2018 BlueSteps Executive Career Outlook

Transcription

1 2018 BlueSteps Executive Career Outlook Exclusive insights on global executive-level career trends.

2 2018 BlueSteps Executive Career Outlook Exclusive insights on global executive-level career trends Senior executives are feeling more positive about the job market compared to recent years. Based on a global survey of 834 senior-level management professionals, Director-level through C-Suite, who are members of BlueSteps, the career management service of the Association of Executive Search and Leadership Consultants (AESC), executives are more optimistic about the state of the global executive job market compared to previous years. When asked about the executive job market, fiftyfour percent of executives responded they are more optimistic about this year s than 2017 s job market. The number of global executives who are feeling less optimistic is at its lowest level since BlueSteps began its survey, at thirteen percent. The high levels of optimism indicate, after years of global economic and political uncertainty, executives are now more encouraged by improved economic conditions and a robust business climate. Executive Optimism Levels are Highest in Recent Years Chart 1: Optimism about the executive job market among global executives for Executives are Expecting More Senior Management- Level Jobs in 2018 Chart 2: BlueSteps management-level respondents predict volume of executive opportunities in Not only are global executives more optimistic about the job market, but they are also hopeful about the number of executive positions that will be available worldwide in Over eighty-five percent believe that the volume of senior-level executive roles will increase or at least stay the same compared to last year BlueSteps Executive Career Outlook Report

3 Economy is growing. Stock market is increasing in value. Executives with stock options are more likely to cash in and retire. Growing companies need additional senior management leadership. Need for experienced executives in an increasingly complicated business environment. Competition globally requires innovation and continuous business transformation. Executives cite an improved global economy and its positive impact on business as a reason for their more optimistic outlook. Over sixty-four percent attribute their optimism to a renewed economy and/or fiscal policies that have been put into place to support larger corporations. More opportunities are also expected to be created by organizations taking on new challenges to compete globally and the Baby Boomer generation retiring, allowing younger executive leaders to move up the corporate ladder. Why Executive are More Optimistic About the Executive Job Market More economic activity and companies willing to start business plans oriented to growth. The tax reform puts money to work in budgets that may have been constrained. More talent will be looked for. Most major domestic and global indicators are positive and growing in both consumer as well as industrial and service industry spending. Government policies, significant corporate tax cuts, significant corporate investments in US, booming markets. Positive economic growth, lower risk of EU implosion, start of reforms in France, strong momentum continuing in Germany despite political blockages. Digital economy driving economic growth more and more strong leadership required. Chart 3: Global executives share why they are feeling more optimistic about the executive job market BlueSteps Executive Career Outlook Report - 3

4 I don t believe the economy is strong and therefore people will stay in their roles and not take the risk of moving companies. Global recovery has still not picked up as desired; geopolitical tensions; and in extreme view, people in power with growing protectionism across the globe. Consolidation in many industries is going to be an issue and I am also concerned about the health of the US economy and political system in M&A will be big in M&A reduces the number of C-level jobs. We re also in for a stock market correction that that scares CEOs from hiring. Companies are consolidating and cost saving. There is a certain sense of insecurity in the market. So companies are staying more conservative and driving less change. The primary reason for lower optimism by executives is also the economy. These respondents generally agree while the economy overall is stronger, it is not stable enough to maintain the gains made in Why Executives Are Less Optimistic About the Executive Job Market Increasingly difficult marketplace to operate in globally. Less jobs around with more job seekers. Given the number of organizations cost cutting and managing an increasingly stringent regulatory environment. Build great teams, set clear and realistic objectives, and then delegate to them. Chart 4: Global executives share why they are feeling less optimistic about the executive job market BlueSteps Executive Career Outlook Report

5 Executive Leadership Executives believe in order to be an effective leader, they need to be: strategic thinkers, inspiring, emotionally intelligent and adaptable. The most commonly named attribute was strategic thinking with almost seventy percent of respondents choosing it as a critical leadership trait. This aligns with observations being seen by AESC member search consultants. AESC executive search consultants believe the transforming business climate is demanding executives who are constantly evolving to keep up with the everchanging global marketplace. Compassionate leaders who can inspire a team to rally around a common goal are also in high demand. Executives Believe Change Management Skills Differentiate Strong Leaders Vision for where and how you are leading your business. Understand digitalization and how it changes the business. High emotional intelligence to inspire and guide an organization. Improve soft skills to increase employee engagement and retention. Spend as much time as possible, on and off the job, with amazing people. Ability to adapt to an ever changing environment in a multicultural, global business world. Chart 5: Global executives rank what leadership attributes are most helpful to differentiate an executive. Respondents believe strong leadership skills and being comfortable in an ever-changing business environment are key to succeeding as a leader. With how transformative today s business climate is, executives believe it is important to have a vision of where the organization needs to be and the technological understanding to take it there. Top 5 Qualities That Help Global Executives Be Successful Chart 6: Global executives share what qualities they need to be effective leaders. Strategic thinking is an integral part of any leadership role. The ability to see beyond the short term goals and expectations to the long term vision is what sets leaders apart from managers. Finding the balance between tactics and strategy is a key skill for leaders. A leader s ability to inspire and engage is crucial. It is sometimes said that the sign of a great leader is not the number of followers they have but the number of leaders they have created. - Kathy Simmons, Executive Director of BlueSteps Executive Career Services 2018 BlueSteps Executive Career Outlook Report - 5

