Once again I was NOT invited to the World Economic Forum conference in Davos, Switzerland this January. So while government leaders were rubbing shoulders with big business, big philanthropy, big media, and other cultural leaders to, as they say, SHAPE global, regional and industry agendas, for the rest of us, I was having conversations with what I like to call WORKING leaders. People like the CEO of a $50 million manufacturing company in Ohio, the VP of marketing for a global food distributor, the Director of Sales for a farm implement dealership, the head of Human Resources for a large consulting business in the UK, the CEO of a cryptocurrency startup based in Singapore, and lots of other folks who, again, I like to call WORKING leaders. I have conversations with people like this every week and it’s the best part of my job. I remember having conversations with business leaders a year ago, in early 2022, and their big top-of-the-mind concerns were supply chain disruptions, productivity of remote and hybrid workers, when and how and IF to transition them back to the office, and of course retaining top talent was a big issue.

This year most of the business leaders I speak with think we are going to have a recession, but that’s not primarily what they were talking or thinking about. They were not intensely focused on the recession that may happen in the next 12 months. What they were focused on were the big transformations that are going to play out over the next 10 years.

• The evolving employee recruiting and retention landscape.
• The growing impact of Artificial Intelligence, especially the generative AI app called ChatGPT.
• Creating an INCLUSIVE work environment where every employees feels SEEN, KNOWN… every employee feels CONNECTED to the mission of the organization AND connected to the PEOPLE they work with, and every employee feels VALUED for their contributions to the business.
• In the face of all of these technology-driven accelerations, how do we keep our organizations as HUMAN as possible, how do we help our people be as mentally fit as possible?

Can we hope for a future where we have both more/better technology and more humanity all at the same time? Can we realize the potential of pairing great people with innovative technologies? It doesn’t HAVE to be about replacing one with the other, it can mean allowing people to free up more of their time to do what humans do best.

So continuing the look forward into what we should expect, as business leaders, in 2023 and beyond, at this point in time we are almost three years out from the uprisings of 2020 in the aftermath of the murder of George Floyd. And we know that in that year a lot of businesses made really big promises to their employees and customers and other stakeholders around equity and social justice. There was a huge WAVE of training and corporate culture change initiatives. Unconscious bias in the workplace, micro-exclusions and micro-aggressions. Social justice, equity, inclusion and belonging. These were all terms that became part of our corporate conversations. And I think 2023 is the year we’re going to see if those major initiatives will be sustained, if those big promises are going to be kept. Business leaders will be responding to political and cultural change this year, and in some cases, resistance.

What I’m hearing from many senior leaders is that they remain committed to their DEI and ESG goals, but they are going to avoid language that tends to TRIGGER a pushback. So business may remain committed to their ESG goals but simply find new ways to communicate them.

So one of my predictions – if we want to use that word – for 2023 is that business leaders in many cases WILL be more deeply connected to their DEI and ESG goals, even if their language or narrative changes.

Also in 2023, I really think the economic recession will compel some companies to wobble seriously on their inclusion commitments, including canceling initiatives and laying off talent in the cases of entertainment industry giants like HBO and Netflix, even eliminating teams responsible for diversity projects. And we’ve already seen that starting to happen.

But on the flip side, I think we will see an uptick in diversity in the professional services supply chain, which I think is going to be really important for wealth building. Plus I see an uptick in Agro-tech investments across Africa, which is going to be really important in the aftermath of food insecurity triggered by the war in Ukraine. And I do expect political posturing around ESG to continue. But I expect that the big players will not blink.

So let me wrap this up by asking – what kind of leader will you be in 2023? Given all the dynamics we’ve talked about here in the past 30 minutes or so, staying current with the latest leadership trends and best practices is essential for founders, CEO’s and leaders at all levels looking to inspire, to support and to enable their teams and organizations towards success. In today’s fast-paced and constantly changing world, it’s more important than ever for leaders to be adaptable, authentic, and purpose-driven in order to effectively lead and motivate their teams. And I see SIX important leadership trends for 2023:

• Emotional leadership. Recognizing the emotional landscape within which your employees are working, tapping into what THEY are feeling – whether it is optimism or paranoia or joy or fear or confidence or uncertainty or… any combination of these and other emotions, by cultivating your emotional intelligence and your emotional AWARENESS of others around you, you can strengthen your leadership communication skills, build deeper relationships, and cultivate a positive and productive work environment.

• Authentic leadership. In an era of cynicism, employees are yearning for authenticity in their leaders. By being authentic, you can establish trust and credibility with your team, create a more positive and inclusive work environment. In addition, authentic leaders are more likely to inspire loyalty and commitment from their team members, leading to increased motivation and productivity.

• Inclusive and Collaborative leadership. Being an inclusive leader is about more than just diversifying your team – it’s creating a sense of belonging for each and every team member. By fostering an inclusive culture, leaders can tap into the unique perspectives and ideas of their team members, leading to increased creativity and innovation and collaboration.

• Flexible and Agile leadership. The flexible leader recognizes that their team members have full and meaningful lives outside of work, and that by providing autonomy and flexibility they can demonstrate their trust and respect in each team member. Agile leaders possess the ability to adapt and respond quickly to change, viewing challenges as opportunities to learn and grow rather than obstacles to overcome. The agile leader can effectively navigate change and help their team members do the same.

• Healthy and Mindful leadership. Self-care is an essential leadership skill that is more important than ever with today’s non-stop hustle culture and business pressures. With the increase in remote work and the added stress of the COVID-19 pandemic, it is crucial for leaders to prioritize their own well-being in order to effectively show up for their teams and organizations. Mindfulness and a healthy lifestyle can improve cognitive function, enhance problem-solving skills, and increase creativity. The healthy and mindful leader has the ability to stay present and focused, allowing them to drive towards success and stay ahead of the competition.

• Purpose-driven, Culture-Focused leadership. Leaders who manage with a clear sense of purpose and meaning can motivate their team to work towards a shared vision and mission, while also promoting the values, culture, and goals of the organization. The purpose-driven leader understands their own intrinsic motivators, as well as that of each team member, and finds ways to connect the work to the things that matter most. Leaders who center purpose at the core of their approach create meaningful working environments – cultures – that motivate (and retain!) employees.

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