Business & Leadership Insights
Our latest thinking on the issues that matter most in organisations.
Whether it’s an increasing awareness of the ESG factors or the growing emphasis placed on diversity, equity and inclusion in the workplace – what will be the biggest challenges facing organisations in 2023, and how can you effectively manage them?
2023 is loading, but what will be the biggest challenges facing organisations next year? In the fast-changing world and ever-progressing business environment, staying ahead of the curve can feel like a full time job. The good news is that with the right support, knowledge, and a plan of action to go with it, you can easily stay abreast with the challenges likely to come forth in 2023.
Challenges to Organisations in 2023
Accelerated digital transformation
In 2023, we see the continuation of innovations and developments in transformative technologies such as artificial intelligence (AI), the internet of things (IoT), virtual and augmented reality (VR/AR), cloud computing, blockchain, and super-fast network protocols like 5G.
What’s more, these transformational digital technologies do not exist in isolation from each other, and we will see the boundaries between them blurring. New solutions for augmented working, hybrid and remote working, business decision-making, and automation of manual, routine, and creative workloads combine these technologies in ways that enable them to enhance each other.
This brings us closer than ever to the point where we are able to create “intelligent enterprises” where systems and processes support each other to complete menial and mundane tasks in the most efficient way possible.
How to manage it: Organisations must ensure they embed the right technology throughout their processes and in every area of operations. At this point, there is really very little excuse for being in business and not having an understanding of how AI and the other technologies mentioned above will impact your business and industry.
More effective sales and marketing, better customer service, more efficient supply chains, products and services that are more aligned with customer needs, and streamlined manufacturing processes are all on the table, and in 2023, the barriers to accessing them will be lower than ever.
Many of these technologies, such as AI and blockchain, are now available in 'as-a-service' models via the cloud, and new interfaces and apps give businesses access to them via no-code environments.
Recruiting & Onboarding the Right Talent
Recruitment has never been an easy task. 45% of employers struggle to find talent with the right skills. Today’s recruitment managers do not have an easy job ahead of them. After all, they need to contend with and adapt to trends brought about by the pandemic. Think virtual recruitment, remote working arrangements and employee wellbeing.
Talent management strategies should also be re-examined, in view of attracting a diverse candidate pool. And once you’ve done that, you then need to concoct a great onboarding experience to deliver to your new recruits.
A study by Gallup reports that 88% of employees were deprived of a proper onboarding experience. Here’s your chance to not add to that statistic!
How to manage it: Future-proof new recruits to ensure they’re in it for the long run and are aligned with your company’s mission. This will require having a strong recruitment strategy in place.
You may want to update your recruitment pitch so that it is better suited to a remote or hybrid workforce.
You should also ensure your recruitment strategy helps to support a more diverse and inclusive environment. If you can complement this approach with a strong onboarding strategy (facilitated by learning technology), then you’ll build a super team in no time!
Supporting Diversity, Equity & Inclusion in the Workplace
Ensuring diversity, equity and inclusion in the workplace has become one of the biggest challenges facing today’s organisations. Diversity in the workplace focuses on respecting and appreciating all employees for their differences (e.g. ethnicity, age, religion, education, gender, disability, etc.). Equity is about organisations providing fair opportunities to their employees, based on their individual abilities and needs. Inclusion, on the other hand, focuses on ensuring that all employees feel valued and supported as individuals, irrespective of their physical or cultural differences.
Companies with a more diverse workforce perform better than other employers. Similarly, our research reveals how building a more inclusive culture in the workplace can greatly increase employee engagement and wellbeing.
But with the move to remote working, today’s managers must find new ways to be inclusive in our ever changing workplace environment.
How to manage it: Driving the L&D agenda within your teams is something that managers should commit to this coming year. DEI initiatives also need to be practised and communicated among all members of the team. Having metrics to measure your efforts is also a good idea.
Recruitment managers may also work on recruitment strategies designed to better attract a diverse pool of candidates. By doing so, you can set your company up for increased innovation and success!
One of the biggest challenges to organisations is employee engagement. Research shows that engaged employees are more productive, more creative and less likely to leave. Therefore it’s not surprising that 88% of businesses are seeking to improve employee engagement.
You’re in for a bigger challenge if you’re handling remote or dispersed teams. Silos can be formed as remote teams are less likely to know what’s happening with other departments. This can reduce an employee’s connection with their wider organisation, leading to increased levels of disengagement. Hence, today’s managers face the need more than ever to keep the team’s spirits up and hearts closer to shared company culture and values.
How to manage it: A clear strategy is the key to employee engagement. It's a powerful motivator because it’s the ‘why’ that drives our every action. It becomes the sense of purpose and desire to make a difference.
When it comes to your team, a clear strategy is what connects employees to your company’s greater purpose. You can engage employees by ensuring strategy is at the heart of all you do, from your daily communications to your weekly meetings and employee training. Make sure each team member understands how their actions at work benefit both them and the company’s mission.
Breaking Down Silos
As a business grows and the organisational structure evolves, departments are formed to serve clear functions. However, these departments may lead to business silos. And these silos are a blight on much of the corporate world. For anybody in the dark about this, the term describes teams that are inward-looking and inclined to hold onto information rather than share their knowledge.
In times of change, there’s a higher risk of silos forming. Silos are no place for your company’s knowledge, ideas and talent! Communication and expertise should flow freely throughout the organisation to ensure everyone benefits. This way, innovation and positive organisational change can flourish.
How to manage it: It’s time to break down the barriers and unleash the expertise within your teams! You can do this through the power of reward. And the best reward of all? Recognition, of course. And you don’t need to rely solely on extrinsic rewards.
You could, for instance, encourage individuals to share their specialist knowledge by awarding those who do so with ‘Expert status’ on your LMS. This coveted title recognises staff strengths, contributions and efforts to help others.
For many people, becoming an official subject matter expert is a strong intrinsic motivator because it builds a personal sense of purpose. After all, being needed and valued feels awesome! When your teams feel their expertise is recognised, they are more likely to want to share it. Soon the defensive barriers will be down for good and there won’t be a silo in sight!
So there you have it. The biggest challenges facing organisations in 2023. Being prepared means knowing what challenges you face and taking the steps to anticipate or address them.
Succeeding in today’s business world is to embrace uncertainty with the support, knowledge and a plan of action. Hopefully, this insight can help you to start to think of the right strategies and tools to take on these challenges with confidence. Gestaldt Management Consultants are here to help you every step of the way.
Gestaldt Consultants, Partners and Thought Leaders.
All Agile Capability Building Change Management Compliance Culture Digital Diversity And Inclusion Growth Guest Post Human Resources IT Consulting Leadership Development Management Consulting Marketing People And Organisation Performance Resilience Risk Solutions Strategy Sustainability Technology Training Transformation