CEOs say worst of economic crisis is over

Australian chief executives appear to have shaken off the avalanche of bad economic news and have declared that the worst of the economic crisis will soon be over. 

The CEO Institute’s survey of 226 Australian chief executives found 58% of chief executives expect conditions will “return to normal” in 2010 and just 35% of CEOs believe the business outlook will get worse in 2009.

The unexpectedly upbeat survey also found 27% of CEOs except their business outlook will have improved by the end of 2009.

Ken Gunn, the chairman and CEO of the CEO Institute, a peer network established to provide CEOs with support and education, admits the results surprised him. But he says CEOs remain on the hunt for positives despite the difficult conditions. 

“A number of our members believe that other companies in our industry will be believing all the hype around the doom and gloom and will start cutting back. What’s developing out there in the market place is a very nice pool of talented people. It’s time to pick up some pretty good people and muscle in on the market.”

“As one guy said, it’s back to basics. If we do that, we are going to fine.”

But CEOs are very unhappy with the Federal Government’s attempts to stimulate the economy, 75% declaring the Government is not doing enough to support business.

“Members just cannot understand why more is not being done to reduce employment costs, and support keeping people employed,” Gunn says.

“Members want to see more infrastructure expenditure and less consumer handouts … this is the way to create long-term jobs. There is a real anger out there about missed opportunities.”

The CEOs surveyed says their top three challenges were maintaining sales, refining their leadership style in lean times and motivating staff.

Related stories:

• CEOs shown the door as economy slows
• Execs are getting better at climbing the greasy pole