The steam engine in the 19th century, the microprocessor chip in the 20thcompanies that figured out how to use them thrived; those that didnt declined. And now the race to embrace AI is on. McKinsey estimates the potential for corporates to grow their productivity through this transformative technology at $4.4 trillion.
Todays corporate leaders are acutely aware of thisonly 1% call their companies mature on the deployment spectrumand they certainly want to do something about this: 92% plan to increase their AI investments over the next three years.
However, in the rush to embed AI, these leaders are missing, and even contributing to, a far greater issue than slow AI uptake: a disconnect between leadership and their workforce, leading to the erosion of alignment and trust inside organizations. This cultural disconnect is a far more urgent risk to business performance than technical lag.
Heres how to tackle this mounting challenge.
The problems with a disconnected workforce
Gallup’s 2025 State of the Global Workforce revealed that global employee engagement declined to 21% in 2024, only the second decline in engagement in the past 12 years.
This ought to alarm business leaders. Disengaged employees are a huge threat in multiple ways. They do the bare minimum work: studies show disengaged employees are 18% less productive on average.
Next consider the impact on the customer experience. Disengagement isnt contained, it leaks, and disengaged employees are likely to lower service quality, slow response times, and diminish brand loyalty.
Disengaged employees also kill innovation, problem-solving, and transformation. They dont speak up, challenge ideas, or contribute proactively. They dont resist loudly. They comply quietly via passive resistance. You lose not just output, but the critical energy that drives adaptation and progress.
Then they leave. Disengaged employees are 2.6 times more likely to actively seek a new job, creating costly churn. Gallup estimates the cost of replacing an employee is 150% of their salary. But before they go, many poison the culture from within, turning previously engaged employees into disengaged ones.
“Disengaged workforce” is a term that gets thrown around a lot by people functions, and too often its dismissed by leadership as HR fluff. But when you connect it to hard facts, it really is like death by a thousand invisible cuts.
AI: the disconnection accelerator
While this disconnect silently eats away at the corporate world, execs blindly plow on with AI implementation, and in doing so are making the issue far worse. A study of 2,500 workers from the U.S., U.K., and Australia revealed that for 77% of employees AI has increased their workload, with one in three full-time employees saying they will likely quit their jobs in the next six months.
Theyre not imagining the increased workload: 81% of global C-suite leaders acknowledge they have increased demands on their workers in the past year. With AI there is just more pressure to deliver more, faster, in less amount of time, and the relationship between employees and employers is eroding.
As one commentator recently put it: Companies are announcing layoffs alongside record-breaking financial results. You work hard, focus on impactful projects, and receive praise from your leadonly to find yourself let go by someone who likely doesnt even know you exist. It feels as though the trust between companies and employees is now broken. Companies, it seems, are either unaware of this shift or unwilling to address it. And frankly, Im not sure how they could fix it.
Slow down and listen
They can fix this. But first, leadership needs to take its foot off the gas. Because if you want AI transformation to succeed, your people need to come with you. And that starts by returning to the roots of effective employee engagement: human insight, gained the human way.
Its about spending real time understanding the lived, felt, experienced reality of your workforceironically, the kind of research AI cant replicate. Because while technology can summarize patterns, it cant observe culture in motion. It cant pick up on tension in a room. It cant notice whos talking, who isnt, and why. It cant notice your tiny invisible cuts forming.
Consider the approach of Dell which in 2024, imposed rigid return-to-office mandates, introduced employee monitoring, and fast-tracked GenAI, all with minimal listening to its employees. The result? Internal backlash, tanking morale, and public employer brand damage.
Contrast it with Toyota which has built its leadership philosophy around Genchi Genbutsu”go and see. Leaders embed, observe, and critically, understand before deciding. Its a major reason why it remains the worlds leading car brand.
Connection and understanding
From there its about rebuilding connection. Be authentic: own the challenges, and remember that people respect honesty over perfection. Surface and elevate the true human insights that come from the front lines. Then close the loop: when people see changes made from their input, trust grows.
Crucially, leaders need to recognise that while AI can help scale tasks, only they, the leaders, can scale trust. And theyll build it by realising that people still come first, AI second.
The organizations that win in the AI era wont be the ones that move the fastest. Theyll be the ones that stay closest to the ground. This isn’t a nostalgic plea for pre-AI leadership. Its a call on leaders to simply do better, by showing through actions, not words, that they are something AI can never be: human.
When it comes to the future of urban mobility, its not the sci-fi fantasies that will shape our cities. Its functional solutions for the everyday. While tech visionaries promote high-speed concepts like ET3s vacuum-sealed capsules, true transformation will come from transportation solutions that are accessible, reliable, and affordablelike modernizing existing transit infrastructure, digitizing bus routes, and reducing traffic congestion. Sexy, futuristic modes of transportation like autonomous vehicles may dominate the headlines, but what Americans really crave are reliable, inexpensive options to get them from point A to point Bnot a self-driving car.
