Blimey! Corporate affairs folks are ambitious. In just under five years, they predict the function will have transformed into ‘a more strategic and commercially driven function critical to organisational success’. In fact, if there was a corporate affairs stock, they reckon it would be a ‘strong buy’ by 2030, arguing that the function is essential insurance for businesses navigating global volatility.

But there exists a wide discrepancy between that ambition (or cockiness!) and today’s reality. And, as Mike Tyson once said: ‘Everybody’s got a plan until they get punched in the face.’

The latest report from Deloitte, The Road to 2030: A study of Corporate Affairs functions in an unpredictable world, which builds on two previous reports, sets out a five-step progression plan to achieve such lofty ambitions.

• 2026: Growth & integration
  Transition to a proactive adviser by initiating cross-functional integration.

• 2027: Strategic presence
  Deepen strategic presence with consistent C-suite engagement.

• 2028: Human-agent function
  Leverage advanced AI for predictive insights and data-driven strategy.

• 2029: Commercial and lean
  Solidify corporate affairs as a strategic imperative with proven commercial value.

• 2030: Value and confidence
  Become an indispensable value driver with fully embedded AI for real-time insights. Act as the ultimate guardian of trust.

But sadly, to misquote Dorothy, we’re a long way from Kansas.

Firstly, there is a distinct lack of strategic awareness. Just 36 per cent of the 42 senior corporate affairs professionals surveyed have a clearly defined strategy while 24 per cent are currently in the process of developing one, and 28 per cent simply do without.

(It reminds me of a story I recently heard in which a comms professional bemoaned how the business strategy didn’t take her plans into account. Go figure!)

In fact, just 12 per cent claim they have a strategy that underpins the strategy of the business they serve. In other words, only five of those surveyed – and I would expect that Deloitte spoke to many of the industry’s leading practitioners, which doesn’t augur well for the wider sector.

As the report states: ‘A corporate affairs strategy is essential to provide clear direction to the function, align diverse efforts and maximise impact from limited resources.’ In other words, without a roadmap, how do you reach your destination? (Don’t say satnav!)

Similarly, just one in four have a formal AI strategy. Most corporate affairs leaders (67 per cent) are still AI-curious, experimenting rather than implementing, which seems remarkably lackadaisical for a technology which they predict will transform the way their functions work within two to three years, freeing it to move up the value chain into judgment and advisory work.  

But the perennial issue for corporate affairs is the measurement story. Too many – 69 per cent – depend on reputational metrics to demonstrate impact, although encouragingly half now use strategic indicators, and 26 per cent use economic indicators to demonstrate their contributions.

As the report states, a common challenge is ‘the struggle to obtain meaningful data that could act as valuable evidence to present to management. We can see many leaders still measure functional outputs rather than a combination of functional metrics and strategic or commercial outcomes’.

And too many still rely on anecdotal evidence, rather than data-driven insights. Imagine if the CFO started talking about ‘gut feelings’ or ‘feedback’ rather than citing facts and figures? Or even mentioned they could ‘see around corners’.

Ironically, at least to me, just eight cited measurement and the commercialisation of the function as a key priority for 2026. But it’s a nut that needs to be cracked if corporate affairs is to be taken seriously or even kept, because – let’s be honest – in this economic environment, the focus on costs is acute. And the report finds that CEOs are looking for clear links between corporate affairs and commercial outcomes.

Good counsel is the baseline, according to the report. ‘The differentiator is corporate affairs’ ability to evidence strategic and economic impact, making measurement maturity a key driver of trust, credibility and influence.’

Look, what do I know? I’m just a humble hack. But here’s my interpretation: by 2030, corporate affairs leaders predict their functions will be viewed as critical to business success. Yet, they concede there is still work to be done – and two of the key capabilities they view as crucial are AI fluency and economic measurement, of which the overwhelming majority have not even started to build.

Not fit for purpose

What is clear from the report is that the structure of today’s corporate affairs function needs to change. The legacy model was created in a world of greater institutional trust, economic stability and had a laser focus on media relations as a means to build reputation. Internal comms barely had a look in.

Today, the function operates in a disruptive environment – where internal is external, where society is polarised, where the media is fragmented, where geopolitical volatility is omnipresent, where disinformation and misinformation are rife, and where AI has the power to be the biggest disruptor of all.

