In 2026 Outlook, Ernst & Young Says CEOs Increasingly See AI as Productivity Enabler

Emmanuel Addeh in Abuja

Ernst & Young, a global professional services firm and one of the ‘Big Four’ has  said that chief executives are increasingly regarding Artificial Intelligence (AI) as a dependable enabler of productivity, revenue growth, customer experience and efficiency for the year ahead.

According to the EY-Parthenon 2026 CEO Outlook report, sustained transformation will separate leaders from laggards in an uncertain global environment, as the need to adapt and continue transforming to help navigate a volatile and changing environment has become imperatively paramount.

Geopolitics and technology are reshaping the global economy and business environment faster than ever, the report said, arguing that those who invest intentionally, rethink their operating models and use AI to accelerate change will create their own tailwinds and outpace competitors long before the environment stabilises.

With global inflation continuing to ease but remaining highly divergent, Ernst & Young stated that confidence remains resilient in two critical areas, namely talent and technology.

“CEOs continue to feel assured about attracting and retaining key capabilities, reflecting the maturing of hybrid work models, clearer employee value propositions and continued investment in skills. Equally, confidence in emerging technologies, including AI, automation and advanced analytics, remains strong, reflecting the transformative potential for productivity, customer experience, and long-term competitiveness.

“To navigate this uncertainty, CEOs should focus on three priorities: sharper cost discipline through productivity-driving investments such as AI; more precise pricing grounded in customer insight to protect margins; and a faster shift to skills-powered organizations, with teams equipped to scale new technologies and manage geopolitical and macro volatility,” the report said.

Some of the report findings revealed that CEOs who double down on people and technology while addressing cost and growth pressures head on will be best placed to create their own momentum in a challenging year ahead.

The survey report further highlighted that CEOs face continued geopolitical uncertainty and cost pressures but remain confident in driving growth through AI, talent and operational efficiency.

Global Vice Chair EY-Parthenon, Andrea Guerzoni, said: “2026 is not going to be a year of certainty, and CEOs know this. The winners will be those who actively rewire their capital allocation, navigate geopolitical complexity and focus on technology-led M&A to fashion flexible, resilient portfolios that are built not only to absorb further potential market shocks, but also to maximize opportunities presented by ongoing market volatility.”

The EY-Parthenon CEO Outlook Survey also pointed to a decline in global CEO sentiment from 83.0 to 78.5 quarter on quarter, driven by weakening demand, geopolitical instability, and rising operating costs.

Despite these challenges, it said that nearly 90 per cent of CEOs expect increases in revenue, profitability and productivity, believing they can achieve growth through operational efficiency and strategic investments in talent and technology.

For Anthony Oputa, EY Regional Managing Partner for West Africa, he believes that the global business environment faces myriad challenges ahead that demand even greater discipline, noting that slow and fragile economic growth will compel business leaders globally to make sharper choices about where and how to deploy investments.

“In terms of AI, broad experimentation is giving way to targeted scaling — identifying the business units where AI can accelerate productivity, transform decision-making, or unlock differentiated customer value.

“The key tension for 2026 is balancing short-term cost pressure with long-term competitiveness. For EY as a leading global professional service firm, we will continue to support the businesses across the globe to shape the future with confidence,” Oputa stated.

Key findings in the report indicated that transformation is a central theme, with 52 per cent of CEOs currently engaged in major initiatives and 45 per cent planning to begin in 2026. Key priorities include operational optimisation, customer engagement, and product innovation.

“Success requires embracing continuous reinvention and agile organisational models, with AI and automation playing crucial roles in enhancing productivity. Twenty per cent of business leaders reported that returns from AI investments have significantly exceeded expectations . This points to AI becoming a core capability that CEOs will need to treat as a multi-year strategic pillar — embedded in workforce planning, capital allocation, and operating model design.

“While volatility will persist in 2026, many companies believe they have laid the foundations for AI-driven transformation and digital resilience. Portfolio reshaping, strategic deals and efficient programmes — often powered by AI and automation — are now giving CEOs a stronger baseline to navigate disruption with confidence,” the report explained.