Public frustration around the future of transit is mounting. Waymos are crashing in Los Angeles, congestion pricing is contentious in New York City, and the U.S. lacks a reliable high-speed rail network. These realities make it clear that companies should rethink what the city of the future looks like and reprioritize achievable solutions to real needs.
New data from Censuswide, commissioned by Diffusion, offers a closer look at the evolving sentiment on mobility in Americas biggest citiesand the findings highlight a pressing need for better solutions. Alarmingly, fewer than 18% of Americans describe their citys transit as highly efficient and nearly as many say its struggling. With American people driving around twice as much annually compared to their European counterparts, the overreliance on personal vehicles underscores the urgency for investments in reliable public transit that can reduce congestion, cut emissions and improve quality of life.
While exciting, the novelty of new mobility tech, like the 2,000 new food delivery bots roaming around Los Angeles, wears off quickly when residents can depend more on their takeout delivery than the bus they take to work. In fact, bus delays are collectively costing L.A. residents more than a cumulative decade on the average weekday. Despite the ability to ask ChatGPT nearly any question and get the answer in seconds, Americans are understandably frustrated that they cant seem to get an accurate transit schedule.
Back to the basics
The top three priorities for Americans when it comes to urban mobility are affordability (50.8%), reliable public transit (47%), and accessibility (39.3%) demonstrating a need for options that reduce traffic congestion, provide economical alternatives, and are available to all. Visionaries in the urban mobility space need to focus on these core components before setting their sights on mass adoption. Without demonstrating a positive potential impact on cost, convenience, reliability, and ease of use, companies innovating in the space will only continue to be met with skepticism and resistance.
Fears around AV
Sentiment around automated vehicles (AVs), for example, perfectly illustrates the increasing skepticism and resistance to adapt. Despite AVs being at the forefront of the future and modern urban transit conversation, the public isnt on board, with over half (50.5%) of respondents disagreeing that AVs are the future.
Furthermore, 74.5% of Americans said they dont trust the safety of AVs and 66% said that the technology isnt ready. Yet just this month, Waymo announced they are expanding to New York City. This move suggests that companies in the urban mobility space may be out of touch with what American commuters are ready to embrace. AVs still dont feel normal or comfortable to most, so now is the time to build trust. Rolling them out at scale without addressing fundamental mobility concerns risks missing the mark entirely, since commuters need confidence in the safety and reliability of the technology before theyll consider taking the risk themselves.
Beyond issues of trust and comfort, however, concerns extend to the broader economic impact of AVs. Nearly 60% said theyre concerned about AVs impact on jobs, a sentiment that isnt surprising given growing fears about AIs effects on the American workforce and the disappearance of certain roles. While businesses race to advance AV technology, assuming widespread excitement for futuristic transportation options, they often overlook how these developments will directly affect everyday people.
Job loss is not the only aspect of new technology that concerns Americansprivacy remains at the forefront of conversation, with over 60% of people reporting a concern for their digital safety. Many of these futuristic transport options require a certain amount of data about oneself, location, etc. which can be scary to the everyday commuter. Companies modernizing urban mobility should focus on transparency when it comes to data collection, to help ease users minds, and highlight the ways in which their technology will tangibly improve day-to-day lives. Otherwise, theyll face resistance in the pursuit of mass acceptance.
The real ‘City of the Future’
Since what Americans truly want isnt flying cars or futuristic cities, efforts should focus on enhancing existing infrastructure through smart technology instead of pursuing a complete overhaul. Innovations that fail to get someone to their destination quickly and affordably are far less transformative than companies believe.
The real future of urban mobility isnt about who has the flashiest new system, its about who solves the real problems. Progress is about improving upon how people live, work and move within cities, not making headlines for futuristic features that dont have real-world impact. Before we prioritize the city of the future, lets strengthen our cities in the present.
More and more senior executives are stepping out of high-powered roles and opting to work for multiple companies on an access pay-as-you-go basis as fractional leaders. This raises the question: Why are executives taking this step, and why is it booming now?
Post-pandemic shifts have altered how senior leadership thinks about time, value, and work. The profound shift in how we worked allowed senior leaders to reflect on their lives. It also encouraged more reflection, which gave rise to a desire to have more meaningful and purposeful work. It fostered a sense of agencyto decide what work they do, when, and with whom.
The rise of fractional leadership
As leaders sought to regain more control over their working lives, many viewed fractional leadership as the logical next step to achieve this freedom in their careers. But what is fractional leadershipand why is it still gaining momentum?
Fractional leaders work in part-time, high-impact roles across multiple companies. They are self-employed and operate on an access pay-as-you-go basis, often supporting a portfolio of organizations and adjusting their support based on each company’s needs at any given time. They frequently sit at the head of various functions, such as finance, marketing, or technology. Organizations often hire them to help grow the company during stages when it doesnt require a full-time leader in that area.
