Over the last two years, CEO focus has shifted significantly—and is now aimed squarely at productivity.
IBM’s annual 2026 CEO Study report, which tracks annual CEO priorities, saw productivity and profitability cited as the top priority in 2026, after rising steadily from fourth place in 2024 to second last year. At the same time, CEOs now rank productivity as their top challenge, up significantly from seventh place last year. Unsurprisingly, AI and technology modernization closely follow productivity on the list of 2026 CEO priorities.
Rising to these goals will require CEOs to entirely “rewire” the C-suite—from decision-making to authority distribution and, critically, AI deployment, IBM researchers write.
“CEOs will need to work with their C-suite leaders,” they say, “to build execution mechanisms, incentives and operating models all focused on driving these outcomes.” Key among that leadership team will be CHROs: Nearly 60% of CEOs surveyed predicted that the influence of their HR executives will grow in the next few years.
IBM recommends five ways to meet the demand for productivity and profitability in the age of AI.
- Rethink the C-suite for speed and clarity: IBM researchers say that leading-edge CEOs are recasting their top leadership bench and empowering them with more responsibility to drive business objectives. In particular, they are focusing on AI oversight—with more than three-quarters having a chief AI officer, compared to just 25% last year. However, they don’t see CAIOs as holding all the power: Eighty-five percent want all leaders to become tech experts.
- Create an AI-agent flywheel: Speed matters when it comes to AI deployment, but it’s not everything. AI must be integrated strategically, embedded in “end-to-end workflows” and supporting “tactical and operational decisions,” with humans in the loop to exercise judgement. As AI takes on more operational work, humans’ role will shift to “designing the decision logic, setting guardrails and stepping in only when exceptions carry material, ethical or strategic consequences,” IBM researchers write.
- Customize your “AI mix”: CEOs expect AI revenue boosts, but most can’t fully envision where they will come from. “In this environment,” they say, “competitive advantage will belong to those with the clearest vision.” That means not putting all of your bets on one type of AI model. The most promising visions include a mix: custom, foundational and specialized models, all tailored to specific business needs.
- Orchestrate human and artificial intelligence: CEOs who are rethinking their cross-functional teams are more than twice as likely to have met their business objectives, IBM found. Break down barriers across functions by focusing on decision rights, handoffs and collaborative flows. Letting functions evolve naturally improves performance incrementally, but improvement “compounds” when cross-functional teamwork is redesigned strategically.
- Expect unpredictable futures: Becoming AI-first is part of laying the foundation for the future, but it shouldn’t be treated as the end goal. For instance, quantum computing is a prime opportunity, with less than half of CEOs so far exploring use cases in a targeted way. “The same principles that enable AI-first transformation at scale become the foundation for quantum-era advantage,” IBM researchers write. “AI-driven systems don’t just improve efficiency. They create the strategic confidence and operational flexibility needed to unlock new possibilities.”
Credit: Source link
