McKinsey Talks Operations
Powering productivity: Operations insights for 2025
Feb 11, 2025
Dan Swan and Ruth Heuss, senior partners at McKinsey, delve into the future of operations. They discuss how companies can empower their workforce to adapt to ongoing change, citing generative AI and sustainable supply chains as key tools. The duo emphasizes the need for collaboration between COOs and CIOs to optimize organizational efficiency. They also tackle the challenges of securing support for technology investments and highlight the importance of integrating frontline input in transformation initiatives for enhanced productivity.
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Quick takeaways
- Companies must navigate uncertainty by exploring various scenarios, enhancing operational planning and strategic decision-making through informed insights.
- Maximizing productivity requires a dual focus on implementing new technologies and addressing core operational challenges like procurement and supply chain management.
Deep dives
Navigating Uncertainty in Operations
Uncertainty is a significant concern for businesses as they navigate macroeconomic factors such as geopolitics, trade tariffs, and fluctuating consumer spending. This unpredictability affects how companies plan their operations and make crucial strategic decisions. In 2024, decision-makers have struggled to gain clarity in a complex landscape shaped by previous inflationary pressures and ongoing economic shifts. To adapt, companies are encouraged to explore various scenarios and their potential outcomes, facilitating a more informed approach to operational planning.
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