Seven in ten Singapore business leaders are more stressed compared to previous year
Seven in ten Singapore business leaders are more stressed compared to previous year
29 May 2007, Singapore – In Asia, Singapore ranks 4th in the stress league table with 69% (7 out of 10) of the respondents indicating that they are more stressed this year than the previous year. Globally Singapore is in 6th position. Out of top 10 countries with the greatest increase in stress level, 7 are from Asia. This highlights the mounting stress levels in this region.
Mainland China’s business leaders report the highest level of stress in the world with eight out of ten (84%) reporting higher levels of stress compared to a year ago. Mainland China is followed by Taiwan (82%), India (79%) and Russia (76%). The Grant Thornton International Business Report (IBR) which covers the opinions of 7,200 privately owned businesses in 32 countries found that 56% of business leaders worldwide feel their stress levels have increased in the last year.
The increased stress level can be attributed to the favourable economic growth. In the Grant Thornton International Super Growth Index released in March 2007, Singapore ranked 9th globally; up from previous year’s 17th position. The number of “super growth” companies in Singapore increase by a significant 10% in 2006 to 21% in 2007; chalking-in the highest percentage in Asia. A big worry for businesses is raw material costs. 60% of Singapore businesses identify this as having a major impact on cost pressures
Business confidence is at an all time high in the Asian region with Singapore amongst the top four Asian economies with India, Philippines and Mainland China in the Optismism/Pessimision findings reported in the IBR January 2007, where business leaders were surveyed on their views and outlook for 2007. Such high business confidence is likely to lead to a manpower crunch as businesses compete for manpower skill. And combined with worries about competition from other emerging markets such as China and India, stress felt by Singapore business leaders are inevitably pushed up.
Mr Kon Yin Tong, Managing Partner, Foo Kon Tan Grant Thornton interpreted: “The need to grow their business and improve the bottom line has put an ever increasing pressure on the senior executives in Singapore. The stress level appears to be a reflection of the pace of growth in Singapore as these leaders strive to take advantage of domestic and global economic expansion.”
In comparison European business leaders are the least stressed with just 27% of Swedish business leaders reporting an increase in stress level, followed by Ireland (35%) and the UK, the Netherlands and France (all 37%). European Union (EU) and North American Free Trade Agreement (NAFTA) regions show an average of 43% claiming increases in stress, compared to 73% of respondents in East Asia.
Working hours
Despite the significant increase in the amount of stress, Singapore business leaders do not clinch the top positions for the average number of hours worked in the IBR research. At an average of 54 working hours per week, Singapore is ranked 9th. In contrast, Australia ranks 4th, with an average working week of 56 hours but has a stress increment of only 41%, below the global level of 56%. This suggests that the stress level is not necessary directly linked to the number of hours worked.
The 54-hour work week that Singapore business leaders have is almost the global average of 53 hours. Business leaders in emerging economies tend to work the longest hours with India and Argentina at the top of the league table, both at 57 hours a week, followed by Armenia, Australia and Botswana (all 56 hours a week). Italian business leaders work the shortest hours (47) a week in the world.
Commenting on the findings, Mr Kon Yin Tong, Managing Partner, Foo Kon Tan Grant Thornton said: “Globalisation and increasing technological advances have increased the pressure on business leaders to 'always be contactable'. The challenge for business leaders is how they can improve modern working practices to allow time to 'switch off' from the strains of increasingly demanding business lives - while remaining competitive.”
