What’s going on:
McKinsey & Company published a new report called, “The State of Organizations 2023: Ten shifts transforming organizations” which surveyed more than 2,500 business leaders around the world to find out how organizations are navigating today’s challenges. Through careful research and analysis, the organization was able to identify what it calls ten of the most important organizational shifts that businesses are addressing in 2023.
According to the report, “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.”
Why it matters:
Shifts identified in the McKinsey report are driven by factors including economic volatility, geopolitical instability, rapid technological advancements, and the residual effects of the COVID-19 pandemic, according to the report. The survey shows that many organizations around the world are adapting to these kinds of societal and economic changes to remain competitive and resilient in 2023 – and beyond.
How it’ll impact the future:
For individuals in the workforce, the future of work is shaped by an organization’s ability to adapt to the ongoing shifts and challenges they face. For example, the pandemic has accelerated the adoption of remote work, and businesses are now determining the most effective ways to maintain productivity, collaboration, and employee engagement within hybrid work environments.
According to the McKinsey report, “(A)bout 90 percent of organizations have embraced a range of hybrid work models that allow employees to work from off-site locations for some or much of the time.”
Other shifts for organizations include striking the right balance between in-person and remote work, prioritizing employee mental health, and investing in talent development and leadership. By addressing these issues, businesses can build more resilient and adaptable organizations that are prepared to thrive in the ever-evolving global landscape of 2023.