6 Finding New Opportunities Expected Length of an Executive Job Search Of those planning to make an executive career change in 2018, the overwhelming majority expect the search for a new position to take them three to twelve months, with forty percent believing it will take them three to six months and another forty percent believing it will take them six to twelve months. When asked why they are looking to make a change in their careers, forty-six percent of respondents are leaving because their current organization does not provide the growth opportunities they need to reach their career ambitions. Another twenty-two percent are choosing to leave due to their current organization s corporate culture. Others attribute it to a company leader or their direct boss. Only sixteen percent of respondents are looking to leave because of their salary. These factors indicate that it is important as ever for organizations to create an environment that fosters continual growth and for executives to ensure that the corporate culture aligns with their personal executive brand and goals when assessing and ultimately accepting a new executive role. Chart 7: Global executives forecast how long it will take to secure a new executive job in Why Executives Are Planning to Leave Their Current Roles Chart 8: Global executives reveal why they are looking to make a career move in BlueSteps Executive Career Outlook Report

7 Are You Ready to Take the Next Step in Your Executive Career? Get Started With BlueSteps BlueSteps helps busy executives manage their careers, track their goals and stay visible to the right recruiters. We are able to deliver relevant, timely and insider career intelligence to our over 100,000 executive level members because BlueSteps is owned and operated by the Association of Executive Search and Leadership Consultants (AESC), the global professional association for the world s top executive search firms. BlueSteps Can Help You Develop a Career Plan Preparing a career strategy can be daunting. Our archive of targeted webinars and team of Executive Career Service advisors will help you determine where you are and how to get to where you want to be. Increase Your Visibility A BlueSteps profile makes you visible to over 9,000 AESC executive recruiters. You can also build career-long relationships with the right recruiters for you using our AESC Member Directory. Find New Opportunities Search open positions around the world on our Opportunities board. Explore the list of executive jobs, updated daily, then narrow it down by industry, function or geography to match your goals. Continue Growing Features like our MyGoals achievement tracker and content like our Executive Search Insights reports ensure you continue to improve as an executive and prepare you for whatever opportunities lie ahead. To learn more about BlueSteps and to sign up visit: bluesteps.com

8 Outlook by Sector The Technology sector is expected to have the strongest growth at the executive level in 2018 with seventy-five percent of respondents believing there will be robust growth in the industry. The next most commonly named sector by our survey respondents was the Healthcare & Life Sciences, followed by Financial Services, Professional Services and the Consumer & Retail sector. The Technology Sector is Overwhelmingly Forecast to Have the Most Growth Chart 9: Global executives forecast top sectors for strongest growth in AESC member executive search consultants are also most optimistic about the Technology sector according to those who were surveyed for the 2018 AESC Talent Outlook Report. The viewpoints of AESC member search consultants and global executives align on the success of various sectors in 2018 with the exception of the Industrial sector. Only twenty-six percent of global executives believe the Industrial sector will have strong growth versus forty-six percent of AESC member search consultants, showing there may be more executive job opportunities there than executives expect. A Comparison of Executive and AESC Member Outlooks Chart 10: Global executives and AESC member search consultants predict the volume of executive job opportunities in 2018 by sector BlueSteps Executive Career Outlook Report

9 Executives in the Consumer Goods sector and Professional Services sector are most likely to believe that the number of executive level roles will increase compared to last year, at fifty-two percent and fifty percent respectively. The Consumer Goods sector had the most improvement in their outlook for executive roles with sixty-seven percent more believing there will be more roles than last year. For the second year in a row, the Non- Profit section was least optimistic. The Expected Volume of Executive Roles by Global Leaders in Different Sectors Chart 11: Global executives predict the volume of executive job opportunities in 2018 by sector BlueSteps Executive Career Outlook Report - 9

