The Top Threats Facing Modern Businesses
A recent PricewaterhouseCoopers global CEO survey revealed that two-thirds of executives see more threats facing their businesses today than they did just a few years ago. In an interconnected world, global issues like political upheaval, debt crises, or economic slowdowns can quickly impact any organization. Here, seven business leaders share their most significant concerns about the future of business.
1. We Are Limiting Ourselves With Bias
Binta Niambi Brown, CEO and founder of Fermata Entertainment Ltd.
Brown argues that our collective profitability is capped because we are too focused on making opportunities only for ourselves. She believes this is especially true in the U.S., where "we're leaving talent and ideas and experience and knowledge and human capacity on the table because of our biases."
This results in consistently missing opportunities with qualified individuals because we adhere to a narrow narrative about who we should hire and where talent exists. Brown points to the difficulty formerly incarcerated individuals face in finding work, stating that large corporations need to invest in their success. To grow the economy to its fullest potential, we must nurture the talent available from all parts of society rather than giving into fear.
2. We Are Too Focused On Short-Term Results
Sallie Krawcheck, CEO and co-founder of Ellevest
Krawcheck is worried about the prevalence of "short-termism" in business, where the focus is only on the here and now. She contrasts private companies focused on annual and five-year results with publicly traded companies where every quarter is treated as the most important in history.
This short-term thinking often leads to under-investment in the business, particularly in technology infrastructure where the return is harder to determine. She notes that the companies focused on long-term results were the ones that fared better during the financial crisis.
3. People Are Becoming More Nationalistic
Anthony Scaramucci, founder and co-managing partner at SkyBridge Capital
Scaramucci is concerned by a systemic rise in nationalism and militarism, which he believes hinders economic integration. He observes that as the living memory of major global conflicts fades, this trend accelerates.
"We have to continue to figure out ways to become economically interdependent," Scaramucci states. "In my mind, I want further free trade and further global interdependence, because I know that that’s the best path to peace and long-term prosperity for most of the world."
4. People Of Color Lack Access To Capital
Kortney Ryan Ziegler, COO and lead experience architect of BSMdotCo
Ziegler’s biggest concern is the exclusion of people of color from access to capital, which he sees happening in tech and other billion-dollar industries like the growing cannabis market. This exclusion both criminalizes and prevents market participation.
To combat this, Ziegler calls on supporters to strengthen the business models of racially marginalized individuals through strategic partnerships. He argues that capital must be funneled directly to these entrepreneurs, rather than through VCs with poor track records of supporting people of color.
5. We Are Becoming Too Polarized
Morgan DeBaun, founder of Blavity.com
DeBaun is concerned about the dangerous trend of political partisanship, where allegiance to party lines overrides a focus on the issues themselves. She feels the media often reinforces these polarizing narratives, preventing communities from coming together to solve problems.
"It’s more about social justice, criminal justice reform, access to education, affordable education," DeBaun says. "Yet, those are often topics that aren’t really talked about in-depth because we’re too focused on the personalities." She advises the media to empower audiences to ask substantive questions about what political candidates will actually do in office.
6. Businesses Are Losing Sight Of The Human Experience
Alexandra Fine, co-founder and CEO of Dame Products
As data becomes more accessible, Fine worries that businesses are losing sight of the human experiences that cannot be quantified. In her industry, she notes that physiological measurements can never perfectly represent the complexity of human experience.
To counter this, her business gathers multiple types of feedback, "bolstering measurable numerical insights with anecdotal customer surveys to give us a 360-degree response." While subjective, this information is unmistakably human and provides a raw perception of their products and brand.
7. Businesses Must Adapt to New Talent Expectations
Jennifer Fonstad, founding partner at Aspect Ventures
Fonstad believes we have a long way to go in hiring, developing, and retaining talent. The expectations of the next generation are driving a "future of work" trend, with new companies emerging to address these needs.
Examples include:
- Services to help young workers manage their careers.
- Financial services ensuring contract workers are paid promptly.
- Enhanced benefits at large companies, from fertility services to wellness programs, to keep engagement high.
Fonstad concludes that a company's ability to meet these evolving expectations for careers and training will define its success in building a workforce for the future.