Key Business Trends for 2025: AI Integration, Workforce Evolution, and Sustainable Strategies in Organisations

By Professor Fiona Robson, Head of Edinburgh Business School and School of Social Sciences, Heriot-Watt University Dubai

In 2025, the key trend is likely to be the development of further and wider uses of artificial intelligence within organisations, moving beyond organisations with an existing focus on technology. Obviously, the level of usage of AI will depend upon sectors and organisations but it is likely that uptake will continue to grow – and to diversify into areas or sectors that may not have previously been identified as logical places for AI.

Organisations will need carefully constructed communication strategies which can emphasise the benefits of AI and reassure stakeholders that it is not intended to completely remove humans from the organization. Some new roles are likely to be generated as well as some existing ones that need to be modified. A lot of AI tools still require some human intervention so staff may need to learn to work in a different way. Of course, change is always met with some apprehension and this may lead to a turnover of some staff, this isn’t always a bad thing as new staff may bring new expertise and ideas.

Where roles are being adapted organisations must invest in providing appropriate training and development for their employees. This will shorten the length of time before a positive impact may be seen from the new ways of working. It also needs to be acknowledged that the amount and focus of the training and development may be diverse across the organization. It is important that employees are confident and competent.

I expect the market for people who are highly skilled in the development of AI to become even more valuable within the marketplace so recruitment may need significant investment.  This could include ‘golden hellos’ as well as generous overall reward packages. However, organisations do not have endless budgets and should build in a buffer zone – perhaps linking reward to an extended time period. They may also consider the conditions of penalties if leaving within a specified time period, particularly if they are likely to move to direct competitors. Existing employees may also become particularly attractive to competitors so staff retention will be critical and may include financial and intrinsic elements.

Technology will continue to offer new ways of working that will need to be evaluated by organisations to understand the potential advantages and disadvantages. Behind this decision is organisations’ approaches to how their organization is operating on a day-to-day basis. For some, hybrid working remains in place, to try and get the benefits from both office and from home. Understanding the needs of employees can help to shape strategies that will work for both parties.

Every year organisations benefit from cohorts of students fresh from universities who have the latest knowledge and skills which may not already be present in the organization. There is a real opportunity here for organisations to be more strategic in their relationships with universities so that there are mutual benefits around student employability. Obviously fresh graduates won’t know anything and everything, but their mindsets often give an alternative way of thinking about things which can be valuable.

Flexibility will remain a valuable tool for recruitment and retention, and this moves beyond hybrid working. Flexible reward programmes enable organisations to give employees the benefits that are most valuable to them. This could include opportunities to buy or sell annual leave or receive a higher education allowance for their family members. Traditionally many organizations haven’t formally assessed the effectiveness or popularity of different reward options, so this is an area for contemplation. I would hope that some organisations might invest in their existing employees to undertake degree level study as this can be beneficial for all parties.

Sustainability is expected to stay high up on the agenda but also to move into a deeper dive and not just focus on the surface level issues. Organisations will be thinking about how they can become sustainable in the ways that they operate and encourage their key stakeholders to do the same. Awareness of the UN’s sustainable development goals is on the rise and organisation’s may wish to focus on some of the most meaningful and relevant to their business. Organisatons will be aware that consumers are far more educated than they used to be in terms of environmental and sustainable practices and use this to aid their decision making when procuring products or services. To make a real impact, organisations need to move beyond informing their staff about what is happening in relation to sustainable and environmental issues. Colleagues should have opportunities to offer their ideas.

It is likely that Government’s will also increase their focus on sustainable and environmental issues, and this may be in the form of formal requirements but also in offering support to organisations who wish to make changes to support this agenda. Having a seat at the discussion table could be advantageous in trying to influence policy and be recognized for good practice.