Dubai, UAE – The Middle East has emerged as a prominent player in global CEO appointments, securing 68 out of a total of 1,221 positions at the largest public listed companies worldwide. Heidrick & Struggles revealed in a report titled “Route to the Top 2023”. The countries contributing to these appointments include the UAE and Saudi Arabia.
The report reveals a distinct preference for experienced leadership in the Middle East, with companies in the region boasting the highest global percentage of CEOs with prior C-suite experience, standing at an impressive 90 percent. This surpasses well-established regions such as Asia-Pacific and Latin America.
Surprisingly, the Middle East also leads globally in terms of CEO age, boasting the youngest average CEO age at 54.5 years. The UAE takes the lead with an even more youthful average of 52.7 years, contrasting with the global average.
The report also underlines a strong inclination among Middle Eastern companies for global exposure, as they top the world in appointing CEOs with cross-border experience, reaching 50 percent. This surpasses even established business hubs like Europe and Asia-Pacific.
However, the report also sheds light on a concerning lack of gender diversity in the region. Only three percent of leaders appointed are women, which is less than half of the global average of 8 percent. In Saudi Arabia, there are no women appointed as CEOs, marking the lowest figure globally.
Maliha Jilani, Partner in Heidrick & Struggles’ Dubai office, emphasizes the importance of diversity in leadership, stating, “The continued trend of hiring more CEOs with cross-border and sector backgrounds is heartening as it reflects that organizations are increasingly seeing the value of diversity, especially in meeting longer-term strategic goals for their businesses.”
However, Jilani adds that there is room for improvement, particularly in terms of gender diversity, stating, “On the other hand, there are certain talent strategies that companies should start emphasizing, such as increasing gender diversity in leadership positions.”
Richard Guest, Partner-in-Charge at Heidrick & Struggles’ Middle East and North Africa, highlights the demand for experienced and ambitious leaders in the Middle East. He emphasizes the need for companies to prioritize CEO succession planning to navigate changes in the competitive landscape effectively.