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<h1 class="nist-page__title">2024’s CEO Challenge: Implement a Systems Perspective by Accelerating the Speed of Trust</h1>
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<div class="daterange"><time datetime="2024-09-17T12:00:00Z">September 17, 2024</time>
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<span>By: </span>
<a href="/blogs/blogrige/authors/harry-hertz-baldrige-cheermudgeon" hreflang="en">Harry Hertz “The Baldrige Cheermudgeon”</a>
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<p>It has been two years since I last examined the challenges facing CEOs and other senior leaders. I developed my thoughts on the current challenges without looking back at my insights from two years ago. Once I had this year’s themes identified, I looked back to see what I had written two years ago. To my surprise, I had titled the blog “<a href="/blogs/blogrige/building-trust-ceo-2022-are-you-thinking-about-focus-and-constant-reinvention" title="2022 CEO Insights Column details" data-entity-type="node" data-entity-uuid="d886af01-f58b-4139-bb33-cd7ad4172992" data-entity-substitution="canonical">Building Trust as a CEO in 2022</a>.”&nbsp;</p><p>In 2024, building trust takes on a very different set of challenges than in 2022. 2024’s interlinked challenges for CEOs can only be addressed by viewing and guiding each of their organizations as a system that cannot be built without trust among the organization’s people and its ecosystem.&nbsp;</p><p>Six key areas of the system need attention: three that require <em>urgent</em> and immediate attention and three that require <em>ongoing</em> focus and attention. All six themes are interrelated, and in some cases, the arguments I make could fit equally well under one of the other areas. Hence, CEOs need to focus on the organization as a whole, living, evolving system.</p><h3>Following are the six areas (first <em>urgent</em>, then <em>ongoing</em>):</h3>
<div class="align-right nist-image--lightbox nist-image" data-lightbox="https://www.nist.gov/sites/default/files/styles/2800_x_2800_limit/public/images/2024/09/12/Six-Areas-Focus-System.png?itok=pPSUmCG4" data-media-id="719641">
<img loading="lazy" src="/sites/default/files/styles/480_x_480_limit/public/images/2024/09/12/Six-Areas-Focus-System.png?itok=P63Eu2_l" width="480" height="465" alt="A systems approach graph for CEO challenges of trust showing the six key areas with three being urgent and three being ongoing. Urgent: 1. Employee Centrality 2. Artificial Intelligence (AI) and Digital Transformation 3. Risk and Resilience. Ongoing: 1. Environmental, Societal, and Governance (ESG) Responsibilities 2. Innovation 3. Mission and Vision Commitment." typeof="foaf:Image">
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<p><strong>Urgent</strong></p><ol><li><a href="#employee" title="Employee Centrality">Employee Centrality</a></li><li><a href="#ai" title="AI and Digital Transformation">Artificial Intelligence (AI) and Digital Transformation</a></li><li><a href="#risk" title="Risk and Resilience">Risk and Resilience</a></li></ol><p><strong>Ongoing</strong></p><ol start="4"><li><a href="#esg" title="Environmental, Societal, and Governance (ESG) Responsibilities" name="_Hlk173320637">Environmental, Societal, and Governance (ESG) Responsibilities</a></li><li><a href="#innovation" title="Innovation">Innovation</a></li><li><a href="#mission" title="Mission and Vision Commitment">Mission and Vision Commitment</a><br>&nbsp;</li></ol><p>As in the past, I have combined what I heard from senior executives across sectors, what I read in blogs and publications, and what I learned from numerous studies.</p><p>I will briefly describe the 11 articles and studies that had the greatest influence on the current study, share information on each of the six themes for consideration in 2024, briefly relate how the&nbsp;<a href="/baldrige/publications/baldrige-excellence-framework" title="more details about the framework" data-entity-type="node" data-entity-uuid="00b6643c-f609-4ef9-baab-8a71ecca6aa9" data-entity-substitution="canonical">2023–2024 Baldrige Excellence Framework®</a>&nbsp;addresses these topics, and provide some food for thought as the Baldrige framework is being revised (for 2025–2026) to remain at the leading edge of validated leadership and performance practice.