As 2024 draws to a close, I’ve been having conversations with clients and colleagues, both here and overseas, about the “vibe” of the decade. How will we remember the 2020s? What will define it?
The 2020s have already proven to be one of the most transformative decades in recent history. The early years were dominated by the COVID-19 pandemic, reshaping how we live, work, and lead. As we navigated toward the conclusion of 2024, I felt a clear theme emerged: this is a year of transition. A transition from the pandemic era to something new – a new future which is yet to fully emerge.
Whilst the pandemic era is fading into the rear-view mirror, its impact continues to influence decisions in homes, workplaces, and boardrooms. Leaders find themselves at a juncture, standing on the cusp of what’s likely to define the decade. By 2025, the vibe of the 2020s will solidify. Leaders can prepare now for the challenges and opportunities this new era will bring.
Reflecting on the early 2020s: From survival to reinvention
The early years of this decade were shaped by survival and rapid adaptation. Organisations scrambled to navigate lockdowns, remote work, and supply chain disruptions. While difficult, this period brought innovation and a re-evaluation of priorities.
At a personal level, working hours, styles and locations changed. Some people made the move away from big cities. Video conferencing became entrenched as a standard meeting practice. AI tools crept into some workplaces, making routine tasks easier.
By 2023, a shift was underway. Leaders began looking beyond survival, focusing instead on reinvention. Hybrid work became the norm, employee wellbeing rose to prominence, and values-driven leadership became essential. As we moved into 2024, organisations started to recalibrate their strategies. The focus is now on creating sustainable, future-ready workplaces that balance performance with purpose.
2024: The Year of Transition
This year feels like a turning point — a bridge between the disruption of the early 2020s and the clarity to come. Leaders are beginning to see patterns emerge:
Hybrid work isn’t going anywhere, but balance is key: For employees, flexible work arrangements are now an expectation, not a perk. For employers, firmer rules around office attendance are being put in place by more organisations.
Technology is accelerating change: Artificial intelligence, automation, and digital tools are transforming industries at a pace faster than many expected. Demand for some roles will fade, and in their place new roles such as AI trainers, Autonomous systems supervisors, AI ethics specialists, and Human-AI interactions designers may emerge.
Leaders face rising expectations: It feels tougher than ever to be a leader. Employees and stakeholders now demand greater transparency, inclusivity, and accountability from leadership, reshaping how trust is built in organisations.
But it’s not just about responding to trends. Leaders in 2024 want to anticipate what’s next. That’s where the transition becomes both exciting and challenging.
What leaders can expect in 2025
By 2025, the midpoint of the decade, we’ll have a clearer picture of what defines the 2020s. We expect to see leaders adjusting to shifts that will fundamentally reshape the workplace. Here’s what can be expected:
1. The normalisation of AI in decision-making
Truly profound impacts of AI on our economy are coming in the latter part of this decade. Artificial intelligence will no longer be a novel tool but a standard part of organisational operations. Leaders will become ever more fluent in leveraging AI for decision-making, from predictive analytics to personalised employee experiences. Those who learn and embrace AI tools now will strengthen their competitive edge.
2. A renewed focus on culture and connection
While remote and hybrid work will remain, for some teams the novelty is wearing off, and cracks in team culture are becoming visible in some organisations. In 2025, leaders will prioritise rebuilding connection and engagement in dispersed teams. We expect to see slightly more frequent team gatherings in real life, and creative solutions that blend technology and in-person interactions to foster a sense of belonging.
3. A leadership reset
The traditional idea of leadership as hierarchical and directive will continue to give way to collaborative, empathetic models. Leaders in 2025 will continue their movement towards being facilitators and coaches, focusing on empowering their teams. Emotional intelligence, adaptability, and resilience will continue to be core skills.
4. Balancing sustainability with economic priorities
With the recent trend towards more conservative governments at state and territory level, and the return of Republican majorities in the US, there is a shift in policy emphasis towards economic growth and deregulation. While sustainability remains a critical issue for consumers and global markets, leaders may face reduced regulatory pressure but heightened scrutiny from stakeholders who value environmental and social responsibility. Leaders will need to navigate this complex landscape, balancing economic priorities with genuine, strategic commitments to sustainability to maintain trust and competitiveness.
5. The rise of the “work-life ecosystem”
As we stretch into the middle of the decade, and a higher presence of Gen Z employees in the workplace, we expect the concept of work-life balance will evolve into a more integrated “work-life ecosystem.” Leaders will face growing expectations to support their teams in ways that recognise the complexity of modern life. From flexible schedules to mental health resources, successful organisations will take a holistic approach to employee wellbeing.
The role of leaders in shaping the decade
The next few years will challenge leaders to move beyond reactive decision-making and take a proactive stance. We expect to see leaders increasing using curiousity and questioning – fostering a mindset that is open to uncertainty and embraces adaptability. In one sense, the key skill we strengthened in the COVID-dominated early part of the decade – agility – will be needed more than ever.
Actions leaders can take now
Critical investment in learning and development: Equip your teams - and yourself - with the skills needed to navigate a rapidly changing landscape. Focus on AI literacy, team resilience, emotional intelligence, and change management. Melbourne Leadership Group will be further extending our support into these spaces for our clients in 2025.
Build a more resilient culture: Don’t wait for cracks to appear. Strengthen your team and organisational culture now by prioritising trust, communication, and shared values.
Lead your team with purpose: Articulate a clear vision for the team in 2025 that aligns with the values of your employees and stakeholders. Purpose-driven teams and organisations are more likely to attract and retain top talent.
2025: A defining year for leaders
As the midpoint of the decade approaches, 2025 will mark a turning point where emerging trends solidify into long-term realities. Leaders who prioritise agility, innovation, and alignment with stakeholder values in 2024 will set their organisations apart. This isn’t just a chance to adapt - it’s an opportunity to redefine success for the years ahead.
Final thoughts
The trend of the 2020s so far has been one of evolution, with the past few years marking a profound shift in how we work and lead. As we transition into the defining years of the decade, leaders have a chance to shape the future, both for their organisations and the wider world.
The vibe of the decade is truly about to emerge.
In Australia, where improvisation, innovation and adaptability to the environment are national strengths, the potential for leadership excellence is immense. If you’re looking for support to prepare for the future, our leadership development programs are designed to help leaders thrive in a complex, fast-changing world. Contact us here to explore further.
We wish all of our clients a Merry Christmas - and can’t wait to work with you in the pivotal year of 2025, as the shape of the decade becomes apparent to us all.
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