(01)
The new CHRO strategy: "I quit."
Top Human Resources leaders are having a human moment. Several have told us that, more than any of the disruptions this decade (including COVID), the growing list—and changing shape—of hats they're being asked to wear has them ready to walk away. These are some of the most accomplished, experienced, cool-headed executives we know, so what's going on?
SYP Managing Partner Sabrina Clark (who is also our own Chief People Officer) knows: "My peers are feeling stretched and splintered across roles that demand new and vastly different mind-sets, skill-sets and lenses on the organization—workflow architect, ethics officer, behavior designer—on top of managing continuity amidst massive disruption." It's an overwhelming portfolio. It's also an increasingly strategic one. That, Sabrina says, is a reason for these leaders to take heart: The companies that figure out how to redesign the CHRO role will have a competitive advantage in AI adoption, workforce transformation, and leadership effectiveness. The companies that don't, risk burning out one of the few executives who can see across all three.
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Getting to clarity at pace
"We're watching the strategic planning cycle collapse", says senior partner Jonathan Kerrs. Senior leaders are looking for other ways to get to clarity on key decisions. They are increasingly looking to mobilize teams for short, sharp in-person sessions in the hope of cutting through the noise and continual baseline shift: "There's an attractiveness to coming together to make really important decisions swiftly."
Jonathan advises against convening a generic offsite reflexively then loading up the agenda: different types of conversation—whittling priorities, setting direction, working on team performance—call for different modes, and agreements made on the back of superficial discussion won't stick. There are modular approaches that will yield results, but the underlying principle is you have to be very clear on your intention. "Before scheduling your next offsite, identify no more than three decisions that must be made in the room. If you can't name them, don't convene yet."
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An AI problem of our own making
Many organizations are struggling with the adoption curve at both extremes; some may be inadvertently compounding the gap. That's what we heard at the AI Dividend event we co-hosted recently in San Francisco. As one design executive noted, when it comes to setting expectations on AI effectiveness, even where slower adoption describes 99.8% of the workforce, "we index off of the 0.2%."
This faulty baseline degrades users' confidence, fueling resistance and widening the adoption gap. Meanwhile, enthusiastic use of AI in some orgs is producing tons of innovative activity at the expense of thoughtful curation across teams and projects. Knowing when to introduce slowness as an operating practice could become a critical judgment call for executives.
(04)
Fear and bureaucracy: the double bottleneck
At our Zero-Gravity Radical Imagination events, 23% of people told SYP that widespread 'fear of getting it wrong' is what's keeping their organizations from thinking radically. One leader said, "There's this idea of how many people need to approve your radical imagination, how many people need to bless what's going to potentially go out the door before you can actually do it, and it slows us down and it makes us less innovative." The fear is often justified: bold ideas are dying in committee, or getting sanded down to something safe, incremental, and forgettable by a governance infrastructure built for a different era.
Some of the most unfettered thinking is emerging from the edges of the organization where the stakes feel lower. At our Leading Through AI Disruption event, George Forbes of the U.S. Armed Forces told SYP, "What I see is my lowest skilled, my most junior people figuring out how to do their job faster and easier, because they have so many demands, and I'm empowering them."
Forbes' experience points to the power of explicit permission to fuel experimentation, even within a highly structured setting. Rather than prescribing use cases, he advocates providing a platform and allowing innovation to emerge: "We're gonna give you a platform. At the enterprise level, you figure stuff out, and we'll just start adopting the best of breed—'application darwinism,' as I call it."
As SYP said in our recent report on AI, the leaders who will break through are the ones who can thread the needle of permission within structure, empowering their teams to challenge hidden assumptions, envision futures and stumble on new sources of value.
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Holding the throughline: the CMO's strategic shift
Few roles have transformed as radically as the CMO's over the last decade. In the process, it has become one of the most strategically important jobs in the C‑suite. Jonathan Kerrs again: "the CMO is one of the few roles that has line of sight into both the world outside the company and the world inside the company," making them increasingly responsible for holding a single narrative that rings true for customers and employees alike.
As the role's remit has expanded, the market's patience for results has shortened, putting CMOs under pressure to prove they can drive growth as well as brand value. This shift invites CMOs to evolve from owners of messaging to architects of the company's direction, with far-reaching implications for their priorities, capabilities, and teams.