7 Biggest Issues Facing Business Today. But the Winner Is ... !

There are 7 major issues facing businesses around the world today and while they are potentially disastrous, there is one thing that stands out above all the others. Can you guess who the winner is or is there a winner?

But before we can decide on a winner we have to know what these 7 issues are and how can you deal with them?

Data Governance

Although data governance is focused on ensuring the highest quality of data, it also encapsulates regulation and the hurdles which are associated with too much or too little regulation, various jurisdictional privacy protections, internal data security, usage, hacking and so on.

So why is it one of these big issues?

There are 2 main reasons why data governance is important. Bad data and badly structured data is risky to the organisation, which in turn is generally costly. The impact is felt in the bottom line. Good data and well-structured data processes provide clarity making business decisions easier and far less risky.

The issues around data governance facing companies today are the costs associated with launching and maintaining a data governance program, the perceived value of data and the lack of understanding around data governance at an executive level irrespective of the size of the organisation.

Financial resource management

From finding a bank or financial provider that 'gets you' and is willing to fund your project, your vision or your dream, to managing the flow of cash through the business, and regulatory issues, financial resource management is a huge issue for most organisations around the world.

And 2 major challenges I hear almost daily is firstly getting their clients to pay on time & in full and secondly, the cost of doing business. When I say the cost of doing business I am talking about all the associated cost of getting the product or service to the client. From salaries and transport to tax and input costs.

Both of these challenges have an effect, in most cases a major effect, on cash flow and the ability of your company to grow, attract new talent, retain existing staff, etc.

But is this the biggest issue?

Attracting and Retaining Talent

We all know how difficult a task it is to recruit and employ the right people, at the right time into a business. People who can not only do the job at the highest level but also fit in with the culture and the ethos of the business. People who are willing and able to do what it takes to keep the business moving forward.

We also all know that when we get the recruitment and employment part right, the benefits for the business are potentially huge.

However, irrespective of the size of the business, there is always competition for the talent which is available. And the smaller your business is or the further away from the major cities you are located, the more you will struggle to get the top people. But the top people come at a cost and don't always deliver what you believe they could.

The flip side of the coin is retaining those top people that you have and removing from your business those people who don't meet the standard. Again attracting and retaining talent can, and often does, have a major effect on the financial position of the business.

Deterioration of Public Trust and Perception

The fourth issue which companies face today is that of a deterioration of the buying public's trust and the growing perception of corporate greed.

The deterioration of buyers trust is driven by a number of factors, including the ease with which buyers or influencers can voice their displeasure, whether real or perceived, at a companies product or service to a wide audience, and the belief, whether real or perceived, of corporate greed.

Social media has made it extremely easy to review a product or service before making a buying decision, which has driven a tendency for many people to believe what they read or watch on these channels before believing the salesperson. Very often these complaints and reviews give an accurate picture and are helpful, however, this is not always the case.

Whether they are good or not, there is a clear deterioration in the buying public's trust which makes reputation management a necessary and costly challenge for most companies.

The same is true with the perception of corporate greed. We regularly read of the major gaps between executive pay and the pay scales of other people within the business and the larger the business, the larger this gap appears. This, along with other factors, has driven the perception of greed in corporations and has further fueled the distrust buyers have toward businesses.

Disruptive Technology

And then there is technology! The pace at which technology and its uses are advancing is running at an ever-increasing rate and most companies are struggling to keep up. Just when you think you have a handle on it, a competitor develops or buys in the next generation platform, app or software, instantly making yours seem a bit obsolete and redundant, potentially grabbing a big slice of your business in the process.

There is little, if any, doubt that CEO's, CFO's and CTO's, company owners and managers are being challenged by technology, and in particular, the technology which disrupts the status quo. That technology is a game changer for competitors or could be for your company.

They are equally challenged by the risk involved even with proven technology as well as how to build a long-term, flexible and agile strategy which is robust enough to stand when everything around it is changing.

Added to which is the disruption caused by the ever-increasing use of social media as a marketing tool, there is no doubt that technology has made the business environment a far more complex and challenging environment.

But is this the winner?

Developing the Next Generation of Business Leaders

One of the keys to being a great leader is developing other leaders around you, particularly the next generation of leaders and visionaries. And surveys seem to indicate that in some environments it is happening as most companies understand the need to invest in this area.

However, there are 2 issues with the way in which this is being done.

The first challenge is around the understanding of leadership and what it takes to develop new leaders.

You see, most business 'leaders' understand leadership to be linked to a role, to a title, to education level, social standing, etc which it is not. Leadership is about the person and what they become through daily transformation. But leadership training generally is applied to those in roles with titles like CEO or CFO and not to people with a job like forklift driver or personal assistant.

The second issue here is that we know most of the roles people work in today will not exist in 10 years time, but training still focuses on developing leaders in the context of the known environment instead of coaching them to be flexible and agile. Coaching them to look further down the road and stay on top of where things are headed.

Anticipating Market Direction and Future Demands

What are our future clients going to look like and what is it they will want? What are the delivery mechanisms they will demand? What are our competitors doing right now that will have an impact on where the market could go in the next 10 years?

What are the new streams of income we could tap into to now so that when they become mainstream we are already there?

These, and many more, are the questions business leaders should be asking, but mainly are not. Although most CEO's, business owners and other business leaders are focused on today and ensuring they meet their targets today, many are not asking these question either because they don't know they should be asking them or they fear the answers which could be uncovered.

And that is a challenge for the future sustainability of the business.

And the winner is....?

All of them and more actually. Outsourcing, increasing complexity, product or service mix, innovation, the growing skills gap, mobile workforce, shorter work weeks, paternity leave, new and inventive business models, problem-solving skills, increased selection, information overload, globalisation and nationalism are all issues facing business today.

And no one is more important than the other. There is one overriding factor which may not be self-evident when you look at these at face value.

And that is CHANGE. Everything is in a constant place of change and as business leaders, owners, CEO, managers, we need to learn not only how to manage change or even just how to accept it. We must learn how to anticipate it, be flexible enough in our thinking to bend with it and lead the way through it.