A news item from Financial Executives International (FEI) made grim reading this week.
FEI Weekly reported on the ACCA/IMA Global Economic Conditions Survey (GECS) for Q2 2026 which delivered a stark picture:
- 76% of ACCA and IMA members surveyed globally reported increased operating costs in Q2, a record high.
- Cost increases driven primarily by surging commodity prices and supply chain disruptions resulting from the Middle East conflict.
- Amongst CFOs specifically, 83% reported increased costs, 20% higher than the prior quarter.
- Confidence amongst CFOs rose slightly in Q2 but remains the lowest since the start of the COVID pandemic in 2020.
- Cost pressures are elevated in major economic regions, but most notably in Western Europe and North America.
- 72% expect inflation in their country to increase over the next three months, and 42% expect interest rates to rise – up from just 16% in Q4 2025.
- Global Capital Expenditure and Employment indices are at relatively low levels by historical standards.
The question is “What’s the plan?”
Not specifically in terms of individual cost reduction tactics, but in terms of creating or reinforcing enterprise resilience.
“Does your enterprise have the resilience to operate profitably and sustainably under prolonged cost and trade pressures?”
“Organizations need strategies for sustained uncertainty, not strategies for waiting for clarity”.
Before your next meeting with the CFO, it is a good time to get ahead of the curve, to propose these twin-track plans as a balanced portfolio and a resilience play.
As a former boss of mine once said as a friendly 😉 warning “if you don’t make and execute the plan, you will be the target of the plan!”.
You can download the “Global Economic Conditions Survey: Q2, 2026” from ACCA and IMA here . . .
You can read more about Pareto Plans for P&L Impact here . . .
You can read more from Financial Executives International (FEI) here . . .
ACCA is the Association of Chartered Certified Accountants www.accaglobal.com
IMA is the Institute of Management Accountants www.imanet.org
Thanks for reading . . . .
Cost Pressures Surge in Q2 – What’s The Plan?