In a survey of over 400 Australian business leaders, we at KPMG uncovered the top issues that keep people up at night.

The troubled backdrop to this year’s annual survey of business leaders has been reflected in the findings with the top three concerns of Australian CEOs reported being very much ‘nuts and bolts’ issues – the economy, the shortage of skilled staff, and cyber security.

These are notably different from a year ago, when their concerns involved staff working remotely, designing an ESG strategy, and ensuring diversity in organisational leadership.

Entering 2023, traditional concerns like revenue growth, the training and up-skilling of staff, and operational security (albeit now with a technology focus) have re-emerged as priority areas for business leaders. In terms of the economy, the outlook at home and globally is one of slowing demand, higher interest rates, normalising supply chains and moderating government spending. 

It is therefore unsurprising that more than three-quarters of respondents identified “talent acquisition, retention and re/upskilling to meet a more digitised future” as the number one challenge facing them today. There is no quick fix either, with more than 60 per cent of respondents identifying this as the key issue they need to address over the medium term (3-5 years). 

KPMG Australia has also set out proposals to improve our migration visa systems, which will hopefully help to address the talent problems. Our survey respondents rightly acknowledge they need to implement actions to keep talented staff, and provide a work environment that fosters learning, development and growth.

Top 5 challenges in 2023

• 77% – Talent acquisition, retention and re/upskilling to meet a more digitised future 
• 45% – Digital transformation and optimisation, and extracting organisational value from it 
• 40% – Dealing with cyber risks
• 35% – Dealing with evolving regulatory processes, reporting changes and impacts 
• 35% – The need for greater agility and flexibility in your organisation to meet opportunities and challenges

Top 5 challenges in 3 – 5 years 

• 61% – Talent acquisition, retention and re/upskilling to meet a more digitised future 
• 43% – Digital transformation and optimisation, and extracting organisational value from it
• 43% – Dealing with cyber risks
• 40% – Identifying and growing future market segments and/or innovation opportunities for growth
• 35% – Dealing with evolving regulatory processes, reporting changes and impacts

Nonetheless, the natural optimism that Hunter business leaders possess is still present despite the clouds gathering on the horizon. Hunter businesses are adept at constantly evolving and this shines through at every level. 

You can read more on this issue via our blog on the KPMG website.