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THEBCGCEOINSOMNIAINDEX|SECONDEDITION

MostCEOsThinkTheirEmployeesTrustThemonAI.They'reWrong.

October2026

Contents

03ExecutiveSummary

05CEOStressDashboard

07CEOsOverestimateHowMuchEmployeesTrustThem

13AsBusinessPressuresMount,CEOsHaveLessTimetoBuildTrust

16CFOsintheHotSeatasCEOsQuestionTheirSeniorTeams

18OneinThreeCEOsConsiderSteppingDown

21Methodology

22FeaturedExperts

ExecutiveSummary

AmbitionmaybelongtoCEOs,buttheabilitytorealizeitbelongstotheiremployees.Rarelyhasthatbargainmatteredmore

thantoday.Asleadersacrossindustriesseektoreinventtheir

businesseswithAl,successwilldependinnosmallparton

whetheremployeestrustthemenoughtoembracethechange.

Andrightnow,manychiefexecutivesarevastlyoverestimatingjusthowmuchtrusttheiremployeesplaceinthem.

Nearly90%ofCEOssaytheyareconfidentorvery

confidentthattheiremployeestrusttheirleadership.Butonly46%ofemployeesagree,accordingtothesecondeditionoftheBCGCEOInsomniaIndex.

ThedisconnectishappeningatatimewhenCEOsare

feelinglessstressedoverall,withAlrankinginthebottomhalfof12majorfactorskeepingthemupatnight.ButaskemployeeshowtheirCEOapproachesAI,workforce

transitions,andemployeewell-being,andthetrustcalculusleadersarebankingoncollapses.

·Only15%ofCEOsareconcernedthattheirapproachtoAltransformationcoulderodeemployeetrust.But40%ofemployeessaytheirCEOhasnotbeentransparentenoughaboutAI'simpactontheirrolesandcareer

opportunities.

·Nearly70%ofCEOsareconfidentthattheiremployeestrustthemtoprioritizetheirwell-beingwhendecidinghowtofundcriticalbusinesspriorities.Butonly36%ofemployeesagree.

WhenaskedtoelaborateonspecificCEObehaviors,

employeecommentsstronglysuggestthattheyare

experiencingAlassomethingbeingdonetothem,ratherthanwiththem.One,forexample,saidtheirCEOkeeps“gushingaboutAlandhowitcouldincreaseprofitsattheexpenseofourjobs.”

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION3

EmployeeperceptionsoftheirCEO’sAIstewardship

sharplycoincidewithhowwillingtheyaretoputinextraeffortatwork.

•50%ofemployeeswhosaytheirCEO’sapproachtoAI

hasincreasedtheirtrustaremorewillingtogoabove

andbeyondatworkthantheywerethreemonthsago.

ButamongthosewhosaytheirCEO’sleadershipand

communicationonAIhaveerodedtheirtrust,fewerthan10%arewillingtogotheextramile.

ThatdifferencegivesCEOsplentyofreasontopayattentiontogrowingemployeediscontent.Butnearly60%saytheyareunconcernedbyrisinglevelsofemployeedisgruntlement.

Whenaskedwhy,manyleaderssaidtheybelievetheyarealreadydoingenoughtokeepemployeessatisfied.

ThissuggeststhatmanyCEOsaremisjudgingwhat

“enough”nowrequires.Whereasearliertechnologies

automateddiscretetasksthatmakeupknowledgework,AIagentsincreasinglyperformthelower-levelknowledge

workitself.BCGexpertscautionthatwithoutproper

trainingandaclearpictureofhowAIwillchangetheirjobs,employeesmayfearthey’rebecomingdispensable.

Overcomingthosefearswillrequiregreatervisibility,

communication,andengagementfromCEOs.Butit’s

fallingatatimewhentheirattentionhasneverbeenatagreaterpremium.

AsnotedinourinauguralInsomniaIndex,near-term

pressuresaresqueezingCEObandwidth,andourlatestsurveysconfirmthattheproblemisgettingworse:

•60%ofCEOssaynear-termpressuresconsumea

disproportionateshareoftheirtime,a3-percentage-pointincreasefromourinauguralsurvey.Amongleadersofthelargestcompaniesinourstudy,thatfigurerisesto68%.

•Only63%ofCEOsareconfidenttheirseniorleadership

teamscanexecutetheirvisionoverthenexttwotofour

quarters,puttingmoreoftheonusforexecutiononCEOs.

