In today’s fast-moving business landscape, it can be difficult for leaders to identify and act on their strategic imperatives. Nevertheless, they should understand the strategic priorities that will determine future organizational success – as well as how these are likely to evolve – so they can keep pace with both customers and competitors.
Here are four areas that leaders may be currently overlooking in their strategy, but which are critical considerations in the current business climate:
1. Using AI to challenge routine ways of working
Such is the hype around artificial intelligence (AI) that most leaders would say it’s impossible to not have it on their radar. But if they are to capitalize on the full potential of AI, leaders must actively challenge existing ways of working to boost productivity.
“Providing access to AI tools isn’t enough to achieve this,” explains Sebastien Kirk, CEO and co-founder of AI-powered sustainability platform GaiaLens. “Instead, the strategic imperative for leaders is fostering a culture that truly integrates AI tools into daily workflows to drive efficiency at every level of the business.”
Kirk argues that the organizations that truly lead in AI will be those that not only encourage their people to use new solutions but expect them to adopt AI-first habits every day. He suggests that employees “should consult a GenAI chatbot before emailing a colleague or searching online, implementing AI-powered tools as their starting point”.
As AI technology matures, leaders will have an ever-improving resource at their fingertips, one that their employees can continually learn from, according to Kirk. “As leaders consider their business strategies, offering the right skills training – coupled with hands-on use of AI – provides the best opportunities for upskilling among staff,” he explains. “This leads to AI proficiency and will drive efficiencies, empowering employees to focus on higher-value, more strategic activities.”
2. Safeguarding trust as the true business currency
Building customer, investor and employee trust should be a major priority for leaders, according to Rene-Sylvain Bédard, author of Secure By Design and founder of security service provider Indominus Managed Security. What’s more, a commitment to trust should be embedded across all facets of business strategy.
“Trust can’t be taken for granted,” argues Bédard. “It’s the true currency of every business.” He points out that once trust is lost, it can be very difficult, or even impossible, to regain it. For example, the ripple effects of a cyber breach or widespread online criticism can be far-reaching. “Immediate damage may materialize through outage to key services or public backlash, but it’s the loss of trust that causes long-term damage to the foundations of a business,” Bédard maintains.
Bédard says that trust management, as a strategic priority, means adopting approved modes of operation across communication, cybersecurity and beyond, woven into every aspect of the business so that it’s protected against external threats and shocks. “Too often, leaders neglect the fact that trust is a deliberate choice, something that is earned and not automatically present,” he says. “Companies must be managing and investing in that trust across the entire business, as without it, they will struggle to survive.”
3. Strengthening talent strategy
In the face of budget constraints, talent poaching and skills shortages, companies must step up their efforts to attract and retain top talent if they want to remain competitive, argues Serena Palmer, executive coach, talent strategist, and founder of Serena Consulting.
Palmer says that when faced with employee turnover, companies too often default to recruiting externally instead of nurturing existing talent. “This missed opportunity undermines retention and stalls talent progression,” she explains. “To stay ahead, businesses need a talent strategy that both identifies future needs and invests in developing current employees.”
A positive employee experience creates an attractive company, according to Palmer. She recommends providing employees with growth-focused conversations, bite-sized learning opportunities, and clear, accessible career progression. This not only boosts engagement but also builds a culture that retains and attracts top talent – essential for organizational success.
“When you are attracting talent, it’s all about the human element,” Palmer points out. “Top candidates are drawn to companies that align with their values, offer clear growth opportunities and foster a sense of belonging. Sharing authentic employee experiences reflects a culture that values internal development, which enhances both retention and reputation. Continuous talent development should be part of the culture, not an annual box-ticking exercise.”
4. Building risk intelligence
Amid global geopolitical turmoil, cyberattacks and the rise of widespread misinformation, leaders should not underestimate the significance of risk intelligence as a strategic imperative. “These events have the power to completely disrupt your business,” says Paulo Cardoso do Amaral, author of Business Warfare. “Yet too many organizations remain passive and reactive in the face of risk or changing circumstances.”
To build risk intelligence, Amaral recommends that leaders start with an assessment of “tactical weaknesses”. These could be any situation or condition that could be exploited by others for reasons such as overconfidence, a lack of preparedness or a lack of adaptability.
They should then establish alerts linked to events that could trigger such vulnerabilities. “The format of these ‘alerts’ will depend on your strategic priorities and the signals you are looking for within emerging events,” Amaral explains. “The leadership team must be responsible for proactively selecting the right sources to monitor for those particular signals. For example, an automated online search agent could flag a price change in a competitor’s offerings, or an external consultant could compile reports on potential shifts in business or political dynamics.”
Finally, leaders need to cultivate tactical agility to respond swiftly and effectively to the threats they face. “Companies must understand their operating context as it changes, being able to ascertain potential threats, spot opportunities and remain adaptable,” notes Amaral. “This level of intelligence must be baked into the organization at a strategic level.”
Strategic imperatives
While the strategic imperatives outlined above are relevant across sectors, organizations are also likely to have other strategic imperatives that are specifically relevant to the sectors and markets where they operate. Leaders will need a plan for identifying and responding to all these imperatives – a challenge that will be made harder if they are operating with squeezed budgets and stretched resources. It is therefore critical that leaders deliberately carve out some time to think about their organization’s strategic imperatives, and their desired response, so they can set it on course for future success.