Most fractional leaders have previously held full-time C-suite positions, but have transitioned into fractional roles while seeking more purpose and autonomy. For some, it’s the allure of a better work-life balance and no longer being tied to the nine-to-five. They want to work around family priorities and travel desires. For others, the variety offered by fractional work is appealing. Working with three to seven businesses at exciting stages of growth can provide more challenge and excitement than some full-time roles. Typically, fractional leaders have long careers in full-time C-suite roles, but fractional work offers them the chance to make a positive impact on growing small to medium-sized businesses. They feel like they can have a greater impact on a small organization than within the constraints of a large corporation.
Why is the fractional boom in the C-suite happening now?
The concept of the C-suite has remained largely unchanged since the 1980s. Many view it as a static structure. However, were now facing a seismic shift as global megatrends begin to reshape how we work. Adopting experienced, agile leaders may be essential for businesses navigating challenges like climate change, political and economic instability, demographic shifts, and energy scarcity.
Fractional leadership allows businesses to be more agile by accessing the skills needed to address these megatrends. This includes bringing in leaders with experience in managing new technological changes, like AI implementation. Most fractional leaders also have access to a network of peers who can help inform decision-making when responding to global challenges.
Fractional leadership has grown from the realization that full-time presence in an office isn’t always necessary to perform valuable and important work. A few years ago, many companies were reluctant to hire leaders who couldnt be physically present daily.
Even with efforts to return-to-office mandates, the modern workplace has demonstrated that presence doesnt necessarily equate to impact. Fractional leaders will mirror the culture of each business they work with to build trust and rapport. That might mean being onsite regularly with those full-time back in the office, to matching a hybrid or remote work structure.
For years, weve seen the rise of the independent contractor economy. Small businesses have tapped this model for services like design, marketing, and accounting. The idea isn’t new. Fractional leadership is the next evolution of this trend. It will enable businesses to access the right talent at the right time to support growth without the overhead of a full-time hire but through a committed relationship for as long as the business needs.
This shift is also influenced by advancements in technology, which facilitate unbundling traditional job roles. Organizations are adopting more adaptive, problem-focused work models instead of conventional job-centric thinking. Fractional leadership provides the opportunity to outsource these unbundled roles, providing businesses with access to dynamic, fit-for-purpose skill sets. It will also allow senior leaders to integrate work with their personal lives.
The future of work with fractional leaders?
Right now, we are witnessing the rise of a blended workforce. Its no longer the norm to be a full-time employee working nine-to-five, five days a week in a physical office. Instead, the workforce comprises employees, fractional leaders, project freelancers, and gig economy workersall contributing valuable work.
The onset of AI is only going to accelerate this trend of unbundling roles. Fractional leaders will be ahead of these trends, from working with multiple companies, theyll be able to help businesses prioritize the human skills needed to grow a business alongside this blended future.
While businesses rely on fractional leaders, freelancers, and gig economy workers, the next question for businesses to tackle is how to shift their thinking from leading their employees to leading their whole blended workforce effectively. If they can learn to do this, business leaders can look forward to a more agile and nimble workforce to weather the future.
Douglas Adams brilliant novel The Restaurant at the End of the Universe describes Milliways, the fine dining establishment built in a time bubble and projected forward to the precise moment of the End of the Universe. Meals at such a singular restaurant are ridiculously expensivebut diners can easily pay for them.
All you have to do is deposit one penny in a savings account in your own era, and when you arrive at the End of Time, the operation of compound interest means that the fabulous cost of your meal has been paid for, Adams wrote.
When I read this novel as an impressionable 12-year-old, the Milliways-approved investing process appealed to me. With a little bit of money and a whole lot of time, compound interest could do the work for me while I sat back and looked forward to a truly world-shattering meal.
I was reminded of this recently when my spouse asked if the investment decisions we had set-and-forget several years before were maximizing our returns. Instead of jumping at the chance to ensure our finances were living up to their potential, I was annoyed at the prospect of having to make changes to a system Id already set up.
Until that moment, I thought I had a handle on my financial psychology. But apparently, I have some quirks of investment psychology that I wasnt even aware of. As do you.
Heres how your investment psychology may be misdirecting your investing decisionsand what you can do to get back on track.
What is investment psychology?
Although we think of finance and investing as a rational activity, we are likely to react emotionally to money. This is partially because of mental shortcuts known as cognitive biases. These are systematic patterns in thinking that can lead us to irrational decisions or behavior that runs counter to our goals.
For example, my preference to set-and-forget my investments is partially due to a cognitive bias known as the status quo bias. This cognitive bias describes a preference for the current state of affairs to remain the same.
I dont like to think of myself as a stick in the mud, and I could have given my spouse a rational-sounding reason why I dont double check that our investments are maximized. But I can see that my lack of interest in revisiting old decisions reflects something about my investing psychology: I prefer to make a decision once and stick to it. Thats the specific aspect of the status quo that I dont want to change.