•Nearly60%ofCEOsplantoreplaceamemberoftheirseniorteaminthenextsixmonths,withCFOstoppingtheturnoverlist.

Relationswithemployeesarenottheonlycasualtyofthisleadershipbottleneck.NearlyhalfofCEOssaytheyoften

orveryoftenputoffactivitiesthatsupporttheirphysical

andmentalwell-being.Andjustoverathird(34%)saytheyhaveconsideredsteppingdownatsomepointinthepast

sixmonths,afigurethatjumpstoover40%amongCEOsofthelargestcompaniesinourstudy.

Thefullreportthatfollows,basedonglobalsurveysof645CEOsand500nonexecutiveemployees,andourCEOJob

SecurityModel,exploresourfindingsingreaterdetail.(SeeMethodology.)ItalsooutlinespracticalactionsCEOscantaketobettermanagenear-termpressures,fostergreatertrustwithemployees,andleadAItransformationsthat

leavepeoplefeelingempoweredbychangeratherthanthreatenedbyit.

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION4

THEBCGCEOINSOMNIAINDEX

BOSTONCONSULTINGGROUP

SECONDEDITION5

CEOStressDashboard

TheCEOStressDashboard

providesanoverviewofcurrentstresslevels,theirkeydrivers,andhowtheyhavechanged

sincetheprevioussurvey.

Thecurrentreadingis64.2outof100,downfrom66.7inourinauguralindex,indicatingmoderateperceivedstress.(SeeleftforStressMeter.)Meanscoresforthetop

stressorsandstakeholdersalsodeclinedfromtheprevioussurvey.(SeeExhibit1andExhibit2.)

NONECEOSTRESSMETEREXTREME

64.2

Previousscore:66.7

Q:Duringthepastquarter,howwouldyourateyour

overalllevelofjob-relatedstress,with‘O'meaningno

stressand'100'meaningextremestress?

Source:BCGCEOInsomniaIndexSurvey,June-July2026(n=645).

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION6

EXHIBIT1

TheSourcesofCEOStress

WhatdoyouanticipatewillbethemoststressfulpartofbeingaCEOinthenextsixmonths?

68.9

Meetinggrowthtargets

64.0

Managingcosts

58.8

Meetingexpectationsoftheboard

55.0

ManaginggeopoliticalandtraderisksThesatisfactionofmyworkforce46.751.2

MyC-suite’scapability

Buildingalegacythatendures44.2 Generatingbottom-linevaluefromourAIinvestment44.0 BeingthetargetofacybersecurityattackMyabilitytoleadmycompany

Negativemediacoverage29.228.6

Navigatingpressurefromshareholderactivists

NostressAVERAGESTRESSSCOREExtremestress

PreviousCurrent

Source:BCGCEOInsomniaIndexSurvey,June–July2026(n=645).

Note:Participantswereaskedtorateeachfactorintermsofhowmuchstresstheypredictedeachelementwouldcausethem,with‘0’beingnostressatalland‘100’beingextremestress.Thiseditionadded“Beingthetargetofacybersecurityattack”asanewstressor,andamended“Maintainingmyreputation”tobe“Negativemediacoverage.”

EXHIBIT2

LeadersFaceScrutinyfromaDiverseSetofStakeholders

Rateeachstakeholderintermsofhowmuchstresstheyhavecausedyouinthepreviousquarter

Boardofdirectors

54.4

Employees

53.4

Seniorleadershipteam

52.1

Governmentregulators

51.0

Media

30.3

Equityresearchanalysts

26.7

Shareholderactivists

25.6

NostressAVERAGESTRESSSCOREExtremestressPreviousCurrent

Source:BCGCEOInsomniaIndexSurvey,June–July2026(n=645).

Note:Participantswereaskedtorateeachstakeholderintermsofhowmuchstresstheycausedinthepreviousquarter,with‘0’beingnostressatalland‘100’beingextremestress.Thiseditionadded“Governmentregulators”asanewstakeholdergroupandremoved“Socialandenvironmentalactivists.”

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION7

CEOsOverestimateHowMuchEmployeesTrustThem

TrustistheessentiallinkbetweenaCEO'sambitionandemployees'willingnesstodeliveronit.

ThatmattersmorethaneverasCEOsleadAl

transformationsthatcoulddeterminetheircompanies'

competitivenessforyears,ifnotdecadestocome.Butthe

datasuggestthatmanyareseriouslymisreadingwhere

theystandwithemployees.

