Organizations today face ten significant shifts. Here’s what to do about them.
Business leaders around the world are currently addressing not only economic volatility, geopolitical instability, and the lingering effects of the COVID-19 pandemic but also a range of organizational shifts that have significant implications for structures, processes, and people. The shifts include complex questions about how to organize for speed to shore up resilience, find the right balance between in-person and remote work models, address employees’ declining mental health,1 and build new institutional capabilities at a time of rapid technological change, among others.
To help CEOs and their leadership teams consider such questions, we have launched McKinsey’s The State of Organizations 2023 report. The report is an account of an ongoing research initiative that seeks both to pinpoint the most important shifts that organizations are grappling with and to provide some ideas and suggestions about how to approach them.
1. Increasing speed, strengthening resilience.
2. ‘True hybrid’: The new balance of in-person and remote work.
3. Making way for applied AI.
4. New rules of attraction, retention, and attrition.
5. Closing the capability chasm.
6. Walking the talent tightrope.
7. Leadership that is self-aware and inspiring.
8. Making meaningful progress on diversity, equity, and inclusion.
9. Mental health: Investing in a portfolio of interventions.
10. Efficiency reloaded.
