What: A non-exhaustive list of the challenges CEOs will face in 2024.

Why it is important: it ranges from the most futuristic (AI) to the most mundane (pay rises).

Rise of AI and Geopolitical Challenges: 2024 is unlikely to offer a major turning point with challenges like the rise of AI impacting employment and complex geopolitics, including the Russia-Ukraine conflict, affecting the economy and causing inflation.

• AI's Role in Business: Business leaders, like those from Depop and Bupa, see AI as more than an efficiency tool, with potential to enhance user experience and assist in areas like healthcare diagnostics. Upskilling staff in AI is becoming a priority.

• Human Oversight in AI: Importance of human supervision in AI, especially in media and content creation, to avoid issues like deepfakes.

• Approach to Pay Rises: Amidst cost-of-living crises, businesses need to balance pay rises with operational costs. A pragmatic, proportionate approach is suggested, focusing on lower earners first.

• Political Stance of Businesses: Companies advised to comment only on relevant issues, avoiding alienation of certain groups. Real-life actions, like Bupa's support for Ukrainian refugees, are preferred over performative gestures.

• Importance of ESG: Strong ESG (Environmental, Social, Governance) credentials are increasingly important to consumers, especially Gen-Z. Businesses need genuine commitment to ESG strategies, not just as an add-on.

• Diversity and Inclusion in Workplaces: Progress in diversity and inclusion is crucial for attracting and retaining talent. Companies should view diversity as an opportunity.

• Resilient and Progressive Leadership: Success in 2024 hinges on leaders' ability to keep people within and outside the organization happy, openness to feedback, willingness to learn, and thoughtful decision-making about public statements and actions.

• Navigating Tough Times: Despite difficulties, success in 2024 is possible with careful scrutiny of costs and decisions, and a focus on long-term value.

2024 leadership trends – understanding AI and coping with perma-crisis