As every year starts, we move into it with hope and excitement feeding plans for the great things we are going to do this year. But again, since COVID hit our shores, business is facing the future with no certain parameters to guide a suite of decisions.
As I was thinking about this, an email dropped into my inbox from Ideagen – a large UK-based organisation supplying software to over 11,400 corporates – outlining the trends they see clouding our future. This is the list of issues they see we face adding to the confusion:
A different world with increasing political and economic uncertainty, Trump being the least of it.
A different consumer with shifting demands for service and delivery.
Different technology moving at warp speed fed by AI making business management harder.
Different ways of working with new work models and a workforce with changing demands.
Different crime with evolving cyber threats.
Different climate, changing faster than we thought possible bringing increased hardship and a need to change in response.
It’s the list we’ve been facing for some time, and I’ve touched on the topic before, only this year the pressure’s increasing. exacerbated because it’s impossible to see where or how it’s all going to pan out and what’s needed to cope.
For some of us, this means opportunity whilst others will find business life tougher – especially where we are unable to make the changes needed to cope.
As Franchisors, responsible not only for our business but the businesses of our franchise partners, life is going to have to be flexible – ready to make the changes as we get to know exactly how things are going to move forwards – not something franchise groups are necessarily set up to be.
Here are some of the things we think are essential in any business going forward today if they are going to deal with continued change and the current uncertainty. 2025 may not be the year that business must change but it certainly is the year it needs to prepare for difference, modification, transformation even which will be needed in the not-too-distant future.
Here are some areas we believe need to be considered.
World view
Unfortunately, we are going to have to keep an eye on Trump, our impending election, climate, social change and all things materialising which make keeping up with the news so depressing today. What is the impact going to be on economy, trade, supply lines, production breaks and losses, business regulation – both opportunities and challenges. Knowing gives us the power to be in front.
Digital literacy and management
It’s no accident this trends report came out from Ideagen, they are a software company after all, helping corporates and governments internationally manage the tricky environment of change in so many areas which is demanding business, all business, big or small, becomes more digital.
Digital is now king…
What this means is, no longer can franchisors and their managers plead digital ignorance and rely entirely on their experts. That is a recipe for disaster. Management must at least understand what is needed and how software can be adopted so it is flexible enough to accommodate future change, integrated enough so one system deals with as many needs as possible (security, accounting, operations, logistics, POS, rosters, CRM… the list goes on) and simple enough for everyone to use as required. So hard when the digital responses are changing and developing accordingly, resulting in a bewildering array of software and apps available to help.
And to add to the list of woes, as Ideagen note, there is a severe shortage of a skilled software workforce across the board which is a shame because management need experts to help put these systems in and manage them.
Look after your IT staff and upskill the rest.
The human interface
I don’t have to tell you society has changed beyond measure even in the past five years or so and our societal changes are not slowing down. While digital business is king, never ever forget it is people who work these systems, and our customers are people too. Digital systems are put in to help and serve the people we interact with every day.
Our workers are demanding different working conditions, and we are imposing changes too in that we are offering more and more part-time work rather than traditional 9-5 in the office. What this means our employees are demanding the ability to manage more than one job and needing to manage their family and other responsibilities and wants as well.
Our customers are buying differently too, budgets are not going so far these days, but this doesn’t mean price is the only determining factor – value and great service are things our millennial and gen Z customers cherish more. What this means is they’ll abandon us very fast if we don’t get the balance right – yes, they want a fast streamlined digital platform but one suited to them personally with human interaction where its important. It enhances the human service and their experience – not replaces it.
Everything else
Climate, sustainability, equality in people management and opportunity, purpose which recognises a giving culture, are all becoming more important, but the playing field is shifting. Some aspects are regulated and expected to become more so (climate in particular) but what is going to happen with changing politics at home and internationally. Franchisors in particular cannot ignore their HR responsibilities, and these are only going to increase.
So, to conclude, 2025 is a year to plan for growth but prepare for change because it’s going to come and sooner than most of us expect.
Brian Keen has been involved in the franchise industry for more than 30 years and Prue has been involved with systems and business for as long. Together they founded Franchise Simply, Systems2Grow and Microloan Foundation Australia. Brian’s on-the-ground business experience as a multi-unit franchisee, franchisor and consultant helping many of the big names create their own franchise systems and growth over the years combined with Prue’s structured approach has been fed into Franchise Simply, helping today’s SMEs and Franchisors grow their business by franchising.