The decline in oil prices has prompted a major economic transformation process in the GCC region. According to leading economists of the region, GCC governments to maintain financial stability and to avoid a deeper crisis in budget deficiencies must consider privatization, taxation and less funding on subsidies. TRENDS magazine and the INSEAD Business School launched the Top CEO Conference and Awards in Dubai on April 5 in which officials, business leaders and executives discussed the economic transformation process and the best ways to deal with the new challenges facing the region. During the one-day event, several speakers and panelists focused on issues that concerned both business and personnel endeavors. Ideas were exchanged to enhance cooperation and prepare regional CEOs to face major challenges of the economic decline that could be very disruptive to their businesses. The economic transformation process will require that CEOs, business and policy leaders be innovative and able to apply the necessary requirements to transform the economy and create jobs. The open dialogue among regional executives focused on ways to help improve their businesses and the economy. They highlighted the major challenges of the economic transformation, mainly, economic diversification, taxation, and the disruption in the old models of technology. Experts cautioned that corporate taxation is a major challenge to all businesses and CEOs need to be prepared to deal with a new business environment. In order to diversify the economy, panelists discussed the need for businesses to enhance productivity, increase revenues and promote international trade. They highlighted the importance of enforcing new policies to maintain good governance and property rights. They also called for new measures to revise the immigration policy in order to enhance the small population of experts needed to support the economic transformation process. They pushed for anti-corruption and transparency agendas in the region. The GCC region must invest in human capital and promote talented and qualified youth who can contribute to the economy. The speakers debated ways for business leaders to contribute to the development of talent by raising the quality of education to produce more innovators, code writers, software developers, mathematicians and scientists. Businesses in the Gulf have evolved from small enterprises into large conglomerates. As this transformation was taking place, the need arose for professional managers to run these businesses. Both the public and private sectors suffered due to the absence of professionals. Companies need more professionals for their businesses to prosper. Government policy reforms affect the economic performance and the well-being of citizens. Not enough is being done to boost innovation or streamline product and labor market regulation, which are critical aspects of today's productivity and equity. Policy makers need to accelerate monetary and fiscal reforms to introduce better conditions for investment and innovation that lead to higher productivity, better quality jobs and more growth that benefits all segments of society. Another issue of great importance is the cybersecurity market which is set to grow from $5.17 billion in 2014 to $9.56 billion in 2019. Cybercrime has been globally identified as the second most common form of economic crime reported in the Middle East. The speakers debated the best practices and safeguards and outlined the best strategies to handle cybercriminals. Cybersecurity measures should be taken seriously they warned as they constitute a major threat to all companies in the future. They concluded that with the emerging trends in e-commerce and online banking, companies should apply safety measures against any major breakdown in cybersecurity which can bring a company down. The latest statistics reveal that women in the GCC do not play a significant role in advancing the economy. Of the 12.1 million women in the working age group, only 3.3 million are employed. Although the empowerment of women has gained momentum in recent years in the Gulf region, very few women have made it to top senior positions in the corporate world. The economists discussed gender diversity and how it could enhance strategic decision making, produce better governance and create a closer understanding of target markets. They urged the business community to include policies in order to change negative attitudes, provide mentorship and influence a fair environment to promote women in boardrooms. The international Arab affairs magazine, Trends, in collaboration with INSEAD, the Harvard of Europe, initiated the top CEO awards to recognize the best management practices and inspire a greater level of proficiency in the Gulf. Julien Hawari, the Co-Chief Executive Officer of Mediaquest Corp., a leading publishing house in the region and the architect of the top-100 CEO awards, has demonstrated that a viable partnership between media and the corporate world can contribute to the region's economy and serve the interests of its competitive environment. — Samar Fatany is a radio broadcaster and writer. She can be reached at [email protected]
