KPMG: How can CEOs Lead Through Business Uncertainties?

The role of the CEO is constantly changing, with leaders fighting to stay ahead of the curve of technological developments amid a complex business environment.

According to the 2025 KPMG CEO Outlook, forward-thinking leaders are making decisive actions around growth, risk and innovation.

No matter what industry they are leading in, every senior leader faces the challenge to design operating models that are built for ongoing change, particularly in cybersecurity, compliance and technology resilience.

The survey found that 86% of US CEOs are confident about the country’s growth prospects, and 84% are optimistic about their own organisations’ market advancement.

However, 79% have already adjusted strategy in response to changing conditions - KPMG highlights this as a sign of the importance of agility.

Tim Walsh, Chair and CEO of KPMG US, says: “The CEO role is evolving and increasingly multi-dimensional as expectations become more expansive.

“But CEOs are leading with confidence, leaning into new skillsets and adaptability as they position their organisations for success in years to come.”

Increasing risk resilience 

KPMG outlines what executives should be paying attention to right now to stay agile in times of uncertainty.

The consulting firm recognises that the C-suite approach to leadership is evolving quickly to elevate cybersecurity, compliance and digital resilience to the top of the agendas. Its findings about US CEOs include:

• Extreme concern about fraud detection and prevention (65%)
• Identity theft and data privacy are major concerns and leadership priorities (52%)
• Recognise vulnerability to cyberattacks as a key threat their organisations are addressing (45%)

For forward-thinking leaders to lead with clarity, KPMG outlines three ways to turn turbulence into transformation:

1. Pursue growth with eyes wide open

The survey shows that leaders are realistic about hurdles in the way of growth opportunities, with 89% saying tariffs will significantly affect business performance over the next three years and 84% concerned that at least one AI-native company will displace an official in their industry.

KPMG says that visionary leaders are using pressures such as tariffs, cyber threats and regulatory changes for innovation - from strengthening digital resilience to reimagining supply chains.

2. AI as a top investment priority 

KPMG predicts that nearly every key innovation in the next three to five years will be shaped by AI adoption, requiring effective integration with the workforce and robust governance to ensure trust.

Seventy four percent of CEOs in the survey ranked AI as a top investment priority to dispute economic uncertainty and 69% plan to allocate 10-20% of their budgets to AI initiatives within the next year.

However, only 13% feel “very confident” that their organisations are ahead of the curve on AI adoption and most admit they’re still catching up, so KPMG suggests that leaders need to commit resources to improving data quality and aligning with strategic partners to capitalise on AI as the next growth engine.

Those who invest in agentic AI as part of business strategy, in particular, will help leaders capture exponential value and those who don’t will be left behind, the company says.

3. A hybrid AI-human workforce

Humans and AI agents working side-by-side is rapidly becoming the norm in organisations, bringing together human creativity and the scalability of AI.

More than half of CEOs are concerned about the impact of AI on company culture and 865 expect managers to oversee multiple AI agents as part of their roles in years ahead.

KPMG says: “Success will depend not just on technical integration, but on building trust between people and intelligent agents through intentional systems for governance, upskilling and communication.”

Discussing the findings, Bill Thomas, KPMG International CEO, said at the time: “Ultimately, the leaders who can embrace market volatility and focus investments in the right strategic areas or their organisation will be the ones best placed to unlock new opportunities and build sustainable long-term growth.”