Every day, we all have to make choices. CEOs can make these choices to increase revenue or expand their business. It’s difficult to argue with any decision that places the organization in the best position possible for profitable growth.
My business decisions over the last year have been influenced and influenced by something larger. I expect other CEOs to experience the same influence as we move into 2024. The new balance act for enterprises is to provide first-class products, services, and solutions faster than ever before, inflexible, flexible, and applicable ways across all consumer groups, and without regard to unexpected disruptions. As a result, many projects were put on hold in 2020 to save costs. However, they moved full speed ahead in 2024.
Businesses must be responsible in 2024, despite the pressure to be faster and more decisive than ever.
Let me tell you what this means for business in 2024. Leaders must create a culture in their companies that encourages ethical, moral, and honorable choices. Companies could be exposed to negative long-term consequences of their partners, customers and employees do not share these values.
This is what I refer to as a “reputation fee” – if businesses fail in areas of integrity and responsibility, their brand and reputation are at serious risk. Data supports this. According to my company’s research, 78% of consumers worldwide believe that companies play a greater role in society than their interests. This is my advice to business leaders: Don’t ignore it.
CEOs are responsible for doing the right thing while prioritizing their top priorities. No matter what industry, no matter where you are located, the three main priorities of most companies will be innovation, talent, and sustainability. These are the three core priorities that leaders should approach responsibly.
Innovation
A spot at the forefront is essential to maintaining a relevant and strong business. Companies must be aware of changing consumer behavior and evolving environmental impacts. They need to stay ahead of the curve and have the ability to adapt quickly and overcome obstacles.
Responsible businesses are open to new ways of developing and operating products, regardless of whether they can work remotely, manage e-commerce traffic, or overcome supply chain problems. This could be a software-driven model where physical products are made to last. At the same time, the software is updated as technology improves or reduces legacy applications and obsolete technologies to lower the IT carbon footprint. Both of these approaches are not only responsible but also benefit the business. Companies can be aggressive while remaining financially secure and safe through responsible innovation.
Talent
Companies are now more challenged than ever to retain and find the best talent. This is due to the “Great Resignation,” which has heightened the need for companies in technology fields like cybersecurity, AI, cloud, and cloud. Responsible businesses emphasize diversity and inclusion when it comes to talent-related decisions. Companies with diverse perspectives approaches, and voices throughout their business can better reflect customers’ needs and respond to changing market conditions.
This is a significant gap for companies, as only 16% of tech workers acknowledge that their products are inclusive. Responsible businesses will invest in diversity and inclusive talent to make the most of new capabilities like chatbots, voice recognition, natural language processing, and other interactions that can be achieved with ethically-developed AI models. Organizations with inclusive cultures are reported to be up to 120% more likely than others to achieve their financial goals.
Sustainability
All business transformations and technological innovations should be viewed with the goal of environmental sustainability. Responsible businesses look for ways to reduce their carbon footprint in every business area. This is something that all employees should be aware of.
We know it’s the right thing to do for the planet’s future, but successfully executing sustainability-infused strategies also brings clear benefits to the business. Organizations that successfully scale sustainable IT use cases have seen a 12% reduction in costs, 56% have experienced improved customer satisfaction, and 61% have seen their brand image improve. Businesses across all industries that implement sustainability initiatives in manufacturing operations improve efficiency and productivity (79%), 26% reduce manufacturing costs, and 47% increase innovation. The Forrester data shows that consumers are increasingly focused on sustainability. 68% of empowered consumers are more likely to seek out brands with lower environmental impact, while 61% prefer energy-efficient labels. The opportunities for organizations to become more dependent on software and connectivity will only grow.
Our choices now will impact the future of technology, work, and the environment. It may seem hard to choose the right path for each of these priorities. It’s easier than you think for those who want to run a responsible business. Nick Saban, University of Alabama Head Football Coach, summarizes it well: “If your goal is to be great, there aren’t many options. It takes all that you have.”
Capgemini understands that it will not be easy. Still, we are committed to making the most of every opportunity and look forward to partnering with other responsible businesses that want to make a difference.