This preference for once-and-done decision making isnt necessarily a bad thing, but it can cost me. If my spouse hadnt asked about our returns, I never would have thought to check and we could have lost years worth of potential returns.
After this experience, my spouse and I have realized that he needs to occasionally nudge me to check back on old investing decisions. That will help me avoid the complacency of my status quo bias.
Common investment psychology biases
There are a number of cognitive biases that may be keeping your investments from growing. Which of these biases sound like you?
Action bias
The action bias could be seen as the opposite of the status quo bias. If you have this cognitive quirk, you will feel the need to do somethinganything!rather than nothing.
If your portfolio drops in value, your action bias might lead you to sell in order to avoid a larger loss. Unfortunately, taking action at that time is often the worst option, since most losses are temporary, and selling makes the loss permanent.
To avoid the action bias, commit to waiting 24 to 48 hours before taking any action with your portfolio. This will give the market some time to recover from momentary dips, and will not make a significant difference if action is called for.
Additionally, find a trusted adviser or friend who can help you determine when action or inaction is appropriate. This can help keep you from developing an itchy trading finger.
Disposition effect
This cognitive bias describes the phenomenon where investors tend to sell a winning investment too soon while holding onto a tanking investment for too long. When you are experiencing the disposition effect, which combines a fear of losing out (in case the tanking investment suddenly goes gangbusters) plus a fear of regret (in case the winning investment takes a dive), you are trying to hedge your losses in both directions.
But evidence has shown that selling the losing investment and holding onto the winning investment is the smarter strategy. The disposition effect is making an emotional decision to hedge loss, rather than a rational choice to try to maximize your returns.
Researchers have found the best way to avoid the disposition effect is to implement long-term investment goals. Investors with a clear financial target not only successfully avoid the disposition effect, but they exhibit a reversal of the effect, selling the losing investments and keeping the winners.
Familiarity bias
Also known as the mere exposure effect, this cognitive bias leads investors to overinvest in assets they are familiar with. Specifically, American investors are more likely to put their money in domestic stocks, bonds, and funds, rather than getting international exposure in their portfolio.
The familiarity bias can go even further, with investors buying shares of companies they recognize, or even the company that employs them. (You might remember that Lehman Brothers employees owned 30% of the companys shares at the time of the banks collapse.)
But just because an investor is familiar with an asset doesnt make it the right investment for their portfolio. Diversification is typically the best way of combatting the familiarity bias. This may require the help of a financial adviser if you dont feel comfortable picking diverse international investments or other assets outside of your sphere of exposure.
Dont panic: a rational guide to investing
Humans arent great at making rational investment decisions, but were very good at lying to ourselves about that fact. To improve your investment choicesnot to mention your returnsstart by recognizing the ways in which your investing psychology may be leading you astray.
Perhaps, like me, you suffer from the status quo bias, and prefer to avoid revisiting any decisions youve already made. Or you might experience the opposite quirk, the action bias, which tells you to do something! anytime there is the slightest movement in your portfolio. You may fall victim to the disposition effect, where you hold onto a stinkr and sell a winner, despite it being a losing strategy. Or you might just stick with the familiar companies, asset classes, and investments you know, rather than diversifying your portfolio.
Heres the good news: once you know your brain is taking these shortcuts, youre better prepared to avoid them.
As for me, Im still keeping my Milliways savings account open. Ive got the time.
This article is republished with permission from Wonder Tools, a newsletter that helps you discover the most useful sites and apps. Subscribe here.
The most powerful AI tools don’t just save time; they expand our consideration of what’s possible. These assistants help us consider 5 or 10 times the number of creative options wed otherwise think about.
AI tools I consistently rely on
Research and analysis
Perplexity: Unlike Google’s long list of links, Perplexity delivers concise, citation-backed summaries that work like a presidential brief. This is perfect when you need to quickly understand consumer patterns, industry trends, or a complex topic.
NotebookLM (and Claude Projects): Upload your own documents, examples, and data to get personalized AI assistance. That ensures the replies to your prompts are anchored in your own materials and context. Now you can work with huge collections of information more efficiently and creatively.
Communication efficiency
Letterly and other voice-to-text AI tools like AudioPen and Oasis have transformed how I capture ideas. I call this “bionic dictation” because these tools don’t just transcribe your voice but transform it into organized text. This is particularly powerful for peoplelike mewho think out loud. As you think aloud, your AI assistant acts as an idea mirror, reflecting back to you a coherent summary of your own key points
Shortwave: This email tool uses AI to help you find messages using natural language rather than exact keywords. Many of us waste huge amounts of time hunting for messages. Shortwave helps.
Multimedia creation
Gamma (and Beautiful.ai) Create pro quality presentations without design skills. Spin up slide drafts quickly from a link, a doc, a detailed prompt, or an outline. Experiment with multiple styles quickly & easily. Spend time thinking and strategizing, not fussing with menus.
