Middle market firms in the U.S. and Canada see opportunity in their workforce
dynamics and technology advancements
CHICAGO, Oct. 9, 2024
/PRNewswire/ -- Aon plc (NYSE: AON), a leading global
professional services firm, and the National Center for the Middle
Market (NCMM) today announced the results of a new study,
Driving Growth: The Role of People, Risk, and Technology in
Middle Market Success. The survey of financial decision
makers across the U.S. and Canada
uncovers how middle market businesses leverage their people and
keep pace with their changing risk portfolio to achieve growth. The
comprehensive study found two top trends supporting growth of
middle market businesses: workforce dynamics and technology
advancements.
"Our research with the NCMM tells us the most successful middle
market businesses are focused on investing in their people and
unlocking potential with artificial intelligence (AI)," said
Don Ortegel, executive vice
president, North America at Aon.
"Aon is committed to providing middle market businesses the right
insights and expertise to help them grow while mitigating
ever-growing risks."
"NCMM studied a variety of topics over the years related to
middle market growth, but never specific deep dives into the topics
of talent, risk and technology," said Doug
Farren, managing director of NCMM. "The collaboration with
Aon will benefit middle market organizations looking for
data-driven insights and takeaways for implementation."
Workforce: Talent as a Differentiator
According to the study, high-growth businesses – defined as
those that reported 20 percent or higher annual increases in
revenue – recognize their workforce as a vital differentiator.
These businesses consistently report that people are critical to
their growth, with talent ranking as a top growth driver.
- Nearly a quarter (23 percent) of technology and business
services firms cite their people as the key differentiator of their
business model.
- High-growth businesses are also more likely to emphasize the
need for additional talent, signaling that scaling their workforce
is essential for continued success.
- Midsize organizations are struggling to create total rewards
programs to attract and retain key talent with 57 percent of
high-growth businesses struggling to sustain offering competitive
benefits and 47 percent of average-growth businesses
struggling.
"The research clearly shows that a strong, well-supported
workforce is at the heart of sustainable growth for middle market
businesses and highlights how businesses can attract and retain top
talent to maintain their competitive advantage," Ortegel said.
Technology: Cybersecurity and AI Adoption
Technology continues to play a pivotal role in shaping the
future of middle market businesses. However, with this rapid
technological adoption comes increased risk. According to the
study:
- Nearly a quarter (22 percent) of businesses now rank
cybersecurity as their top organizational risk, and nearly half (48
percent) of middle market businesses surveyed have experienced a
cyber breach in the past three years. Despite the cybersecurity
risks, only 30 percent of middle market firms have prioritized risk
management expertise in their hiring over the past 12 months. Among
high-growth businesses, this figure rises to just 38 percent.
- More than half (60 percent) of middle market businesses, and
notably, more than three-quarters (78 percent) of high-growth
firms, have made progress in adopting AI.
"Middle market firms are embracing technology at an impressive
pace, but the research shows there is still a gap in cybersecurity
preparedness," Ortegel said. "These insights provide valuable
benchmarking data to help businesses strike the balance between
innovation and risk management."
Aon is committed to expanding its presence in the fast-growing
middle-market segment, which was a key driver behind its
acquisition of NFP earlier this year and the investment in this
research with the NCMM.
The research was conducted through online surveys of 400
financial decision makers at middle market businesses across the
U.S. and Canada between
June 27, 2024, and July 17, 2024. Respondents included senior
leaders actively involved in financial decision-making at
businesses with more than 500 employees and annual revenue between
$50 million and $1 billion.
About Aon
Aon plc (NYSE: AON) exists to shape
decisions for the better — to protect and enrich the lives of
people around the world. Through actionable analytic insight,
globally integrated Risk Capital and Human Capital expertise, and
locally relevant solutions, our colleagues provide clients in over
120 countries with the clarity and confidence to make better risk
and people decisions that protect and grow their
businesses.
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About NCMM
The National Center for the Middle Market is the leading
source of knowledge, leadership and innovative research focused on
the U.S. middle market economy. The center provides critical data,
analysis, insights and perspectives to help accelerate growth,
increase competitiveness and create jobs for companies,
policymakers and other key stakeholders in this sector. Stay
connected to the center by contacting
middlemarketcenter@fisher.osu.edu.
Media Contact
mediainquiries@aon.com
Toll-free (U.S., Canada and Puerto
Rico): +1 833 751 8114
International: +1 312 381 3024
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SOURCE Aon plc
