The past few years have been among the most challenging in recent history.
Geopolitical tensions, macroeconomic and inflationary pressures, and disruptive technologies are challenging leaders to constantly reinvent themselves and their organisations.
The PwC Global CEO Survey underscored this with 45% of CEOs believing that their businesses must reinvent to survive the next ten years.
This reinvention rests in the hands of leadership – in skilled hands that have evolved to adapt to these megatrends and bring fresh ways of thinking to their roles.
When uncertainty remains the only certainty, organisations require skilled hands that recognise the value inherent within disruption and can support the business and its people despite the turbulence.
Leaders need to blend strategy, vision, and engagement to ensure their people are prepared and they have the right systems in place to manage a future that is moving at an unprecedented pace. As the Accenture Pulse of Change: 2024 Index found – the rate of change has increased by 183% over the past four years, and 33% in just the past year alone.
The C-suite executive needs to understand the challenges and the changes and how these should influence their tactics in the year ahead.
As well-known management consultant and leader Peter Drucker once said, “The greatest danger in times of turbulence is not the turbulence; it is acting with yesterday’s logic.”
So, what are the four biggest changes to the workplace that should be on the C-suite’s agenda?
According to Phryne Williams, founder and director of Capital Assignments, an executive search firm specialising in executive appointments in the Financial Services sector, one of the biggest changes has been artificial intelligence.
This technology leads most strategic business conversations today, but Williams believes it is a powerful value-add for the astute leader.
“This shift towards AI has been a significant disruptor and companies are looking for the optimal ways to adopt, and adapt to this technology,” she adds.
“There’s a race to embrace AI as a productivity tool that supports teams and enhances processes. Leaders in this sector such as McKinsey and Bain are creating ecosystems and solutions built around the potential of this technology.”
Leaders who approach AI with curiosity rather than fear will be those who recognise and tap into its capabilities.
True AI mastery goes beyond technical understanding as it requires a fundamental shift in how we think about human potential and organisational adaptation.
“AI isn’t another digital tool to implement, it is a catalyst for reimagining everything from decision-making processes to talent development,” said Williams.
“Leaders need to actively create cultures where AI augments rather than replaces human capability while maintaining an experimental mindset and viewing integration of this technology as a journey rather than a mindset.”
Hybrid working has also changed the shape of leadership.
“Hybrid working frameworks have seriously impacted culture and mentorship alongside introducing technology challenges,” said Williams.
“It is impacting retention and engagement because managers aren’t trained to navigate its uncertainties and complexities.”
The seismic shift to remote and hybrid working has exposed a gap in leadership that goes beyond managing video calls and digital workflows.
While companies are rushing to implement flexible working policies – the 2024 State of Hybrid Work report found that hybrid and remote working trends are increasing – there are challenges around employee engagement, collaboration and rising levels of employee stress.
This new reality asks for leaders who can cultivate connections across digital distances, build trust without physical proximity, and recognise burnout or employee distress through a laptop screen. The challenge is to embrace leaders who can navigate these nuanced human dynamics so companies can hold onto talent, mentor people with skill, and build employee engagement.
“Managers haven’t been taught how to manage people in a hybrid world and are struggling to deal with employees who have performance issues or to navigate complex conversations digitally,” Williams said.
“Companies are increasingly valuing people who have managed remote teams and have the skills to manage people regardless of where they’re located.”
Diversity, equity and inclusion (DEI) is an essential conversation
The C-suite needs to hold space for change. Already companies such as 27four are bringing the DEI conversation to the forefront in South Africa, but more has to be done to ensure leadership is listening.
The company recently launched the country’s first benchmarking framework for DEI underscoring the importance of leadership having a deep understanding of DEI and its impact.
The framework created by 27four was created using data from 93 asset managers who were in charge of R8.42 trillion in assets and found that the industry has made measurable progress in black ownership and economic transformation.
This is reflected in the rise of companies prioritising DEI in the country with firms like TransUnion, Sanlam and Remgro all investing frameworks and strategies.
However, so much work is still needed to dismantle entrenched inequalities and create truly inclusive environments that reflect South Africa's diverse talent pool at every level of leadership.
“DEI is now starting to settle into frameworks and guidelines and is increasingly important to companies wanting to gain investor attention and build robust, global portfolios,” Williams added.
“It’s a challenge for leaders. I think handing DEI over to HR isn’t the answer – it needs to be a view from across the business. HR can serve decision-makers with the insights they need into the company, but it’s down to leadership to embed DEI into strategy, hiring and culture.”
In South Africa, Williams said, the rainbow nation is represented in every organisation.
The challenge is gender. “I don’t see enough women in leadership positions. Ensuring there are enough female leaders or succession plans for the future isn’t deliberate enough,” she adds.
Today’s leaders need to practically resolve the gender talent gap. It’s a strategic intent that ensures there is accountability from HR to the exco to the Board, and that outlines how the company is prioritising female leadership.
Self-awareness and empathy define exceptional leadership
“Leaders who walk the floors, know the people, and have empathy gain immense value from loyal and productive employees,” Williams said.
“Great leaders who know everybody’s names and take the time to get to know their people are rare, but their authenticity is reflected in their employee retention and influence.”
Companies are looking for executives who have this level of commitment to the human element within the business. And reputations follow bad leaders – executive recruitment firms rarely turn to those who are known to follow their egos rather than the people.
In the Age of Disruption when the workplace is dominated by digital transformation and AI innovation, the most important leadership skill is disarmingly simple - genuine human connection. A high-touch leadership style does demand more time and investment, but it delivers returns technology can only dream about. Employees who feel valued bring their whole selves to work, innovate freely and stay longer.
“The ripple-effect of this human-centric approach extends far beyond the team dynamic; it creates a culture that becomes a talent magnet in an increasingly competitive market. The market is littered with cautionary tales of executives who dismissed this soft aspect of leadership but the proof is in the metrics – companies with leaders who dig deep and connect with people thrive,” concludes Williams.
BUSINESS REPORT