Hypernatural For quick video creation, paste in text, a link to a newsletter or blog post, or give it some text, audio, or video. From virtually any raw material you provide it will create an original video you can revise.
Eddie Edit video with simple text prompts. I recently trimmed an hour long workshop to an eight-minute highlight video just by instructing Eddie into what sections were most important using natural language.
Descript Edit audio and video without any technical expertise. The AI removes background noise, sound gaps and filler words. And you can customize your project by trimming the transcript just as youd edit any text document.
AI tactics that work surprisingly well
Reverse interviews
Instead of just querying AI, have it interview you. Get the AI to interview you, rather than interviewing it. Give it a little context and what you’re focusing on and what you’re interested in, and then you ask it to interview you to elicit your own insights.
This approach helps extract knowledge from yourself, not just from the AI. Sometimes we need that guide to pull ideas out of ourselves.
AI-assisted planning
AI is particularly helpful for strategic planning. Try this: create a Claude Projector a ChatGPT Projectand detail for your AI assistant your objectives and operating context. Have it help you think through a plan for the next month based on your goals.
The benefit is comprehensive thinking. Our planning falls short when we’ve left something out. We’ve forgotten to consider various factors or haven’t fully analyzed how things could go wrong.
Identify writing weaknesses
Give an AI assistant like Gemini, Copilot, Claude, or ChatGPT text you’ve written, with a prompt asking for specific feedback. For example:
Ask for questions your writing should answer but doesnt yet.
Prompt for a blind spot or a key point a critic might say youve missed.
Tell your AI aid to point out a section of your text thats boring or bland.
This approach elevates your work. In this paradigm, your assistant isnt writing for you. It’s giving you objective feedback on your work and helping you strengthen your own eye for edits. Its pushing you to reach a higher standard.
This article is republished with permission from Wonder Tools, a newsletter that helps you discover the most useful sites and apps. Subscribe here.
Every technological revolution brings with it management change. The rise of automation in the 1980s, for example, led to process reengineering (stripping out unnecessary steps to shorten timelines). Now with the dawn of AI, the next wave of organizational and leadership change is upon us.
Ron Carucci, a consultant and researcher on leadership and organizations, and Kathleen Hogan, Microsofts former chief people officer and its newly appointed EVP of the Office of Strategy and Transformation, have identified what they believe are four of the most fundamental shifts that leaders and organizations must consider to be future-ready. Paid subscribers will learn:
How to redefine career progression by impact, not rank
The most important trait that talent teams need to look for when hiring
Why AI will render the org chart a thing of the past
The three things Microsoft is looking for from every manager to train future leaders
1. From change management to change readiness
Less than a decade ago, best practices in change management involved carefully structured communication and stakeholder plans, phased rollouts with meticulous timelines, and well-resourced implementation strategies. This approach was built on the assumption that leaders knew in advance both the changes they needed to make and the precise destination they wanted to reach.
But today, change arrives so quickly that there is often no time to define a fixed endpointlet alone build a road map to get there. The new reality requires a shift from managing change as a project to developing a culture where change-readiness is an everyday capability.
To create this shift, leaders must first embrace a change-ready mindsetone that sees change as a continuous state rather than a series of isolated events. This means hiring and developing employees based on their ability to learn and adapt, not just their current expertise.
At Microsoft, being a positive pivoter means embracing change as the new norm instead of seeing it as a hardship. This means rewarding adaptability and resilience, shifting away from valuing stabilitykeeping things under controlas the ultimate leadership virtue.
Beyond mindset, leaders must also empower employees to actively drive change rather than passively waiting for direction. Rather than managing change top-down, leaders should coach employees to anticipate and shape it. This requires breaking down rigid structures and creating cross-functional teams that identify disruptions early and respond with agility. Finally, organizations must embed change as an everyday practice rather than a temporary initiative. Leaders should normalize experimentation and foster learning from failure.
At Microsoft, leaders have been prepared for this under Satya Nadella, where challenging ones fixed mindset is a daily habit. For example, as Microsoft wrestled with how to win in AI, we had to challenge the fixed mindset that we had all the answers. When we shifted to a growth mindset we embraced the opportunity to bring in outside perspectives and ideas. In the last year weve added three new externally hired executives to Satyas leadership team to enable the push into AI.
2. From hierarchical leadership to agile networks
In the past, organizations relied on well-defined hierarchies where leadership influence was dictated by reporting lines, and decision-making authority was concentrated at the top. This model created stability, but at the cost of agility, as decisions had to travel up and down a chain of command before action could be taken.
In todays fast-moving environment this rigid structure has become a liability. The future demands a shift toward agile, networked leadership, where decision-making is based on expertise, not hierarchy, and teams dynamically form and reform to tackle challenges as they arise.
