My Ten Business Predictions for 2024

Since everyone seems to be making predictions for 2024, I am throwing my two cents’ worth. While many of my top predictions have been written about, I decided to give you a different perspective regarding the reality of each one. Since these are my opinions, you are free to agree or disagree, but having critical discussions will be necessary for success.

Here are ten business predictions for 2024:

Increased Adoption of AI and Automation:

Many businesses will further integrate artificial intelligence and automation into their operations for efficiency and cost savings. Unfortunately, some of these will be poorly executed from a human perspective and result in painful transitions. AI is a tool that can reimagine the workforce, but to envision it, embrace it, communicate it, and execute it takes a talented leadership team. Also, unfortunately, too many leaders are willing to sacrifice talent to cut costs for the short term, resulting in long-term headaches.

AI can be a boon to restructuring a company, its vision, and its purpose; however, it will require open minds, transparent conversations, and empowered workforces.

Growth in Remote Work:

Remote work will continue to grow, leading to changes in workplace culture and communication methods. While I see this trend continuing, I also recognize that many in leadership don’t understand how to manage or empower remote workers effectively, so the face-to-face versus remote battle will continue. There is also the case that not every job can be done remotely, regardless of what everyone wants. A well-managed hybrid will be the best formula for success.

Expansion of Green Technologies:

Companies will increasingly invest in sustainable and green technologies in their business practices and product offerings. New industries are cropping up daily that are evolving the types of batteries used in vehicles and other electronics as new initiatives develop and try to deal with the recycling of said batteries. For 2024, this will remain in flux with minimal improvements, but it will continue to grow as science catches up with the real world. Here is another case of consumption taking place before the impact of that consumption has been indeed examined and the damages evaluated for the by-products left after consumption.

Rise of the Gig Economy:

There will be a significant rise in the gig economy, with more people working as independents or on a contract basis. This is critical for all industries because more employees are tired of being treated as assets rather than people. By working independently, they can work with various companies and create schedules based on the client’s needs. However, with the new 1099 rules in the works for 2025, some of this will be watered down, especially where it is part of a side hustle.

Enhanced Focus on Cybersecurity:

As digital transformations continue, businesses will emphasize cybersecurity to protect sensitive data. Again, if this is not happening, we are headed off a cliff. As evidenced by the SEC hack on “X” and other hacks in late 2023, it is evident that companies like 23andMe now want to blame the customer for some, if not all, of the issues of break-ins. Too many companies are still in reactive mode rather than being proactive. In a State of Security 2023 report from Splunk> 31% of their respondents indicated that they have a formal approach to cyber resilience. I’m sorry, but that is pathetic, given the rapid evolution of hackers and criminal groups taking advantage of weak security daily.

Growth in E-commerce:

E-commerce will continue to expand, potentially outpacing traditional brick-and-mortar sales in many sectors. As markets are changing, we are experiencing what some refer to as a “Retail Apocalypse.” While some brick-and-mortar retail outlets have managed to go with Omnichannel sales and be somewhat successful, the reality is that it is limited in terms of success. Others have failed miserably.

It is also evident that some direct-to-consumer brands have tried omnichannel, but few have found a sweet spot yet. 2023 has seen the demise of several notable brands, such as “Bed Bath & Beyond,” which is seeing a resurgence as an e-commerce company after Overstock.com took on the brand.

After 25 years in retail and wholesale, I learned that to succeed, you must have an eye on the pulse of your customers, the markets, and the competition and be brave enough to innovate and evolve your company. You must also be wise enough to retrain people as you evolve and provide them with an empowering vision for the future. Your management style must change, but it sets the foundation for sustainability.

Advancements in Health Tech:

The healthcare sector will see a surge in technology use, including telemedicine and personalized medicine. This future is still being developed, regardless of what everyone says. Most doctors have a problem with a diagnosis when you are sitting in front of them, so what makes you think that telemedicine will intervene successfully?

There are still many questions regarding protections for both the patient and the doctor related to treatment over the Internet. If your doctor’s bedside manner is poor, it doesn’t improve because it occurs over a Zoom call. I’m sorry, Amazon, but your online system will take some time to gain people’s trust worldwide.

With the increasing use of VR, training for Doctors and Nurses will improve because you can replace boring classrooms with some great simulations from remote locations.

