6. Geopolitical expert: tracking global events and their potential impacts on the business
CROs have long paid attention to the statements and policies of central banks around the world. Only recently have they had more reason to become experts on international relations. A full 83% of CROs say geopolitical risks will have a somewhat more significant effect (35%) or the same effect (48%) in five years than they do today. CRO and board concerns about geopolitical risk are likely even higher than our results indicated, given the global conflicts that began after the survey closed.
Geopolitical risk is evolving too. Looking beyond armed conflicts, trade tensions and disrupted supply chains could all hurt the industry. Increased cyber attacks (cited by 69% of CROs), a global economic slowdown (67%) and increased market volatility (65%) were cited as the most likely manifestations of geopolitical risk.
7. Change agent: providing strategic guidance on responsible risks
CROs are increasingly involved in critical strategic initiatives. Nearly half (46%) say they are engaged as key stakeholders in new product and growth opportunities associated with environment, social and governance (ESG) and with work on data management and quality frameworks. More than a third (35%) are involved with the adoption of transformative technologies (e.g., AI, machine learning), a figure that will surely increase in the future.
To fulfill their potential as strategic advisors to the business, CROs will need to help other leaders think through safe and responsible innovations that unlock sustainable growth without gaining a reputation for being a roadblock to innovation. CROs can promote transformation success making sure the board and senior business leaders recognize intersecting risks. A strong risk culture will help, too. The survey results show that more leaders will be concentrating on their role as change agent and culture champion in the future.