Across Africa, growth is still on the agenda, but the era of unchecked expansion is giving way to a more deliberate approach.
With volatile markets, shifting geopolitics, and rapid technological change, CEOs are rewriting the playbook to balance ambition with operational discipline.
For much of the modern corporate era, growth was the ultimate yardstick for CEO success. From the 1980s onward, chief executives were primarily judged on their ability to drive revenue, enter new markets, and maximise shareholder returns. This mindset has dominated boardrooms for decades, driven by investor expectations and performance-linked rewards.
While there have been brief periods of restraint during shocks – such as the 1990s debt crises, the global financial crisis, or the 2014–16 commodity downturn – these were typically short-lived, with rapid expansion quickly resuming once pressures eased.
Now, however, a more permanent shift is underway. Economic fragility, shifting trade routes, currency volatility, and geopolitical tensions – layered atop Africa’s persistent challenges of infrastructure gaps and constrained capital – are forcing companies to move beyond episodic caution.
The era when growth could resume unchecked after each shock is ending. Instead, discipline is moving to the centre of corporate strategy, not as a temporary or defensive tactic, but as the essential foundation for long-term success.
Against this backdrop, success is being re-examined: rapid, unchecked expansion can quickly unravel in today’s volatile markets. Companies are recognising that sustainable growth – not just speed – is essential for long-term survival and prosperity.
New research from the Oliver Wyman Forum and the New York Stock Exchange provides a compelling snapshot of this shift. Seven out of 10 CEOs now place cost management and operational rigour among their top three priorities, up sharply from just 39% a year ago.
This signals a new corporate era, where discipline isn’t a brake on growth but its essential enabler. Boards are formalising discipline through tighter investment gates: clear return targets and sharper scrutiny of working capital and execution risk.
This shift is strategic, not tactical. It is prompting African businesses to fundamentally reevaluate how they allocate capital, manage risks, and invest in people – reshaping organisational culture and redefining what it means to deliver value for all stakeholders.
From cost discipline to strategic investment
Today’s business leaders are not scaling back their ambitions; rather, they are demanding more from every rand, shilling, or naira invested.
The emphasis is shifting from chasing growth to ensuring each expansion delivers strong returns and operational efficiency.
Strategic cost reduction has become a lever to unlock investment in high-potential areas such as advanced technologies, market diversification, and building new organisational capabilities.
Instead of spreading resources thin across multiple ventures or markets, leading African companies are adopting sharper focus – prioritising those opportunities that demonstrate the highest long-term potential and resilience amid uncertainty. In telecoms, phased fintech rollouts prioritise high-adoption markets and unit-level profitability over blanket expansion.
Capital is shifting to proven, related offerings that generate cash quickly, rather than speculative new categories — a response to higher capital costs and currency volatility. Consumer-facing sectors are prioritising availability and affordability, rewarding operational excellence over expansion.
Innovation with discipline
This new age of discipline does not stifle innovation; it channels it. Across sectors, there is a clear pivot from speculative “moonshot” initiatives towards innovations that promise more immediate and tangible returns.
Technologies like artificial intelligence and machine learning are increasingly being deployed to address highly practical challenges – from automating compliance and streamlining supply chains to using predictive analytics for risk mitigation.
Globally, 95% of CEOs view AI as an opportunity, not a threat, our research shows. In Africa, pragmatic adoption of these technologies is already driving operational improvements, marking a decisive shift from theoretical experimentation to results-focused execution.
People and productivity
An equally important frontier is talent. In an environment where youth unemployment remains a serious concern, there is growing recognition that human capital is not just a cost but a strategic differentiator.
The instinct to cut headcount in the face of economic stress is giving way to an approach focused on reskilling and upskilling, with 87% of CEOs indicating support for workforce development – even as they automate certain processes.
Employers are redeploying towards data, risk, partnerships, and tech-enabled customer roles as automation absorbs rote work.
This people-first, productivity-driven approach doesn’t just protect employment, it positions African firms for leadership in industries where innovation and agility are increasingly dependent on skills rather than just scale.
Reskilling delivers most when paired with visible internal mobility pathways and performance-linked rewards — raising engagement and speeding adoption of new tools.
Geopolitics and resilience
African companies trading internationally face a complex matrix of risks, from volatile commodity prices and shifting regulatory regimes to disruptions across global supply chains.
While 89% of CEOs globally now see geopolitics as a significant threat, African firms are especially exposed due to concentrated markets and infrastructure constraints. Flashpoints include shipping chokepoints, port congestion, rail bottlenecks, and currency swings.
In response, more organisations are diversifying their supply bases and upgrading domestic capabilities to buffer against external shocks. Building resilience now sits at the heart of corporate strategy, combining rigorous risk analysis, local agility, and strong global partnerships.
Practically: multi-sourcing, selective localisation, and dual-route logistics, with scenario planning and stress tests as standard investment gates. Resilience planning also prices in longer lead times and higher working-capital needs, not just route diversification.
Delivering for the long term
The collective effect of these shifts is profound. By anchoring every expansion in disciplined cost management, targeted innovation, and strategic people investments, African CEOs are increasingly delivering steadier returns for investors, greater career opportunities for employees, and enhanced resilience in the face of ongoing uncertainty.
Pairing discipline with ambition can set the competitive benchmark for a new era – delivering steadier returns, deeper skills, and stronger resilience while positioning the continent for sustainable, inclusive growth.
By Paul Calvey, Managing Partner at Oliver Wyman South Africa
