SOURCE: VIVENTIS
Last year marked a period of bouncing back from the effects of the pandemic.
The path to recovery seemed uncertain, but policymakers were optimistic on business growth, improved globalization and more open world trade.
But even with the positive outlook, there’s the persistent notion that the world will always be in a state of permacrisis.
The bigger question is how can you harness real potential for people to respond and address the constant changes happening?
This 2024 is all about pursuing a growth mindset and being more circumspect yet audacious looking at the future ahead. The new year brings a new perspective for leaders to be more adaptive, strategic, and technology and data literate in the intelligent age.
There’s so much to look forward to and I am happy to share some insights to help leaders lead this year.
Leaders have the power and influence to provide a sense of vision, inspire its people and create lasting impact to help grow the organization. With the happenings from last year, such events can also affect the way leaders respond and get ahead of changing circumstances.
I foresee three key strategic drivers that can impact leadership dynamics: geopolitical tension, climate change and artificial intelligence (AI) adoption.
Geopolitical tension
There’s a continuous rise of geopolitical tensions, which can create significant risks for companies.
Tensions between the US and China have introduced new challenges related to economic and defense issues. Russia’s invasion of Ukraine has cost human lives and fractured energy, defense and strategic points of view in Europe. The Israel-Hamas war continues to grapple with the mounting death toll and humanitarian crisis in Gaza.
The heightened risks given the interconnectedness of the world’s economies and societies has impacted trade flow and supply chains, with inflation as a major consequence of the disruptions.
In a survey by McKinsey, the following issues are significant for company strategies: trade, technology, human rights issues, and domestic politics. More than the commercial aspect, leaders should also consider geopolitical risks and how it can affect the organization as a whole.
Climate change
The pressing challenges of climate change and environmental degradation is more critical than ever.
The United Nations reiterates that “from shifting weather patterns that threaten food production, to rising sea levels that increase the risk of catastrophic flooding, the impacts of climate change are global in scope and unprecedented in scale.”
Leaders are being urged to take drastic action immediately, as adapting to these impacts in the future will be more difficult and costly.
Being at the helm of a multinational corporation or a small business, leaders should take proactive steps towards climate change action and sustainability. They will play a vital role in raising awareness, presenting solutions and convincing decision-makers to take action.
By prioritizing this issue, leaders can unlock numerous benefits for their organization and the world at large.
AI adoption
AI will be the most important driving force to help leaders and organizations thrive in today’s complex business landscape. The notion that AI would lead to job loss or disappearance is misleading because it should be seen as a job evolution. With the radical changes in jobs, there will be a significantly higher skill in what employees do today because the way one uses automated tools enables them to function more effectively.
The evolution of generative AI represents a potential paradigm-shifting disruption facing people, teams and organizations.
Leaders must establish comprehensive controls and ethical governance to unlock the full potential of AI while safeguarding the interest of the organizations and their stakeholders. The challenge now is to embrace and extend the use of AI within the organization, while leveraging on human capabilities.
What entails for leaders in 2024?Now that the context of the strategic drivers has been laid out, it is important to keep them in mind as it will define how leaders can navigate the uncertain waters and develop foresight into what’s to come.
Here’s what leaders must take note of to thrive in 2024.
1. Rethink growth
Effective leaders adopt a growth mindset. Leaders must be aware of potential opportunities and think of growth as a sustainable, achievable and long-term path to success. Anticipating and adapting to the changing needs and challenges of your people will be crucial in a leader’s growth strategy. Having a growth mindset can help leaders stay agile, adapt to sudden shifts and recognize that change is the new status quo.
2. Refocus on what actually matters
With so much stimuli, one can’t help but become distracted or end up making the right, sensible decision. As a leader, how can you filter through the noise? In every organization, people alignment should be on the strategic agenda which can bring about sustainable transformation.
Beyond making profit, leaders must invest in its people and recognize that a company’s success is intertwined with its employees’ well-being.
3. Building shared reality and belonging
Organizations thrive if its leadership team bank on a purpose-driven culture and espouse an environment of inclusivity, trust and shared motivation. Providing a sense of belonging at work can empower them to be more innovative through open communication.
As a leader, being transparent and visible will allow your people to be comfortable with asking the right questions, provide meaningful connections and value their contributions by understanding how their strengths help to achieve common goals.
Such actions can result in increased persistence through challenges, bouncing back after failure, and less likelihood to be thrown off by organizational shifts.
4. Harnessing deep spiritual-based leadership
Different concepts and theories come to mind when it comes to leadership, but spiritual leadership is a unique and powerful approach grounded in the principles of inner wisdom, mindfulness and authenticity.
It is mainly about tapping into the transformative power of spiritual guidance to unlock one’s inner leader and guide them on a path of personal and professional growth.
This new leadership paradigm is gradually emerging and leaders must get on board to gain the necessary tools and insights to apply spiritual principles in decision making and create a values-driven culture that fosters positive impact and fulfillment within the organization.
5. Synergizing AI with human leadership
The ability to adapt and evolve is fundamental for a leader especially in today’s intelligent age. AI is now at the forefront of how we work, do business and even lead a team.
Despite the advancements in AI, it cannot fully replace yet the human capabilities to understand emotion, culture and nuance. With a renewed mindset, AI won’t displace humanity and only augment human contribution and values.
It takes skill for leaders to understand and harness AI’s capabilities and how it can affect the organization. To become successful, leaders should strike a balance by leveraging AI while prioritizing the fundamental essence of human leadership. The convergence of humans and AI working together is the future, and the future is starting now.
Final thoughts
There is no doubt that the pace of change won’t slow down this year, so it is a must for leaders to continue to evolve and prioritize building trust in order to drive success. At the end of the day, leaders must stay ahead of the curve and lead with empathy to meet the demands of a rapidly changing world.
(The author is Executive Director of Viventis Search Asia, a human capital solutions provider and consulting firm )
May it be an unprecedented crisis or a seismic shift, leaders will be ready to navigate today’s uncertainties and shape a purposeful and empowered tomorrow.