A staggering 94% of senior business leaders are grappling with ‘tech anxiety,’ according to a new study by global digital transformation consultancy, Kin + Carta. The phenomenon of tech anxiety is linked to the rapid pace of technological advancements, particularly in the areas of cybersecurity, AI, and machine learning. This sentiment is driving business leaders to increasingly invest in digital transformation.
What is ‘Tech anxiety’?
‘Tech anxiety’ is defined as the unsettling feeling experienced by senior leaders due to the swift advancements in technology, which raise concerns about the operational aspects of their businesses. Cybersecurity tops the list as the primary source of this anxiety, cited by 24% of respondents. Close behind are concerns related to artificial intelligence (AI) and machine learning (19%), followed by sustainability strategy and tracking (17%).
Priority investments to alleviate concerns
Among global companies, 15% of leaders plan to invest in AI and machine learning this year, making it the top priority. Cybersecurity comes in second, with 12% of executives indicating planned investments in this area. Additionally, a resounding 75% of leaders believe that it’s crucial to further invest in digital transformation initiatives within the next 12 months to mitigate this rising anxiety. More than half of the respondents (58%) have plans to increase spending in the upcoming year compared to previous years.
Report Highlights: 2024 leadership priorities in tech
The data comes from the ‘2024 Leadership Priorities in Tech’ report, which polled 800 senior business leaders across the US and UK. The respondents include a mix of individuals from the C-suite, senior VPs, VPs, and directors from organizations with over £800m turnover or $1bn+ in revenue.
The report emphasizes that the fast pace of technology change in AI, data, and cybersecurity is causing significant stress for business leaders across various sectors. As a result, managing these technological developments and associated risks has catapulted to the top of the corporate agenda.
Contributory factors to tech anxiety
The research identifies three main factors contributing to tech anxiety among business leaders:
1. Speed of Technological Change: 35%
2. Internal Skills Gap: 29%
3. Access to the Right Talent: 28%
The ethical and disruptive potential of AI
The study highlights the substantial potential for disruption and ethical implications connected with AI and machine learning. These emerging technologies are unsettling leaders because they have the power to significantly disrupt traditional ways of working.
Expert insights
Richard Neish, Global Chief Strategy Officer at Kin + Carta, noted that the anxiety among leadership appears to be triggered primarily by technologies and factors with disruptive potential. “We’ve seen reports about the significant impact of AI, but previous technologies like cloud, mobile, and even the birth of the World Wide Web have also completely altered how businesses operate,” said Neish.
He further adds that concerns such as data trust and internal skills gaps can be managed, provided businesses make the right investments.
The accelerating pace of technological advancements is causing a rise in ‘tech anxiety’ among senior business leaders. While cybersecurity remains the leading concern, close attention is being paid to emerging technologies like AI and machine learning. Investment in these areas is viewed as essential for companies to manage the rising levels of anxiety effectively and stay ahead in the market.
The key takeaway is that while technology moves at a lightning-fast pace, the concerns stemming from it can be managed. Organizations that proactively invest in digital transformation and adapt to the changing landscape are likely to fare better in the long run.
