significant climate-related risks within the next year. Furthermore, 75% indicated willingness to boost investment in companies focused on climate actions, emphasizing sustainable supply chains. Governance and financial implications of net-zero transition plans have also been identified as pivotal factors for investor consideration. Nonetheless, challenges persist in corporate sustainability reporting, with 44% of investors expressing concerns over unsupported claims related to environmental performance.

As reliance on diverse data outside of conventional financial statements increases, corporate governance and innovation are becoming paramount. The integration of AI is perceived as a valuable tool for dissecting extensive corporate data. There is a notable trend toward investors favoring qualitative over quantitative data in their evaluations, reflecting a shift in analysis criteria towards transparency and consistency in communication from corporate leaders.

The 2024 Global Investor Survey by PwC surfaced key insights about investor sentiment towards AI and corporate responsibility. Highlighting the essential role of AI investments, the survey indicates that stakeholders are looking for measurable improvements in productivity, revenue, and profitability linked to these technologies. Additionally, growing concerns around climate change and sustainability underscore the evolving landscape of investor priorities. The shifting focus from traditional financial metrics towards comprehensive qualitative data reveals broader expectations from investors regarding corporate governance, resilience, and strategic planning.

In summary, PwC’s 2024 Global Investor Survey outlines an evolving investment landscape where stakeholders are increasingly demanding effective implementation of technology, particularly AI, combined with a commitment to sustainability and transparent governance. The strong focus on skilling the workforce and adapting business models to address contemporary challenges is coupled with cautious optimism about economic growth moving forward. This comprehensive approach illustrates a clear expectation for companies to deliver concrete outcomes in both productivity enhancements and responsible corporate behavior.

Original Source: www.pwc.com


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