To build this new model of leadership, organizations must move beyond traditional org charts to foster fluid, networked governance structures. One organization Ron consulted with, developed innovation hubs focused on specific product and customer segments. Each cross-functional group was assigned a specific innovation focus, given resources, and empowered to make go-no go decisions on their projects right up until prelaunch.
This dramatically reduced the time it took to complete projects because it eliminated relying on hierarchical decision-making for approvals. In one year, they increased their successful product launches by 46%.
3. From leadership as control to leadership as coaching
For decades, leadership was synonymous with creating order from chaos. The assumption was that strong leadership meant exerting control over ambiguity. However, today, uncertainty is no longer an occasional disruption, but a constant state.
Future-ready leaders must embrace uncertainty and develop coaching mindsets to help employees navigate complexity with confidence.
This shift begins with redefining leadership as coaching rather than controlling. Replace rigid performance reviews with real-time feedback that drives continuous improvement. Balance accountability with empathy, ensuring that expectations remain high (with clear measurable goals) while employees feel psychologically safe to take risks, experiment, and grow.
Microsoft has declared this year of intensified uncertainty and transformation as the year of the coach. Microsoft has identified three competenciesmodel, coach, careas foundational to managers at all levels. Weve learned candid coaching is care. Role modeling what it means to give thoughtful, clear feedback as well as acknowledging personal shortfalls earns the permission to candidly coach.
All people managers will have access to communities with tools and training to improve their coaching skills. They will also be able to exchange feedback. This will be particularly critical as AI agents become a regular part of managerial life. Managers will need to understand how to coach people to harness irreplaceable human assets like relationship building, empathy, and creativity.
Equipping leaders with strong coaching skills is essential in this new paradigm. This means training managers to ask the right questions rather than simply providing answers. It also requires setting and exceeding the bar for meeting customers evolving needs.
4. From status as power currency to contribution as impact currency
In many organizations, career progression has long been tied to status, measured by titles, reporting structures, team size, and invitations to high-level meetings.
Employees have traditionally viewed promotions as the primary means of increasing their impact. But in an era where speed, collaboration, and expertise matter over rank, the future of leadership must be based on influence and contribution, rather than job titles.
To create this shift, companies must redefine career growth and progression by rewarding employees for impact rather than hierarchy. Instead of promotions being the primary way to acknowledge high performers, companies should design pathways where employees can expand their influence by leading initiatives, shaping critical decisions, and contributing to strategic problem-solving, regardless of their title.
Leaders should invite those with relevant expertise into key discussions, regardless of rank. This also requires rewarding horizontal collaboration, where employees who bridge silos and drive cross-functional innovation are recognized and valued.
In one organization transformation, Ron helped a global financial services company redesign how key leadership meetings were handled. Originally, the company invited attendees to the meeting based on their rank. In the new approach, each attendee was assigned a role with clear expectations. Afterwards, everyone in the room was expected to cascade key messages and decisions.
This eliminated the entitlement that senior leaders often display when its their turn to join the important meetings. Instead of, I deserve to be here because Im a senior vice president, leaders showed up with a broader understanding of how they could create success together. By centering contribution over hierarchy, organizations will create a culture where the most capable and impactful employees thrive, decision-making is faster, and leadership pipelines are built on merit rather than tenure.
As the world of work continues to shift, leaders will do well to guide their organizations toward more adaptive structures that allow leadership to happen at all levels, and enable faster and more creative responses to market opportunities. Its time to leave behind outmoded approaches to leading and organizing human endeavors.
We are living with a lot of uncertainty right now. There are some economic headwinds, though hiring has remained robust. There are significant legislative changes on the horizon. Ongoing wars in Ukraine and the Middle East are creating global tensions. The rise of generative AI has led to concerns about the future of many jobs and industries.
The difficulty of predicting the future complicates decision-making for people at every level of an organization from low-level employees who may be angling for a promotion or thinking of a career change to high-level leaders who have to set strategy and select tactics for an entire organization. How can you make good decisions in this environment?
Process not outcome
The first thing to remember when making decisions in any environment (but particularly when there is a lot of turbulence) is that you have to focus on the process you use to choose rather than whether the outcome is the one you wanted. Begin by thinking about what information is important for the decision. Determine whether there are experts or team members you should consult along the way. Develop a method for combining information in advance if you can.
For complex decisions, this process probably requires some tools to help you keep track of the relevant information. Use spreadsheets and dashboards to organize data. Make lists of decision criteria and the weight that information should have in the ultimate choice so that you dont lose track of important factors. Refer to these tools along the way and dont rely only on your memory.
Know your risk tolerance
Two people faced with the same information and opportunities may not reach the same decision. A big factor you need to consider is your personal or organizational risk tolerance. What makes a decision difficult in uncertain environments is that future outcomes are not known. Even if you have access to all of the relevant information for the choice, there are factors outside of your control that will affect what happens, and you cannot know them in advance.
