Aviation Executives Express Doubts Over Strategies to Manage Future Risks

In a recent report published by Willis Towers Watson (WTW) on July 21, 2025, only 30% of surveyed aviation executives expressed confidence in their current strategies for managing emerging risks over the next decade. The study, which involved input from 130 senior executives in the aviation sector, revealed that half of the respondents are uncertain about the resilience of their existing business models in the face of evolving challenges. Alarmingly, 80% of senior decision-makers and 90% of risk management team members could not clearly define what constitutes 'emerging risk' for their organizations.

The report highlighted climate change as a significant concern, with nearly 30% of executives identifying it among their top five emerging risks. Climate-related issues not only pose operational and financial threats but also impact stakeholder trust, particularly for organizations managing fixed assets like airports and fuel suppliers. Furthermore, half of the participants anticipated environmental risks to remain a major concern for the next ten years.

Geopolitical and economic uncertainties were also prominent, cited by respondents as key factors influencing strategic planning and business opportunities. Elements such as financial shocks, geopolitical instability, shifting government policies, and trade sanctions were recognized as interconnected challenges affecting all aviation businesses. WTW noted an existing gap in insurance coverage related to these risks, indicating an unmet demand for tailored risk transfer solutions.

Cybersecurity emerged as another critical concern, with 11% of executives ranking it as the most pressing immediate threat, alongside supply chain issues. With aviation companies managing essential national infrastructure, they are particularly susceptible to cyberattacks. The report indicated that developments in artificial intelligence (AI) could enhance both cyber threats and defenses, with one-third of respondents marking AI as their most significant short-term concern.

John Rooley, CEO of Willis Aviation & Space, emphasized the need for the aviation industry to reevaluate its approach to managing emerging and interconnected risks. He stated, "The challenges we face today, whether it’s the implications of AI, cyberattacks, disruptions to the global supply chain, or energy transition, demand a proactive stance that embraces adaptability and resilience."

The WTW report underscores the urgency for aviation companies to reassess and fortify their strategies in light of a complex and changing risk environment. As the industry grapples with these challenges, the call for a more robust and clear understanding of emerging risks has never been more critical.