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by "Jignesh Pardeshi" <official@uffizio.com> - 10:30 - 26 Dec 2022

Our most-read leadership advice

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Great leaders know the value of taking time to rest and recharge—and we’re following their advice by taking a break from our usual Leading Off delivery schedule this holiday season. We hope you’re also finding some space to slow down and enjoy time with friends and family.

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Did you miss any of our most-read issues?

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Thanks for reading On Point and joining the conversation as we connect daily news to what it means for your business. We’re taking some time off for the holidays, but until we’re back in your inbox on January 9, we hope you’ll enjoy revisiting some of our most-read recent issues:

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by "McKinsey On Point" <publishing@email.mckinsey.com> - 12:51 - 26 Dec 2022

9. A defining moment: How Europe’s CEOs can build resilience to grow in today’s economic maelstrom

Can leaders lift their companies to the next frontier of resilience—not only to survive but also to thrive? Get the bigger picture

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by "McKinsey Top Ten" <publishing@email.mckinsey.com> - 03:27 - 24 Dec 2022

Look back at some of our readers’ favorite recent charts

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Thanks for reading the Week in Charts as we aim to provide you with the visuals you need to understand today’s biggest business and management challenges. Now the data shows that it’s time for a short holiday hiatus, though we’ll resume our weekly send schedule on January 7.

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by "McKinsey Week in Charts" <publishing@email.mckinsey.com> - 11:21 - 24 Dec 2022

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by "Jignesh Pardeshi" <official@uffizio.in> - 11:15 - 23 Dec 2022

Read some of our most popular recent issues

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We hope you’re enjoying this newsletter’s daily dose of hand-selected articles, charts, and quotes from the latest McKinsey insights. After today, Daily Read will be taking a brief pause before returning to your inbox on January 4. Until then, make sure you didn’t miss some of our most popular recent issues:

Understanding good strategy and bad strategy

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Digital twins: the foundation of the enterprise metaverse

The untold story of industrial technology companies

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by "McKinsey Daily Read" <publishing@email.mckinsey.com> - 06:58 - 23 Dec 2022

Recession-ready resources right here >

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by "Fiverr" <no-reply@announce.fiverr.com> - 07:05 - 23 Dec 2022

Catch up on popular recent issues—as we pause for the holidays

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Thanks for continuing to wrap up your week with the Shortlist, where we tackle the biggest questions in business, management, and global economic news. We’re taking some time at the end of this year to rest, regroup, and celebrate the holiday season—and we hope you’re able to do the same.

We’ll be back in your inbox early next year with a refreshed format that should make it even easier for you to take in each week’s need-to-know ideas. During our time away, we offer a look back at a few recent issues our readers loved the most:

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How Europe’s CEOs can push through swirling economic currents.

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These 14 technology trends matter most.

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by "McKinsey Shortlist" <publishing@email.mckinsey.com> - 02:16 - 23 Dec 2022

What just happened? Take a journey through some big inflection points.

On Point

TODAY’S NEWS. TOMORROW’S INSIGHTS.
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Brought to you by Liz Hilton Segel & Homayoun Hatami
Global leaders, Industry & Capabilities Practices

A 2022 retrospective

In the news

•

RSVP yes. In-person corporate holiday parties have come roaring back after a hiatus of two years. While some businesses are tightening belts as the economic outlook worsens, others have shelled out substantial sums to bring together colleagues who may be meeting one another for the first time, given stalled efforts to bring about an all-out return to the office. In-person parties may help nudge employees back there, according to a company that has polled organizations on their end-of-year party plans for roughly two decades. [WaPo]

•

The hybrid-work war. Executives thought 2022 would be the year employees returned to offices, but it wasn’t. At the beginning of the year, the office occupancy rate was more than 23%, which by April would jump to 43%, where it remained for the spring and summer. The occupancy rate reached 49% in December, after months of efforts to lure employees back with a mix of in-office perks and threats. As a result of the tug-of-war between employers and employees, the future of work is evolving in real time. [Fortune]

Looking back, 2022 was another year of upheaval—one of many recently. The changes we’ve seen this year are not garden-variety disruptions.