Nearly90%ofCEOsareconfidentthattheiremployeestrusttheirleadership.Butonly46%ofemployeesare

confidentintheirCEO'sleadership,judgment,andvision.(SeeExhibit3.)

"Historically,there'salwaysbeenthisperceptiongap,"saysJulieBedard,BCGmanagingdirectorandpartner,anda

memberofthefirm'sglobalAlleadershipteam."Leadershipteams,includingCEOs,sometimesoverestimatethistypeoftrust,andIthinkithasonlyincreasedastherelationship

betweenemployerandemployeebecomesmoretransactionalinsomecompanies.”

Thetrustperceptiongapextendstooneofthemost

personaldimensionsoftheemployeeexperience:well-being.Nearly70%ofCEOsareconfidentthatemployeestrustthemtoprioritizetheirwell-beingwhenfunding

criticalbusinesspriorities.Only36%ofemployeesagree.(SeeExhibit4.)

EXHIBIT3

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION8

TheCEOandEmployeePerceptionGap

WEASKEDEMPLOYEES

“HowconfidentareyouinyourCEO’sleadership,judgment,andvisionforthefuture?”

WEASKEDCEOS

“Howconfidentareyouthatemployeesacrossyourorganizationtrustyourleadership?”

16%

1%

37%

13%

61%

31%

87%

46%

26%

15%

NotconfidentSomewhatconfidentConfidentVeryconfident

Source:BCGInsomniaIndex,June–July2026(n=645)andBCGInsomniaIndexEmployeeCounterview(n=500).

EXHIBIT4

TheCEOandEmployeeWell-BeingTrustPerceptionGap

WEASKEDCEOS

WEASKEDEMPLOYEES

“HowconfidentareyouthatyourCEOconsiders

employeewell-beingalongsidebusinessneedswhenmakingmajorworkforcedecisions?”

“Howconfidentareyouthatyouremployeestrustyoutoprioritizetheirwell-beingwhendecidinghowtofundcriticalbusinesspriorities?”

4%

22%

27%

42%

23%

54%

69%

36%

15%

13%

NotconfidentSomewhatconfidentConfidentVeryconfident

Source:BCGInsomniaIndex,June–July2026(n=645)andBCGInsomniaIndexEmployeeCounterview(n=500).

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION9

“Wejudgeourselvesbyourintentionsandjudgeeveryone

elsebytheiractions,”saysJuliaDhar,BCGmanagingdirectorandpartnerandco-authorofthebestsellerHowChange

ReallyWorks.“ACEOexperiencesahardcallasadefensibletrade-off.Anemployeeonlyseestheoutcome,becausethereasoningbehinditwasnevermadevisibletothem.”

Indeed,conversationssurroundingthefundingofcriticalbusinessprioritieshappenbeyondtheviewofemployees.

“Thereissomuchthattheemployeedoesn’tseewhenitcomestohowCEOsfightforthemintheboardroom,”saysDavidMartin,BCGmanagingdirectorandseniorpartnerandheadofitsPeopleandOrganizationalPractice.“CEOsknowwhat’sontheirhearts.Theyjusthavetodomoretoconveythatappropriately,”hesays.

ThePriceofUnderestimatinganAITrustCrisis

TheCEO-employeetrustgapcomesintosharpfocus

aroundAItransparency.Just15%ofCEOsworrytheirAI

transformationcoulderodeemployeetrust.But40%of

employeessaytheirCEOhasnotbeenforthcomingenoughaboutAI’simpactontheirrolesandcareers.Andfewer

than10%givetheirCEOtopmarksforexplaininghowAIwillaffectjobs.(SeeExhibit5.)

“Thisisamomentwhereemployeesaretryingto

understandifCEOsreallyknowwhatthefuturelookslike,”saysMartin.“Theywanttoknowiftheyhaveaplan.”

Wheninvitedtocommentontheirfeelings,employees

didn’tholdback.OnesaidtheirCEO“isplayinggameswithAI,anditiscreatinganxietyandmakingpeoplemore

uptight.”Anotherquestionedwhetherexecutivesweretrulyengaged,writing,“sometimesit’slikethey’renotbothered.”

CEOsdorecognizethatemployeesareanxiousaboutAI.

Asoneputit,“AIisfuelinganxiety,andwecan’tguaranteepeople’sjobstotheextenttheywant.”

Allayingthoseanxietiesandbuildingtrustisnotjustamatterofkeepingupmorale.Trusttrackscloselywithhowmuch

employeesarewillingtogiveatwork,whichcouldprovetobeadecisivesuccessfactorwhenAIisredefiningroles.

