Real Estate CEOs' Giant Hiring Blind Spot
Real estate chief executives are less likely than their peers in other sectors to hire the right people to adapt to the changes brought about by technology, according to a new report from PwC.
The research has cited technological change as a surprisingly large blind spot for real estate chief executives in general.
The way that technology is changing society dominates headlines and conversations across the world. But real estate chief executives are far less likely to recognise the threats and opportunities posed by technology than CEOs in other sectors, a survey of 1,300 CEOs in 85 countries showed.
Real estate is behind the curve when it comes to future talent, with just 43% of real estate CEOs rethinking their human resources function to attract digital talent, compared with 60% of CEOs overall.
“Our survey results suggest that real estate CEOs have some way to go if they are to meet digital disruption head on and reap the benefits," PwC Global Real Estate Leader Craig Hughes said. "In our view, this process should start through building a more diverse group of talent, including data scientists and behavioural experts, to work alongside their existing talent and build the real estate champions of tomorrow.”
Only 10% of real estate CEOs view the speed of technological change as a threat to their organisations, compared with 38% of all CEOs, PwC found. Only 17% cite cyberthreats as a danger to their growth prospects, compared with 40% of all CEOs who took part in the survey.
Looking at opportunities, only 20% of real estate CEOs said they clearly understand how robotics and artificial intelligence can improve customer services, compared with 47% of all CEOs.
“For most of its history, the capital-intensive real estate industry has had good reason to be slow moving and conservative," according to the report. "But times are changing. Technology, urbanisation and social changes are transforming how we live, work and play and therefore how we use real estate, meaning business leaders need to be bold and innovative if they will continue to succeed.”
