More business leaders are moving their focus from inside the organisation to consumers, as they realise the power customers continue to hold over businesses.
According to IBM’s latest C-Suite Study, 60% of more than 4,000 global C-suite leaders said they plan on collaborating with customers in development of business strategies, with outperforming companies 545% more likely to already having done so.
However, the responsibility of providing a strong and valuable customer experience does not just fall on the shoulders of CEOs; 38% of CHROs surveyed said they want a stronger focus in the next three to five years on enhancing the customer experience, an increase from 28% today.
The report also found CHROs from outperforming companies were more likely to leverage on data analytics; 64% of outperforming companies already use data analytics when it comes to talent management, and 49% use it for performance evaluation, compared to 36% and 31% in underperforming companies, respectively.
“The HR function has a role to play in encouraging a less autocratic, more collaborative approach to leadership, introducing new performance management processes and bringing the organisation along,” a South African CHRO from a financial services firm said in the report.
Overall, the report also found CEOs are 27% more open to make their companies more transparent to stakeholders and customers in the last 12 months, from 44% in 2012 to 56% this year.
More than half (57%) of CEOs also said “customers now wield enormous influence in many enterprises”, and that the influence extends into providing input to the “strategic heartland of the business”.