I am going to label 2023 the year of transformation. It’s going to take some serious leadership to keep up with pace of change, inspire team members who feel overwhelmed and burned out, and meet high growth demands in the face of cost pressures and rising interest rates.
In fact, most of the biggest challenges leaders face are outside of their control. These obstacles can greatly impact your ability to be successful but there seems to be little, almost nothing, that you can do to change or lessen them. How’s that for motivation?
The Three Biggest Challenges Leaders Face In 2023
Let's take a look at the top challenges facing Leaders in 2023.
Now, the list of challenges facing leaders in 2023 is much longer than this, but as I engaged and talked with over 400 leaders in the last six months, these were the top three that emerged from my (not-so-scientific) study.
So, what are the key 3 challenges facing most businesses in the coming year?
The cost of everything is on the rise – supplies, client acquisition, benefit plans, rent, labor and the list goes on. Trying to keep up in a world with heavy competition and customers questioning their own expenses makes it difficult to raise prices. Leaders will struggle to meet growth demands while dealing with rising costs and shrinking margins.
Supply Chain Instability
To grow you need product, and to get product you need supply. The pressure on the supply chain does not seem to be getting better. While there is some temporary relief, there is still so much stress around it with COVID still emerging in China, war in Europe, and years of supply chain neglect catching up with many industries.
Even with a downturning economy and rising inflation, leaders are still struggling to find talent. As you look at 2023, you might still be struggling to find the talent you need and hold on to the talent you want. It is the perfect storm with boomers retiring, declining birth rates and unresolved legal immigration issues. Because of this, the pool of talent is shrinking.
How to Position Yourself For Success in 2023
So now that we've outlined the three biggest challenges leaders face in 2023, how do you, as a leader, position yourself for success in a year that promises to have far more obstacles to success than the last three combined?
Here are four strategies you can implement to position yourself for success in 2023 and beyond.
You Focus on What You Can Control and You Forget About the Rest
The most important thing to understand about success in challenging economic times is that success is not logical. Not logical at all. It does not belong to the company or team that has the best training, the most money or the best luck.
No, it belongs to the leader and the team who focuses on what they control and has the skill to forget about the rest. Focus on culture, focus on clients, focus on your team and your community.
Look for the processes and systems that can make you more efficient, and the countless other small areas in your company over which you have control.
Focusing on what you can control will ensure you leverage your assets to find a path forward.
You Commit to Learning and Constant Growth
This coming year is the time to remember that what got you here won’t get you there. Our world is changing, your customers are changing, your team members are changing and the challenges you face are different from what leaders faced even five years ago.
If you want to lead your team to success, then you need to commit to growth and learning. Become a student of leadership to become a more effective leader.
You Let Go
To overcome the biggest challenges leaders face in 2023 you will need to let go of old ideas, mindsets, limitations and proven strategies that grew your business in the past.
Holding onto strategies that no longer work, or doubling down on trying to land clients that just won’t buy, will be what stops you dead in your tracks and prevents you and your team from achieving the next level.
You need to honestly assess what is working in your business and what isn’t, and have the courage to let go of ideas that are dated and no longer effective.
You Focus on Talent
There is so little you can control in today’s ever changing and challenging marketplace, but you can control the quality of your team.
Now, the beauty of that, the one thing you can control – the talent you surround yourself with – is the best investment you can make to overcome and successfully navigate every other challenge you face.
Your Next Steps to Overcome the Top Challenges Facing Leaders
Embrace the challenge that is 2023, and take comfort in knowing that if you focus on what you can control you will find a way through it. Most likely you will wind up far more successful than you could have imagined.
A challenging marketplace pushes you as a leader, and if you accept that push, and follow these strategies, you might just be surprised at the level to which you and your team not only transform your organization but also your clients and your industry.
Let’s do this!