Six in 10 CEOs at mid-sized and small companies rank advances in AI technology as the single biggest variable affecting their operations next year, placing it well ahead of interest rates, tariff policies, and domestic regulation. The finding signals a decisive shift in how business leaders allocate strategic attention, with AI now framing budget decisions, hiring priorities, and long-term planning more than any macroeconomic or political factor.
According to a survey of 144 member-company CEOs conducted by corporate education firm Hunet, 61.1 percent of respondents named "advances in AI technology and changes in industry and business structure" as the top management variable for 2027. Global economic conditions and interest rates came second at 36.1 percent, a gap of 25 percentage points. Changes in the domestic political and regulatory environment followed at 33.3 percent, while trade and tariff policies of major economies such as the United States and China drew 22.2 percent.
AI anchors business planning from strategy to operations
The focus extends well beyond environmental scanning. When asked what they would prioritize most in drawing up next year's business plans, 47.2 percent of CEOs chose "AI and technological change" - again the highest response. The domestic economic and policy environment came next at 44.4 percent, followed by the global economic and industry outlook at 38.9 percent.
AI is not just a discussion topic. Asked how much AI would be reflected in their 2027 business plans, 41.7 percent said they would incorporate it into "major business and management strategies," while 22.2 percent said it would serve as a "core strategy." Together, nearly two-thirds of respondents are embedding AI at the strategic level. Only 2.8 percent said AI would not appear in their plans at all.
One CEO described the pressure to move fast without losing focus: "The market is changing so fast that we can't afford to miss new opportunities - but we can't chase every trend blindly either. Ultimately, we have to find what we do best."
Adoption accelerates, with product development leading
On-the-ground adoption is climbing steeply. A separate analysis by the Korea Research Institute for Vocational Education and Training, covering roughly 110,000 corporate observations, found that the AI utilization rate among domestic companies rose from 1.4 percent in 2017 to 9.2 percent in 2024 - a 6.5-fold increase. The pace has quickened recently, jumping from 4.3 percent in 2022 to 6.1 percent in 2023 and 9.2 percent in 2024.
Among companies already using AI, product and service development was the dominant application, cited by 59.3 percent of AI-adopting firms. Organizational management accounted for 11.6 percent, production processes for 10.5 percent, marketing strategy for 10.1 percent, and sales for 8.5 percent.
More than half of CEOs already pursuing company-wide AI transformation
AI transformation, often shortened to AX, is underway at a majority of surveyed firms. Some 38.9 percent of CEOs said their companies are pursuing AX in specific business units or divisions, while 19.4 percent said they are doing so company-wide - a combined 58.3 percent. Another 22.2 percent are still considering it, and 16.7 percent have no plans yet.
For executives mapping their own AI Strategy for CEOs, the survey underscores how quickly AI has moved from experimental technology to a boardroom priority. Resources focused on AI for Executives & Strategy can help leadership teams connect adoption timelines to business model decisions, rather than treating AI as a standalone IT project.
CEOs were relatively optimistic about the broader economy. When asked about South Korea's growth prospects for 2027, 47.2 percent said the economy would grow and 27.8 percent said it would hold steady. Some 22.2 percent predicted a contraction.
Why this matters for executives and strategy leaders
The survey makes one point clear: AI is no longer competing with other external risks for executive attention - it has separated from the pack. For strategy leaders, that means AI cannot be delegated downward as a technology procurement exercise. The CEOs surveyed are tying AI directly to business planning, product development, and organizational structure. If AI is the top variable shaping 2027 plans, the quality of a leadership team's AI fluency will directly affect the quality of its strategic choices. The risk is not just falling behind on technology, but misreading how customer expectations, competitor moves, and cost structures are shifting around it.
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