Three Global Business Trends to Watch for in 2024

What’s in Store, Twenty-Twenty-Four?

In the ever-evolving landscape of global business, staying aware of emerging trends is crucial for anticipating and navigating the challenges and opportunities that lie ahead. As we settle into the year 2024, it is important we pay attention to key themes such as technological advancements, sustainability, and in-demand skills; in that way, we may gain insight into the factors shaping the future of the global marketplace.

Tech Triumphs: Transforming Business Dynamics in 2024

In our rapidly evolving world, the integration of advancing technologies is imperative to firms if they want to succeed. For example, vastly evolving technologies such as immersive 3D and augmented reality tools are reshaping traditional relationships within organizations. As the Wall Street Journal suggests, businesses embracing artificial intelligence to harness human creativity stand to gain a significant competitive advantage, with advancements in technology paving the way for transformative applications, from remote surgeries to the streamlined oversight of entire factory floors, ultimately contributing to more resilient and efficient supply chains.

Additionally, firms must be open to adopting generative artificial intelligence (AI) practices and have strategies in place for them. For the tech newbie, generative AI involves inputting data and examples into a prompt, which will then generate desired results to help perform previously laborious tasks.

Boston Consulting Group states that “to be an industry leader in five years, you need a clear and compelling generative AI strategy today.”

Generative AI is not here to replace jobs, as many have feared in the past, but rather to work in conjunction with highly skilled workers, making their jobs more efficient and, as a result, making their firms more profitable.

Sustainability Surge: Green Strategies for a Changing Climate

Seeing as the year 2023 left its mark as the warmest year ever recorded, sustainability will certainly be a hot topic this year (no pun intended).

The CDP, a global disclosure system for firms and regions, and the standard for environmental reporting, found that, “though many corporations had net-zero plans, only 7% had a credible strategy to achieve them,” Tom Beagent, an impact measurement specialist, stresses “It’s no longer good enough to just have a net-zero commitment, there’s a need to give confidence that you know how to achieve it.”

It is safe to assume that firms without an Environmental, Social, and Governance (ESG) strategy in 2024 are not just lagging; they are at risk of being left behind altogether.

Emphasis on the strategy, which will be a key factor in separating those with actual commitments to their word and those who are simply greenwashing. Forbes predicts that this year, “We'll also get better at spotting greenwashing, where companies pay lip service to environmentalism in an attempt to divert attention from environmentally unfriendly practices.”

Human Capital Renaissance: Skills for Tomorrow's Workforce

As generative data gains popularity within firms, this year will see an increase in the demand for soft skills, or skills that cannot (yet) be performed by machine learning. As Forbes put it, “we will see organizations increasing their investment in developing and nurturing skills and attributes such as emotional intelligence, communication, interpersonal problem solving, high-level strategy, and thought leadership.”

Education and training in the areas of emotional intelligence are already being taught in graduate-level curriculums and beyond, as more and more businesses and institutions realize the importance of teaching these soft skills to their future leaders.

Looking Ahead

As we gear up for the year to come, businesses’ success demands adaptability and foresight. The integration of advanced technologies while simultaneously strengthening their team’s very human soft skills proves imperative for competitive advantage in the year to come. Furthermore, sustainability takes center stage, with businesses requiring credible net-zero strategies and a non-negotiable commitment to ESG principles.

As we advance into 2024, organizations prioritizing technological innovation, sustainability, and the development of human capital are not only positioned to thrive but also to lead the transformation of the global marketplace. Remaining agile and committed to innovation and responsibility will be key in navigating this evolving global landscape.

Sources:

https://hbr.org/2023/12/what-to-expect-from-the-global-economy-in-2024

https://deloitte.wsj.com/cio/tech-trends-2024-technology-evolution-business-revolution-40a42e34

https://impact.economist.com/sustainability/net-zero-and-energy/what-are-the-top-sustainability-trends-for-2024

https://wmo.int/publication-series/global-climate-2011-2020-decade-of-acceleration#:~:text=The%20rate%20of%20climate%20change,melt%20and%20sea%20level%20rise.

https://www.forbes.com/sites/bernardmarr/2023/09/25/the-10-biggest-business-trends-for-2024-everyone-must-be-ready-for-now/?sh=7da99fa159ab

https://www.bcg.com/capabilities/artificial-intelligence/generative-ai