10 Outlook by Function Board Directors and Chief Finance Officers are the most hopeful about the 2018 job market. Seventy-two percent of Board Directors and sixty-seven percent of CFOs believe this year s job market will be better than the prior s. CIOs and CTOs had a ninetyseven percent increase in the percentage of executives who are more optimistic about 2018 than 2017, bringing it to fifty-eight percent. The number of executive-level respondents who said they are less optimistic about the current year s executive job market than the previous year s market decreased across every functional role, showing overall, executives believe the executive job market is strong. Board Directors, CFOs and CHROs Are Most Optimistic About the Executive Job Market Chart 12: Optimism about the executive job market among global executives for 2018 by function. CFOs are bullish about the executive job market in Sixty-seven percent believe there will be an increase in the number of executive level positions and none expect a decrease. COOs are also very hopeful, with fifty-two percent stating there will be an increase in the number of executive level positions. Only forty-seven percent of CIOs and CTOs believe there will be more opportunities in They are also the only member of the C-Suite to have a decrease in the percentage of people expecting an increase in the amount of executive positions, with a twenty four percent decrease. This is in contrast to the outlook of AESC executive search consultants who believe CIOs and CTOs will have the second most growth in the number of roles in 2018, just behind CEOs at forty-six percent BlueSteps Executive Career Outlook Report

11 The Expected Volume of Executive Roles by Global Leaders in Different Functions Chart 13: Global executives predict the volume of executive job opportunities in 2018 by function Functions That AESC Executive Search Consultants Expect to Have the Most Growth Chart 14: Optimism about the executive job market among AESC member search consultants for 2018 for functional roles BlueSteps Executive Career Outlook Report - 11

12 Outlook by Country The Americas are the most optimistic with sixty-six percent of respondents in Latin America and fifty-seven percent in the United States and Canada believing the executive job market will grow in The Middle Eastern region is considerably less positive than the other regions globally. Only thirty-three percent of respondents from the area are more optimistic for this year and twenty-eight percent are less optimistic. Most Middle Eastern respondents who are less optimistic attribute it to a slower local economy and the regional business and political climate. Executive Optimism About the Executive Job Market by Global Regions Chart 15: Optimism about the executive job market among global executives for 2018 by geographic region BlueSteps Executive Career Outlook Report

13 While overall the European market is comparatively less optimistic than other regions, certain areas are much higher than the global average of fifty-four percent. Eighty-three percent of French and seventyfive percent of Nordic respondents expressed increased levels of optimism. Eighty percent of Brazilian executives expressed optimism, making them the second most positive geographic market after France. Management-level professionals in Greater China have the lowest level of optimism globally. Only twenty percent of respondents are more optimistic that the 2018 executive-level job market will perform better than it did the previous year; the majority, sixty-seven percent, expect no change in the job market. Executives from Countries Around the World Share Their Optimism on Executive Hiring Chart 16: Optimism about the executive job market among global executives for 2018 by country BlueSteps Executive Career Outlook Report - 13

14 Despite the lack of optimism by business leaders in Greater China, both AESC executive search consultants and executives worldwide believe the executive job market in Greater China will have some of the strongest growth in When asked which three markets they expect to have the most growth in 2018, both groups responded the United States, Greater China, and India, which can be attributed to the markets strong economic performances and positive business climates in A Comparison of Predictions on the 2018 Executive Job Market by Global Executives and AESC Members Chart 17: Global executives and AESC member search consultants predict which country will have the most growth in their 2018 job market. The demand for top talent in Asia remains driven by strong macroeconomic fundamentals particularly in markets such as China, Indonesia, and Singapore. Multinational companies that were once leveraging expatriate talent are now localizing their top teams. The region is at the forefront of adopting new technologies and business models, particularly in the area of mobile commerce and this creates new demand for innovative talent. - Fabrice Desmarescaux, AESC ASEAN Chair & Managing Partner, Eric Salmon Partners, Singapore BlueSteps Executive Career Outlook Report

15 France, Brazil and India Have Large Increases In Their Optimism Levels for the Executive Job Market Chart 18: Optimism about the executive job market among Global executives for 2018 by country compared to BlueSteps Executive Career Outlook Report - 15

16 AESC is the voice of excellence for the executive search and leadership consulting profession worldwide. Its rigorous Code of Professional Practice guides members in nearly 1,300 offices in 74 countries and beyond to serve as strategic advisors on behalf of their clients. In turn, AESC members are best positioned to provide companies with a competitive advantage the ability to find, attract and develop the best talent in the world and ensure that executives are successfully integrated. Copyright 2018 AESC. All Rights Reserved.