As you lay out your options, they will differ in your estimate of the likelihood of a bad outcome as well as the magnitude of that outcome. Ask yourself how willing and able you are to accept the worst-case scenario. When possible, avoid options where that worst-case is unacceptable.
Then, consider the likelihood of that bad outcome. Are you willing to live with the size of that risk? When you are risk averse, you are likely to have a bad emotional experience with decisions that carry a substantial chance of a big downside. Ultimately, you have to live through that decision period. Selecting options that will make you miserable is not a recipe for success.
Use data rather than anecdota
Data relating to decisions is valuable, because it often provides you with a large number of cases to inform the decision. You may be focused on the number of people getting jobs, or the success of other firms that have pursued a particular strategy. You may also be using data to forecast the future.
Despite the value of data, stories you hear are often compelling. Those studies can stick in the mind both because the outcomes from those stories feel salient, and because those stories come along with speculation about why a particular outcome occurred. That explanation can often make the future feel more certain than it really is.
As enticing as these anecdotes are, resist the temptation to allow them to have an outsize influence on your decision. If the data are pointing you in one direction, be careful of a single story that is urging you to go in a different direction. When you have reliable data, make sure that it provides a more significant guide to your future actions than a good story.
Dont ignore your gut
That said, if your decision process is pushing you in a particular direction, but the decision still feels wrong, take a pause. Psychologists distinguish between fast intuitive processes that are sensitive to the statistics of the environment and slow algorithmic processes that work carefully through information. Data-driven decision processes use this slower process, while your intuition is driven by those faster processes affected by the impression created by the instances you have seen in the past.
Many times when you make a choice based on data, your intuition is either consistent with that option or doesnt create a strong preference. Sometimes, though, your intuition is opposed to the option the data suggests. In those cases, use the conflict between the data and your gut to pause and think more carefully. Check to see whether there is something missing from the data or whether the process you have used to combine data to reach a decision has led you astray.
While you may still choose an option that feels wrong, use that uneasiness as a sign that there should be some additional scrutiny before selecting a course of action. In addition, if the decision is one that can be amended or fixed even after you start on a particular path, use the tension between data and gut as a signal to remain vigilant for something you missed so that you detect problems as soon as they arise.
When the small French city of Albi needed a new bridge for cyclists and pedestrians, it didnt start from scratch. Instead, it asked architects to repurpose an old railway bridge.
The viaduct, which spans nearly 600 feet across the Tarn River, is still in use by trains, so it wasnt possible to add a path on top. Instead, the new footbridge, which just opened, is attached to the side of the 19th-century structure.
It creates a direct link to walk or bike from the car-free city center to a large park and growing development on the other side of the Tarn. In the past, the only options for crossing were narrow, car-filled bridges farther down the river.
[Photo: Vincent Boutin/@vincentboutin.photographe]
On the old bridges, theres a lot of traffic, and not much space for the pedestrians and bicycles, says Matthieu Mallié of Ney Partners, the Brussels-based firm that designed the new bridge. The bicycles are in the vehicle lanes, so its uncomfortable for them to take this road. With the new passageway, youre in a dedicated area, and there are no cars, he says. Theres no pressure from motorized traffic.
[Photo: Vincent Boutin/@vincentboutin.photographe]
The bridge is one part of the local governments broader climate plan, which includes goals to cut car traffic and boost cycling. And it illustrates how going beyond a simple utilitarian design can increase the likelihood that people will actually prefer to walk or bike.
[Photo: Vincent Boutin/@vincentboutin.photographe]
On the new bridge, its possible to see the historic viaduct up close, something that wasnt accessible before. And the path includes extra space under each arch of the viaduct for people to linger and look at the city. Its like youre looking at the frame of a painting, Mallié says. The existing viaduct frames the landscape. It helps you understand the city from an unusual point of view.
Adding on to the old bridge also made it cheaper to build, at a cost of around 5.5 million euros (roughly $6.4 million). “From a structural and economical point of view, Mallié says, it makes sense to reuse an existing structure.
Im a drummer with a soft spot for vintage snares. I own a few that rarely get played. They sound great and look even better, but they take up space. If I kept collecting more, Id eventually have to give up something else: chairs, food, clothes, books, art. No matter how practical I claim these drums are, theyre bulky objects that sit idle for most of their life.
When it comes to city building, Americans struggle to apply that same basic interior design logic to personal vehicles. The magical thinking is that 10 pounds of Motordom can fit in a 5-pound bag.
Country living, suburban living, and city living are not interchangeable. You should be free to choose whatever suits you best, including the kind of vehicle you want to drive. But cities have a constraint that rural areas and the suburbs dontphysical space. There simply isnt enough room for every household to store multiple personal vehicles out front, let alone build the number of lanes so that everyone can drive in the same direction at the same time.
