Corporate affairs failing to capitalise on influence, report warns

New research findings indicate a significant divide between what chief executives want and what corporate affairs leaders are focusing on.

Corporate affairs leaders are failing to capitalise on the power they now hold in organisations, according to new research released last week.

The ‘Corporate Affairs in 2026’ report, released by the Global Communications Search Partnership, states that the function no longer operates “in the margins” and in most cases is “firmly established at its centre”.

More than half (56 per cent) of chief communications officers report directly to their chief executive. 

“There is widespread agreement at senior levels that reputation is a critical factor in shaping business decisions,” says the report, which draws on a survey of more than 200 senior corporate affairs leaders globally. 

Reputation mismatch

However, it warns that the function has “yet to clearly translate that importance into practice” and that “while influence has been established, clarity of purpose has not consistently kept pace”.

The priorities of corporate affairs leaders, the study says, “do not always align as closely as they might with those of the organisation’s leadership”.

As an example of this the report cites that while 92 per cent of respondents state their leadership understands the importance of reputation, just 63 per cent of corporate affairs leaders include reputation as one of their top three priorities.

It warns that this “points to a gap between what is understood at a conceptual level and what is being prioritised in practice”. 

Among the possible explanations given for this are: having growing remits with wider responsibilities, juggling competing demands, and a “perception of reputation as an outcome rather than the objective or purpose of the function itself”.

And there is a “distinction between awareness and action” the report states. For instance, although global geopolitical challenges are identified as the top concern facing the C-suite by 77 per cent of respondents, only 39 per cent see navigating geopolitical uncertainty as a priority. This suggests a “lack of clarity about how to respond in a structured way”. 

Tackling the AI challenge

Other findings include a gulf between the recognition of the challenge posed by AI and action to tackle it. While 94 per cent expect it to have a “profound or moderate impact on their work”, only 11 per cent have fully integrated AI into their work.

The report also highlights how 81 per cent of respondents report high levels of trust from their stakeholders despite the Edelman Trust Barometer indicating that only 64 per cent of the global population have trust in businesses. “The disconnect between internal confidence and external reality suggests a significant blind spot for the function,” it says.

The report concludes that corporate affairs leaders need to focus on what to prioritise and organise their teams accordingly: “The most effective teams are likely to be those that are highly focused, tightly aligned to business priorities, and more explicit about the role they play – rather than broader teams attempting to respond to an ever-expanding remit.”