EXHIBIT5

EmployeeViewonCEOAITransparency

HowtransparenthasyourCEObeenabouttheimpactAIcouldhave

onemployees’rolesandcareeropportunities?

21%

Nottransparentatall

19%

Slightly

transparent

24%

Moderatelytransparent

28%

Very

transparent

8%

Extremelytransparent

Source:BCGInsomniaIndexEmployeeCounterview(n=500).

Note:Answersto“Nottransparentatall”and“Slightlytransparent”wereusedtodeterminethepercentageofemployeeswhodonotthinktheirCEOhasbeentransparentenough.Thetopmarksdesignationisdeterminedbythepercentagewhoanswered“Extremelytransparent.”

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION10

AmongemployeeswhosaytheirCEO’sleadershipand

communicationonAIerodedtheirtrust,fewerthan10%saytheyaremorewillingtogoaboveandbeyondintheirrolesthantheywerethreemonthsago.But50%ofemployees

whosaytheirCEO’sstewardshipofAIincreasedtheirtrustarewillingtogotheextramile.(SeeExhibit6.)

Fortheirpart,CEOsappeartobemoreconcernedwith

familiarthreatstoemployeetrustthanthoseposedbyAI.Whenaskedtochoosethebiggesttrustbusterfromalistoffive,thelargestshareofCEOscitedcost-cuttingmeasures,suchasworkforcereductions.Thesmallestsharecited

AI-drivenworkforcechangesandautomation,whilecommunicationandleadershiptransparencyrankedsecond.(SeeExhibit7.)

EXHIBIT6

TrustIstheSuccessMultiplierforAITransformation

WorkethicdistributionbasedontrustintheCEO’sleadershipduringAItransformation

14%

24%

62%

8%

50%

41%

Somewhatandmuchlesswillingtogo

“aboveandbeyond”

Aboutthesame

willingnesstogo

“aboveandbeyond”

Somewhatandmuchmorewillingtogo

“aboveandbeyond”

9%

26%

66%

DecreasedtrustNoimpacttotrustIncreasedtrust

Source:BCGInsomniaIndexEmployeeCounterview(n=500).

Note:Wecomparedresponsestothequestions,“TowhatextenthasyourCEO’sleadershipandcommunicationduringyourorganization’sAItransformationaffectedyourtrustinthem?”and“Comparedwiththreemonthsago,howwillingareyoutogoaboveandbeyondinyourrole?”Instanceswherepercentagesdonotaddupto100%areduetorounding.

EXHIBIT7

EmployeeTrustbusters

Whichofthefollowingposesthegreatestrisktoemployeetrustinyourleadership?

Cost-cuttingmeasures,suchasworkforcereductions

31%

Poorcommunicationorlackoftransparencyfromleadership

24%

Employeeburnoutandunsustainableworkloads

18%

Perceivedinconsistencybetweencompanyvaluesandleadershipactions

14%

AI-drivenworkforcechangesandautomationconcerns

13%

Source:BCGInsomniaIndex,June–July2026(n=645).

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION11

Thosefindingssuggestleadersdorecognizethatwords

matterwhendifficultdecisionsarebeingmade.Butwordsareonlypartofthetrust-buildingequation.

“CEOsassumethatsinceemployeesheartheirwords,

that’senoughtobuildtrust,butemployeesalsojudge

CEOsbytheiractions,”saysMatthiasTauber,BCG

managingdirectorandseniorpartnerandregionalchairforEurope,theMiddleEast,SouthAmericaandAfrica(EMESA).“CEOsmustberealisticintheirwordsand

consistentintheiractions.”

OneactionthatcouldbeespeciallypowerfulisgivingemployeestheskillstosucceedwithAI.

“CEOsaremassivelyunderestimatingthetrainingneededfortheirteamstobeabletouseAI,”saysBCGViceChair

AsiaPacificManagingDirector&SeniorPartnerNeeraj

Aggarwal.“Whenyouarenottrained,youareprobably

scaredbecauseyoumayfeelthatyou’rebecominguseless.”

CEOsmayalsounderestimatewhatmakesAIuniquely

unsettlingforemployees.Pastwavesoftechnology

automatedtaskswithinknowledgework.AIagentscantakeonsomeoftheworkthemselves.Thattectonicshiftcanfueldeeperuneaseatatimewhennearlyhalfof

employees(47%)alreadysayseniorleaderscontributetounnecessaryworkstress.