</p><h3><span><strong>The 11 Articles</strong></span></h3><p>Four articles/studies were the most informative for me. The first, “<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/ceo-priorities-where-to-focus-as-the-year-unfolds">CEO Priorities: Where to Focus as the Year Unfolds</a>,” is based on an April 4, 2024, McKinsey &amp; Company podcast with Homayoun Hatami, Liz Hilton Segel, Roberta Fusaro, and Lucia Rahilly (McKinsey). The second article, “<a href="https://www.conference-board.org/publications/C-Suite-Outlook-2024-leading-for-tomorrow">Leading for Tomorrow: Winning through Change and Disruption</a>,” is the 2024 Conference Board’s C-suite outlook (CB). Co-authored by Charles Mitchell, Dana Peterson, and Paul Washington, it is based on a survey of 1,247 C-suite executives, including 630 CEOs. The third article, “<a href="https://www.stantonchase.com/insights/unknown/the-forward-thinking-ceo-how-ceos-can-turn-challenges-into-opportunities-in-2024">The Forward-thinking CEO: How CEOs Can Turn Challenges into Opportunities in 2024</a>,” by Daniel Casteel, Petra Gerstner-Eilers, and Tony Kang of Stanton Chase, is based on conversations with leaders from diverse industries in the United States, Germany, and Korea (SC). The fourth article, “<a href="https://www.forbes.com/sites/rhettpower/2023/07/21/looking-ahead---2024-survival-guide-navigating-leadership-challenges-in-a-rapidly-changing-world/">Looking Ahead—2024 Survival Guide: Navigating Leadership Challenges in a Rapidly Changing World</a>,” is a Forbes Small Business Entrepreneurs article by Rhett Power (Forbes).</p><p>The remaining articles are “<a href="https://www.forbes.com/sites/forbescoachescouncil/2024/02/22/14-challenges-facing-ceos-in-q2-and-how-to-overcome-them/">14 Challenges Facing CEOs in Q2 (and How to Overcome Them)</a>,” by members of the Forbes Expert Panel® and Coaches Council (Forbes Council); “<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/what-matters-most-eight-ceo-priorities-for-2024">What Matters Most? Eight Priorities for CEOs in 2024</a>,” by Homayoun Hatami and Liz Hilton Segel from McKinsey &amp; Company (McKinsey2); “<a href="https://www.pwc.com/us/en/executive-leadership-hub/ceo.html">What’s Important to CEOs in 2024</a>,” PwC’s 2024 CEOs agenda (PwC); “<a href="https://www.inc.com/joe-galvin/the-5-biggest-hurdles-for-ceos-in-2024.html">The 5 Biggest Hurdles for CEOs
<img loading="lazy" src="/sites/default/files/styles/480_x_480_limit/public/images/2022/12/12/2023-2024-Baldrige-Excellence-Framework-cover.jpg?itok=CnAq2c1t" width="373" height="480" alt="2023-2024 Baldrige Excellence Framework Business/Nonprofit cover artwork" typeof="foaf:Image">
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</div><div class="grid-col-9"><h2>Baldrige Excellence Framework®</h2><p>The <a href="https://www.nist.gov/baldrige/publications/baldrige-excellence-framework">Baldrige Excellence Framework®</a>&nbsp;has empowered organizations to accomplish their missions, improve results, and become more competitive. It includes the Criteria for Performance Excellence®, core values and concepts, and guidelines for evaluating your processes and results.</p><h3><a href="https://www.nist.gov/baldrige/publications/baldrige-excellence-framework"><strong>Purchase your copy today!</strong></a></h3><p>Available versions: <a href="https://www.nist.gov/baldrige/publications/baldrige-excellence-framework/businessnonprofit">Business/Nonprofit</a>, <a href="/baldrige/publications/baldrige-excellence-framework/education" title="Baldrige Excellence Framework (Education)" data-entity-type="node" data-entity-uuid="1456338f-3700-4348-81b9-3c7bb4f122ce" data-entity-substitution="canonical">Education</a>, and <a href="/baldrige/publications/baldrige-excellence-framework/health-care" title="Baldrige Excellence Framework (Health Care)" data-entity-type="node" data-entity-uuid="60e4dd30-b690-43ab-b954-770653ddd218" data-entity-substitution="canonical">Health Care</a></p></div></div><hr>
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<div class="text-with-summary"><p>I am Harry Hertz, the Baldrige Cheermudgeon, and Director Emeritus of the Baldrige Program. I joined the Program in 1992 after a decade in management in the analytical chemistry and chemical sciences laboratories at the National Institute of Standards and Technology (NIST), the home of the Baldrige Program. I started my career at NIST (NBS) as a bench analytical chemist.</p>
<p>My favorite aspects of the Baldrige Program are: (1) the opportunity to interact with leading thinkers from all sectors of the U.S. economy who serve as volunteers in the Baldrige Program, who participate in the Baldrige Executive Fellows Program, and who represent Award applicants at the forefront of the continuous journey to performance excellence, and (2) the intellectual challenge of synthesizing ideas from leading thinkers and from personal research into <em>Insights on the Road to Performance Excellence</em> and other blogs that tackle challenges at the “leading edge of validated leadership and performance practice,” and contribute to&nbsp;the continuous revision of the Baldrige Performance Excellence Framework.</p>
<p>Outside of work I spend my time with family (including three beautiful granddaughters), exercising, baking bread, traveling, educating tomorrow’s leaders, and participating on various boards and board committees.</p></div>
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