I see a wise medical practice developing a subscription program incorporating personalized medicine, telemedicine, prescription management, and a healthy lifestyle into one group. This would mean anyone willing to pay the additional monthly fee and carry the proper insurance coverage can have the best new technology. The key is whether greed will take over, ensuring that only the wealthy can access it, or it becomes reasonable enough for the average individual.

Shifts in Global Supply Chains:

Companies might reevaluate and adjust their supply chains for greater resilience and efficiency. Unfortunately, we have discussed this for 30 years with little or no progress. The deficiencies became very visible during the pandemic.

There will be some movement in 2024, but I only see minor changes coming until the supply chain finally wakes up and sees that it is its own worst enemy. The fundamental problem is the human interface.

Transportation companies, for example, struggle to adapt to an automated world, especially internationally. Yes, there are plenty of tools, but very few are being adopted because of the cost of changing how they do business.

While many are well automated, many have issues trying to interface humans with that technology, and that is understandable because those same companies are trying to minimize people to save costs. We, as consumers, vote with our wallets, so we demand the cheapest prices.

For example, Amazon has an excellent system for getting drivers access to mail rooms, gated communities, and businesses electronically. However, their flex drivers don’t understand or use it, and the employee drivers avoid using it because they are monitored too much, so they feel they need to cheat the system to make up time.

The holy grail of retail has always been just-in-time automated replenishment. However, the roadblocks to accomplishing this sit with the human interface again. Employees not adjusting onhand quantities in real-time, buyers who second guess replenish recommendations, and the slow response to ever-changing consumer demands.

There is not a silver bullet here for anyone. Success will only come when all human elements understand the world is changing and will continue to change, so adaptation is vital.

Increasing Use of Data Analytics:

Data analytics continues to be even more crucial for decision-making and understanding customer behaviors. However, the reality of most data sets is that the information is flawed. Either the collection methods are biased. The respondents don’t trust the collectors, or major decisions are being made on a misleading set of social media data collected.

The rise of the massive data collection model has created a data nightmare because the art of interpretation comes from understanding the demographic needs very well, reading the trends correctly, and striving to clarify data, which has become an industry in itself, separate from the collection.

For example, in trying to understand demographic needs, many leaders rely on old data because the new data implies a shift they may not want to invest in when necessary.

The interdependence of data/production/use/evolution is there and cannot be separated. Every product has a life cycle, as does every industry, unless there are unique and unusual characteristics within an industry.

Clean up your data, collect what you need, test your data credibility yearly, and genuinely consider the results and recommendations. Retire what needs to be retired, create new and promote, then revive if necessary. Eliminate processes and procedures that are unnecessary and implement necessary new ones.

Rising Importance of Social Responsibility:

Businesses will increasingly engage in social responsibility initiatives to meet consumer expectations and regulatory requirements. However, many of these will be very shallow, with minimal provable results provided. “Social Responsibility” is a buzzword on almost everyone’s lips today, meaning it will be used for marketing with little structure.

More regulation will only confuse the issue because the lobbying and corruption in the current environment will not allow anything that will work effectively to exist. Many new concepts are being developed, but many are scarfed up just to be put on the shelf or never really allowed to prove whether it will work. Social responsibility is a very complex and interdependent topic, so there will be no fast or simple solutions in 2024.

A prime example is the plastic-eating bacteria discovered in 2001 by Japanese scientists. While this has not been shelved yet, there has been little mention in the news. Despite several adaptations that have taken place since then, the US and China have no plans for significant funding to support this research. I fear that it either gets ignored and never able to tackle the situation, or it gets rushed, and we find out later how bad of a mistake it was.

Read the following article from the Guardian regarding plastics, updated in November 2023. It presents all sides, including a plant in France attempting the conversion in small batches. For the old farts like me, remember a little book called “Mutant 59 — The Plastic Eater,” published in 1971?

In Summary,

My predictions are meant to stimulate discussion rather than to state a fact. In reality, as I have mentioned in previous articles, prognostications are nothing more than someone’s ideas of what they would like to happen in a time. We cannot hide from the complexity of our existence because some of the issues are of our own making, such as the Plastic Crisis, which means that everyone must be part of the solution. It is time to open the collaboration doors and provide funding to determine the benefits and the potential hazards of any new “super” solution to a problem, then take action.