“It’snottheintentionofmanagement,butIthinktheyareunderestimatinghowstressfulitistoseethesenewtoolscomeandthenbetoldtodowhateveryoucanwiththem,”saysSylvainDuranton,managingdirectorandsenior

partnerandgloballeaderofBCGX,thetechbuildanddesigndivision.

CEOPRESSUREVALVE

BuildyourAIfluencyandthatofyouremployees.

ForCEOs,thepathforwardstartswithbuildingAIfluency,startingwiththeirown.

“AIisaveryfast-evolvingtopic,andIthinkCEOsgenuinelymaynotknowrightnowwhatit

meansforpeople’sjobs,”saysTauber.“That’swhyCEOsneedtoupskillthemselvesandreallydevelopthatpointofview.”

Atthesametime,CEOsneedtoshow

employeeshowAIwillchangetheirrolesbymakingthetoolsavailabletothem.

“Whatemployeesfearisn’tthetechnology.It’swhatthetechnologywilltakefromthembeforeanyonetellsthemwhatthatis,”saysDhar.

“TrustinanAIrolloutstartsthemomentpeoplegettheirhandsonthetool,notthemoment

they’retoldaboutit.”

Buttoolsalonearen’tenough.Peopleneed

structuredtrainingandtimetodoit.“Peoplearewillingtolearn,”saysAggarwal.“Theyjustdon’tknowiftheyhavetheluxuryoftimetolearn.”

AnAIfluencyladdercanmakethattransition

moreconcretebygivingleadersandemployeesclearbenchmarksforwheretheyareandwheretheycangonext.Italsocreatesashared

languagethatcanaccelerateAIadoptionacrosstheorganization.

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION12

CEOsThinkThey’reDoing

EnoughtoCreateTrust.ButEmployeeDiscontentCarries

aCost.

Whenaskedwhethertheywereconcernedaboutrising

employeedisgruntlement,58%ofCEOssaidtheywerenot.

Whilethatmaylooklikeindifference,whenaskedto

commentonwhy,manyleaderspointedtoeffortsalreadyunderwaytokeepemployeessatisfied.“Wetreat

employeeswithfairness,”onewrote.AnothercitedrisingengagementandtransparencyaroundAIimplementationasevidence.

WhenCEOsareconcernedwithemployeedisgruntlement,theytendtofocusnotonthesourceofthosefeelings,but

onhowtheycanimpactthebusiness.Asoneputit,

disgruntledemployees“canruintheculture.”Otherswarnedofmissedgrowthtargets,stagnation,andpoorresults.

CEOswhoaren’tworriedaboutemployeedisgruntlementhavesignificantlylowerstressscoresthanthosewhoare(58/100versus72/100).Butwhatisn’tkeepingCEOsupatnighttodaycouldbecomehardertoignoretomorrow.

Persistentdiscontentcaneventuallyshowupinemployeedepartures.Andforevery10-percentage-pointdropintheemployeenetentryrate1thelikelihoodofCEOexitrisesby15%.

CEOPRESSUREVALVE

Invitehardtruthsandfillthesilence.

CEOscannotaddressemployeedisgruntlementwithoutaclear-eyedviewofwhattheirpeopleareexperiencing.

“CEOsrememberthegoodtownhallandletthe20minutesofsilencethatfolloweditfade,”saysDhar.“Memoryeditsitselfunderpressure,whichiswhysixintenCEOsaren’tworriedabout

disgruntlementtheycannolongerseeclearly.”

Togaintrueperspective,uncomfortabletruthsmustreachthecorneroffice.

“AsaCEO,youneedgoodfeedbackloopsand

mechanismsinplace,”saysMartin.“Line

leadershipneedstoconveyamorerealisticviewofemployeesentiment,versustheCEOonly

hearingwhatmakesherorhimhappy.”

Theyalsoneedtoensureinformationflowsbothways,evenifCEOsaren’tsurewhattosay.

“WhenCEOsdon’thavealltheanswers,silencecancreateavacuumemployeesfillthemselves,”saysBedard.“Whenyoudon’tknowwhattosay,youactuallyneedtosaymore.Becausewhen

employeesaren’thearinganything,they’relefttomaketheirownassumptions.”

1.Employeenetentryrateisdefinedasthepercentagedifferencebetweenthenumberofnewhiresandthenumberofemployeeswholeave,relativetothetotalworkforceforagiventimeperiod.Ourcalculationisbasedonannualreportednumbers.