It is no wonder, therefore, that 83 per cent of the teams in this survey are experiencing transformation, with two in three throwing out the old operating model to construct new centralised control functions, focused on the requisite skills for today’s environment and a better understanding of the commercial realities of business and strategic risks.

The era of soft power is over. They are investing in new capabilities, such as geopolitics, cyber crisis and AI training.

As the focus on purpose has toned down, there has been a deliberate pivot towards performance. The mot du jour is growth. In just three years, the percentage of corporate affairs directors who see themselves as growth agents has more than doubled to 43 per cent, according to the report.

And 40 per cent are investing in ‘high performance’, which is in itself a vague concept. It’s really a statement of intent. It is certainly not a demonstrated capability as yet. Even the report’s authors admit that many functions are still working to find and implement a plan for high performance.

But even with all the restructuring and refocusing, the report warns that if corporate affairs fails to navigate these issues, there is a risk – an alternative future, as it puts it – that the function could be broken up.

‘The failure to consistently demonstrate tangible economic value, and a trend for CEOs to deprioritise public leadership and corporate activism, could reduce the mandate to one of largely risk management,’ it warns. ‘In this future, corporate affairs faces the risk of being broken up or integrated into legal, investor relations or marketing functions.’ You have been warned.

The business side of things

The report doesn’t talk much about agencies, but what is clear is that even the most successful functions are subject to budget constraints or indeed cuts. Just under half – 49 per cent – cited the need to drive cost efficiencies, and an identical percentage is undergoing a capability reset.

They are looking to do more with less, as well as more internally with newly acquired skills, which will inevitably have an impact on agency spend. Several comms professionals that I have spoken to within the past few weeks were focused on agency spend, and where to cut back.

As they centralise control in line with their new operating models, moving away from siloed teams, it will be easier to spot any duplications or underperformance. And, in line with the new growth model, there will be a greater focus on results – campaigns for impact rather than brand awareness.

But I have also noticed a growing confidence among the more professionalised functions to act like an internal agency, undertaking work traditionally outsourced to external agencies, with a better handle on costs and a greater understanding of the brief. Indeed, some are actively promoting their services within their organisations.

As a consequence, there is much less appetite for the old ‘bait and switch’ approach of some corporate agencies. If the functions are paying top dollar for strategic counsel, it needs to be delivered by the top dogs.

Can we stop talking about seats at tables. Please

Each report to emerge on corporate affairs cites – with great authority – the percentage of corporate affairs directors that sit on the ExCo. But every percentage is different because, here’s the thing, they all measure something different.

I’ve seen numbers as high as 73 per cent, to my own calculations for the FTSE 100 earlier in the year, when I thought it was around 50 per cent.

But what is certainly true is that the percentage is not going up. Most reports seem to hover around between the 56 to 64 per cent mark – even when splicing together different countries, sectors or indices – and as a nerd who watches these things, I don’t believe that number has changed much over the past few years. Indeed, there is some evidence it is falling.

Does it matter? I’d argue that comes down to the strength of the relationship between corporate affairs and the CEO. I know some highly successful individuals who might not have had a seat, but certainly had the ear of the CEO and, in many cases, the chairman, and certainly had influence.

But it’s also high time that corporate affairs stopped fretting about status and started delivering. As one corporate affairs director asked me recently: is any other profession quite so prone to introspection? I’m not sure, but I’m just signing off to do some navel gazing.

There’s still time to enter the CorpComms Awards - we added an extra fortnight to the schedule, so please don’t say we are not helpful!

What is GEO?

Work in-house and confused about GEO? Well, fret no more. I am moderating a discussion between the aforementioned Kerry Parkin, founder of The Remarkables, and her GEO associate Celia Harding, founder of LEOPRD, to answer the thorny question of what AI is saying about your company.

Our chat will cover issues such as the role of earned media, authority signals and third-party validation in shaping AI content, as well as how to prepare for ‘always on’ reputation exposure.

It’s a free-to-attend breakfast discussion, taking place at the Covent Garden Hotel, on 30 June. Full deets are below. It is only open to in-house comms professionals, so if you’re an agency and try to sign up, don’t be surprised by the rejection.

Managing Reputation in the age of AI Leadership Briefing Tickets, Tuesday 30 June  •  8:30 AM - 10:30 AM | Eventbrite