corporate leaders often say that people are their company<u+2019>s greatest asset. a new report suggests that some bosses may be changing their minds. when asked to rank their businesses<u+2019> most valuable asset, leaders said technology matters above all, according to a new report from korn ferry . employees didn't make the top five. the korn ferry institute, the research arm of the executive search and consulting firm, asked 800 chief executives and other top leaders at global firms about what they believe can generate profit for their companies and how workers fit into that vision. two-thirds said they believe technology will create greater value in the future than their workforce will, and 44% believe that automation, artificial intelligence and robotics will make people <u+201c>largely irrelevant<u+201d> in the years to come. coming a week after the election of donald trump, who vowed to bring good jobs back to the u.s. , the findings suggest that companies may be more eager to invest in technology than in making full-time hires. executives ranked two types of technology<u+2014>back-office infrastructure and customer-facing or product tech<u+2014>as the most valuable assets of their firms, along with culture, inventory and research and development. while culture refers to the internal values and conventions of an organization and its people, the report notes that the workforce overall rated low. nearly two-thirds of respondents said they <u+201c>see people as a bottom-line cost, not a top-line value generator,<u+201d> according to the report, while 40% said shareholders have pressured them to direct investment toward physical assets like technology. that perspective may signal a miscalculation, said jean-marc laouchez, a global managing director at korn ferry. according to an analysis by korn ferry and the centre for economics and business research, a british economic consulting firm, human capital represents potential value of $1.215 quadrillion to the global economy, based on the ability of people to perform labor and be productive over time. by comparison, current physical capital<u+2014>such as buildings and software<u+2014>is worth $521 trillion. executives have become bullish on assets like technology because it is easier to measure the impact of a software program than an employee, said mr. laouchez. he adds that bosses<u+2019> desire to immerse themselves in technology suggests they have grown frustrated with managing people. <u+201c>one of my clients recently said that people are <u+2018>messy,<u+2019> <u+201d> mr. laouchez said. <u+201c>even though from a macroeconomic perspective people are the most important asset, it<u+2019>s not easy to deal with them.<u+201d> (to be sure, a stronger focus on human capital would benefit korn ferry and its peers in the people-management and consulting business.) mr. laouchez added that paying attention to technology alone ignores the fact that people are needed to make the best use of technology. companies may spend money on a software system, but <u+201c>the differentiator is what you do with it, and that<u+2019>s about people.<u+201d> looking ahead, leaders said the five most prized assets in five years will be customer-facing technology and products, innovation/r&d, product/service, brand and real estate, according to the report. write to lauren weber at lauren.weber@wsj.com
ceos no longer say <u+2018>people are our greatest asset,<u+2019> according to new report  - wsj
lauren weber