AsBusinessPressuresMount,CEOSHaveLessTimetoBuildTrust

Asnotedinourinaugural

index,meetinggrowthtargets,managingcosts,fulfillingboardexpectations,andnavigatinggeopoliticalrisksarepullingCEOs'attentiontoward

immediatechallenges.

Sixtypercentofleadersoverallsaynear-termpressuresconsumeadisproportionateshareoftheirtime—afigurethatrisesto68%forCEOsofthelargestcompaniesin

ourstudy.

CEOsalsofeelcompelledtoactonthosepressuresfirst.Morethanhalf(54%)oftenfeelpressuretoprioritizenear-termperformanceoverlong-termgrowthinvestments.

Ourresearchindicatesthatmuchofthatstressisfueledbytheboard.(SeeExhibit8.)

ThevelocityofchangeisalsoamajorsourceofpressureonCEOs,withmorethan40%ranking“movingtooslowlyto

respondtochangingmarketconditions"astheirtopconcern.(SeeExhibit9.)

“Theworldisuncertain,andwedon'tknowwhatitlookslikeintwoyears,"saysMartin."Becauseofthat,organizationsaregoingtohavetobeincrediblynimble,andtheyaregoingtohavetobeabletorespondtochangefaster.”

BOSTONCONSULTINGGROUP

THEBCGCEOINSOMNIAINDEX

SECONDEDITION13

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION14

EXHIBIT8

StressIsFueledbytheBoard

Whichstakeholdergroupismost

responsiblefordrivingupnear-termperformancepressures?

1%

3%

3%

5%

8%

39%

15%

27%

TheboardInvestorsSLT

CustomersRegulatorsEmployeesAnalysts

Media

Source:BCGInsomniaIndex,June–July2026(n=645).

Note:Onlyparticipantswhoanswered“often”or“veryoften”tothequestion“Howoftendoyoufeelpressuretoprioritizenear-termperformanceoverinvestmentsinlong-termgrowth?”wereaskedthisfollow-upquestion.Percentagesdonotaddupto100duetorounding.

EXHIBIT9

CEOsFearMovingTooSlowly

Whichofthefollowingconcernsyoumost?

20%

18%

12%

8%

Makingthewronginvestmentorbet

Missingamajoropportunity

Failingtomeet

boardorinvestor

expectations

Fallingbehind

competitorininnovation

ortransformation

42%

Movingtooslowly

torespondto

marketchanges

Source:BCGInsomniaIndex,June–July2026(n=645).

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION15

CEOPRESSUREVALVE

Inviteemployeestohelpshapethechangeandmakefailurealearningopportunity.

AsoperationaldemandscrowdtheCEOagenda,timeforbuildingemployeetrustbecomes

scarcer.It'sthereforeimperativethatCEOsmakebetteruseofthetimetheydosetasidefor

communicatingwiththerankandfile.

“Ahandfulofunscriptedconversationswith

frontlineemployeesdomorefortrustthana

polishedall-handsvideo,becausepeoplecantellthedifferencebetweenbeingtoldsomethingandbeingheard,"saysDhar."MostCEOsalready

havethathour;theyjustspenditproducingthevideoinstead."

LeaderscanalsogiveemployeesabiggersayinhowAlchangestheirwork.

"Leadersmustbetterunderstandthedayinthelifeofaworkerandthefrictionstheyruninto,

andhowandwhyAltoolscouldsupportthem,"saysMartin."Andemployeeswhoarepartofthiscreationprocesswillfeelmoreownershipovertheoutcome."

Employeesalsoneedtoknowthatfailureisnotadingagainstthem,butalearningopportunity.

“EveryCEOhasamentalmodelofhowmuch

failureisadmissible,andit'snotknowntothe

people,"saysAggarwal."So,ifyousay,'Look,

we'retryingtobebold.Pioneeringmeansthereisariskoffailure,butthatfailureisnotonyou,'Ithinkthatmessagesoothesthenerves.Atthe

sametime,itallowspeopletoembraceit,soyoucreateabitmoreofamoonshotmindset."

Permissiontofail,however,doesneed

boundaries.AggarwaladvisesCEOstobeexplicitaboutwhereexperimentationisencouragedandwheretheguardrailsarenonnegotiable,suchaswithcustomerdata.

BOSTONCONSULTINGGROUPTHEBCGCEOINSOMNIAINDEX|SECONDEDITION16

CFOsintheHotSeatasCEOSQuestionTheirSeniorTeams

Only63%ofCEOsareconfidenttheirseniorleadershipteamcanexecutetheirvisionoverthenexttwotofourquarters.

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