On McKinsey.com

•

A focus on food. One of the year’s defining economic stories has been soaring food costs. The convergence of the COVID-19 pandemic, supply chain constraints, and climatic events disrupted the global food supply, and many countries remain highly vulnerable to food shortages. Waste is also a concern: an estimated $600 billion a year of food (up to half of total production) is lost at or near farms, during or just after harvest, according to McKinsey senior partners Clarisse Magnin and Björn Timelin.

•

Transforming energy. Another theme that occupied the minds of leaders in 2022 is energy: Europe faced a record-breaking heat wave in August, and Pakistan was devasted by unprecedented floods. Meanwhile, geopolitical conflict created uncertainty in Europe’s energy supply. Conversations around the energy transition also accelerated this year, since energy use accounts for as much as 83% of all carbon dioxide emissions, as senior partners Hamid Samandari, Jonathan Woetzel, Sven Smit, and others note in a McKinsey Global Institute report. Discover the year-defining themes that shaped our world.

A look back at 2022

— Edited by Alexandra Mondalek, editor, New York

Please note: For our December 16 issue (“What role will women play in the metaverse?”), we printed that 17% of VC dollars go to women-led companies; to clarify, that figure is for women-led companies across all industries. For women-led metaverse companies, the figure is 10%.

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by "McKinsey On Point" <publishing@email.mckinsey.com> - 12:54 - 23 Dec 2022

The secret to great health? Escaping the healthcare matrix

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AN ARTICLE A DAY, PICKED BY OUR EDITORS

Brought to you by Liz Hilton Segel & Homayoun Hatami
Global leaders, Industry & Capabilities Practices

Everyone wants better health, especially at this time of the year. So it may not be a surprise that more than 90 percent of all healthcare spending is focused on treating physical disease or symptoms. But did you know that most countries don’t even try to systematically measure mental, social, and spiritual health despite the fact that they are just as important as physical health? And even with more than $8 trillion spent each year globally to prevent disease, symptoms, and death, there is no standardized way of defining and measuring optimal health. In a new article, McKinsey Health Institute coleaders Lars Hartenstein and Tom Latkovic suggest we think more broadly about how we approach health and what it means to be healthy. Be sure to check it out and start the new year with a healthy mindset.

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The secret to great health? Escaping the healthcare matrix

The blueprint to achieve a lifetime of great health is increasingly clear and within our control. But unlocking it requires challenging the orthodoxies currently guiding individuals and institutions.

Look at the big picture

Quote of the day

“There is a saying that the most exciting companies are born in times of crises. Looking at today’s megatrends, such as cleantech, we see a clear shift away from the next shopping app or direct-to-consumer offerings toward ideas that have a truly positive impact on society.”

—Jenny Dreier, an investor at EQT Ventures, in “How start-ups can manage uncertain times: Insights from leading European venture capitalists”

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Business building: The path to resilience in uncertain times

In an uncertain economy, executives’ first instinct might be to cut costs and shore up established holdings. A better way is to build new businesses.

Start today

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To regionalize or not? Optimizing North American supply chains

Companies have much to consider when deciding whether to relocate all or part of their production and supply chain footprints to meet North American market needs.

Accelerate and grow

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Fleet decarbonization: Operationalizing the transition

Fleet operators are under pressure to transition to greener business models. A strategic approach can help ensure that they optimize costs and engage effectively with new technologies.

Make an optimal transition

— Edited by Katherine Tam, editor, New York

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by "McKinsey Daily Read" <publishing@email.mckinsey.com> - 06:42 - 22 Dec 2022

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by "Andrew at SwaggerHub" <swaggerhub-team@smartbearmail.com> - 10:03 - 22 Dec 2022

Have you read our top stories on diversity, equity, and inclusion?

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Thank you for your readership of Intersection as we’ve worked to provide insights that inspire change in the workplace and empower employees from all backgrounds. We’ll be taking a pause at the end of this year to relax and recharge before returning to your inbox in the new year with more insights about inclusivity and diversity.

In the meantime, here are some of our top issues from the past year in case you missed or want to revisit them:

Women leaders are leaving jobs like never before. The next generation is set to follow

Asian Americans are a diverse and fast-growing workforce—with the highest income inequality in the US

A trans leader on the importance of telling your story

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by "McKinsey Intersection" <publishing@email.mckinsey.com> - 01:21 - 22 Dec 2022

Many retailers are stuck with excess stock. How can they get markdowns right?