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Automobile storage centers
Despite that physical reality, most American cities have been engineered as massive automobile storage centers. This isnt a value judgment about driving. Its a spatial critique. Cars are large objects that sit idle 95% of the timeand when cities prioritize motor vehicles over everything else, its inevitable that housing, parks, and commerce get squeezed out.
Every time a road is widened, space for people walking, rolling, and riding bikes shrinks. Intersections balloon, making crossings longer and more dangerous. Parking garages devour valuable land. Building cities around the automobile is an absurd and wasteful decision that leaves cities congested, expensive, and less livable.
The worst part is that it doesnt even work. Expanding roads to solve traffic only invites more people to make trips they wouldnt have made. (The wonky planning term is induced demand.) When you make solo driving easier, more people drive solo. The new lanes fill up, and the traffic jams return.
Places of exchange
Cities are places of exchange: goods, services, ideas, and relationships. That exchange requires spacenot just for people to live, but to move, meet, flirt, play, rest, buy stuff, sell stuff, or just plain linger. Building cities around peopleinstead of machinesdelivers places people want to be.
Like any interior designer knows, good design isnt about cramming more furniture in an already-packed room. Its about prioritizing what makes the space work for the people using it. Here are three proven strategies for applying that same mindset to your citys public realm.
1. Stop forcing developers to build car storage.
Minimum parking mandates are among the most damaging policies in city planning. These rules require developers to build a set number of parking spaces regardless of context or market conditions. A local government might require 150 parking spaces for a 100-unit apartment building near high-frequency transit. The rulemakers dont care if its easy to opt out of owning a car.
These mandates inflate construction costs, reduce housing supply, and crowd out other uses. Let the property owners decide how much parking makes sense. American cities already have abundant housing for cars.
2. Expand your view of pedestrians.
Frequent and reliable bus service is an express sidewalk. Think of bus routes as part of the walking networkan option you use when the weathers bad, your bags heavy, or your legs are tired. That mindset shift helps normalize transit as a default mode of movement, not a last resort.
Engineering solutions like dedicated lanes and signal priority help keep the buses from being stuck in traffic. The more the bus feels like a moving sidewalk, the more people will choose it.
3. Make bike rides pleasant.
A connected bike network is one of the most cost-effective ways to increase mobility and reduce congestion. Especially now, with the rise of e-bikes, a 5-mile ride becomes a breeze even for older adults. E-bikes flatten hills, reduce sweat, and make iffy weather more manageable.
Build protected bike lanes that link destinations (residential areas, job centers, retail corridors, etc.). Build secure parking and charging stations for electric cargo bikes. Make biking the most attractive option for short trips.
Cities shouldnt be treated like storage units for large piles of personal property. If you wouldnt let stacks of idle drum kits block your kitchen, dont let oversize metal boxes dominate your streets. Good urban design, like good interior design, serves the people who live there.
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Finding a job is hard right now. To cope, Gen Zers are documenting the reality of unemployment in 2025.
You look sadder,” one TikTok post reads, flipping the recent You look happier trend on its head (in which people respond with the real reason theyre smiling a little more than usual).
@yasamelon
“Thanks, yeah, I’ve been laid off since September, applied to 700+ jobs, 30+ interviews, no offers, and rent is due again,” the post continues. The video has over 783,000 views, with many commenting they are in the same boat.
Being unemployed in 2025 means spending half the day on Linkedin and the other half walking around town looking for a Waymo to run me over, the same creator jokes in another video.
@yasamelon everybody say waymoooo original sound – Yas
For many job seekers, their unemployed status is not for lack of trying. Some are busy testing out different job hacks and documenting the results. Others are posting day-in-the-life videos of unemployment, highlighting the harsh reality of searching for a job in the current climate. I think the new Hot Girl Summer is actually gonna be Unemployed Girl Summer, one TikToker says.
Even the recruiters are weighing in. I am still shocked how many people in my comment sections are underestimating how cooked the corporate job market is, one recruiter explains in a recent video, currently at 617,400 views. Ive literally never seen candidates struggle as much as they are right now.
@the_realest_recruiter It seriously blows my mind #jobmarket #jobsearch original sound – TheRealestRecruiter
The comment section is filled with those sharing their own experiences and frustrations with the job search and current hiring processes. Ive come to the conclusion that most job board sites are nothing but data-mining operations, one person writes. I had to send in my birth chart (wish I was kidding), comments another.
The data backs it up: It hasnt been this hard for Americans to find work since 2021, according to CNN. While new data released Thursday showed that initial claims for unemployment benefits fell last week, the number of recurring claims made by people who already have filed for unemployment rose to their highest level since November 2021.
Rather than conducting mass layoffs, employers are reining in hiringleaving unemployed job seekers with the short straw. CNN also reported that people are staying unemployed for about six months on average, with long-term unemployment (27 weeks or more) nearing a three-year high.
Faced with such dire circumstances, some are choosing to look for a silver lining. As one TikTok post reminds: Enjoy your unemployed era while you still can. Or at least try to.