On Point

TODAY’S NEWS. TOMORROW’S INSIGHTS.
A daily newsletter from McKinsey & Company

Brought to you by Liz Hilton Segel & Homayoun Hatami
Global leaders, Industry & Capabilities Practices

Why markdowns matter

In the news

•

Deep discounts. US retailers’ shops are so crowded with excess inventory that they’re asking suppliers to stop delivering even the goods that are popular with consumers. In July through September 2022, 20 of the biggest US apparel companies carried an average of $2.1 billion worth in inventory, a 26% increase from 2019. Last year, supply chain bottlenecks kept holiday merchandise from reaching stores until early 2022, leading to stockpiles of unsold products. As stores resort to deep discounts to offload goods, consumers can expect blockbuster deals. [Bloomberg]

•

US retail spending slows. US retail spending flagged in November as consumers reined in purchases of autos and holiday items. Retail sales dropped 0.6% in November from October, the largest decline this year. Consumers are spending more on food and other essentials, which leaves less money for holiday shopping, observed one retail analyst. Even with Thanksgiving, Black Friday, and Cyber Monday sales, spending on clothes, electronics, and sporting goods fell. Still, consumers spent more on dining out, suggesting healthy demand for services. [WSJ]

Consumers are going on the defensive financially—they have twice as much in cash savings (or
$3.7 trillion more) than they had in the fourth quarter of 2019.

On McKinsey.com

•

Sitting on excess stock. US consumers have kept retailers on their toes lately. Consumer spending recovered relatively quickly after the onset of the COVID-19 pandemic in early 2020. By 2021, consumer demand exceeded retailers’ stock levels. Since then, high inflation and fears of an economic recession have made consumers more cautious about spending, resulting in the opposite situation: more stock than demand. For many retailers entering this holiday season with high inventory levels and declining profitability, getting markdowns right will be critical, say McKinsey senior partner Becca Coggins and colleagues.

•

Slumping demand. With consumer demand slumping throughout 2022, items that were once hot commodities—such as coffee makers, exercise bikes, and loungewear—have been piling up in stores. But a host of other challenges, including ongoing supply chain problems and labor shortages, is also muddying the outlook for 2023. Retailers must become more responsive to stay ahead in a volatile world. By treating markdowns as an afterthought, many are leaving money on the table. Consider four questions that can help retailers get markdowns right.

Learn more about markdowns

— Edited by Belinda Yu, Editor, Atlanta

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by "McKinsey On Point" <publishing@email.mckinsey.com> - 12:43 - 22 Dec 2022

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by "Jignesh Pardeshi" <official@uffizio.in> - 10:30 - 21 Dec 2022

The future of banks: A $20 trillion breakup opportunity

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AN ARTICLE A DAY, PICKED BY OUR EDITORS

Brought to you by Liz Hilton Segel & Homayoun Hatami
Global leaders, Industry & Capabilities Practices

Banking as we know it is headed for a change. The era of the one-stop-shop bank, to which a wide variety of customers would turn for all their banking needs, is over; ahead lies a new era of specialized banks serving distinct customer segments. For banks looking to weather the coming reorganization, a new article by McKinsey senior partners Miklós Dietz , Joydeep Sengupta , and their co-authors offers five areas of transformation that may be necessary for survival. But survival isn’t the only thing at stake; for banks which stick the landing, McKinsey analysis estimates a value creation opportunity of up to $20 trillion.

The future of banks: A $20 trillion breakup opportunity

Banking is radically transforming. Many banks can thrive by fundamentally changing the way that financial services are embedded into daily life.

Align your resources

Quote of the day

“When you break new ground, the first transactions are always challenging and complicated. But scale and speed are the goals for climate and conservation finance; there’s an urgency here to apply new ways of thinking to find creative solutions.”

—Marisa Drew, chief sustainability officer of Standard Chartered, on Asia’s transition to net-zero in “Bridging the financial gap: How Asia can unlock its sustainability agenda”

Chart of the day

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My Rookie Moment: Flexibility

McKinsey senior colleagues share their formative early-career experiences to help you navigate yours.

Watch the episode

Driving growth while decarbonizing: A conversation with E.ON’s Patrick Lammers

The COO of customer solutions for one of Europe’s leading energy providers explains how he fosters growth during a historic, industrywide transition to renewable power.

Get ready for growth

A white path winding its way though a series of dense abstract obstacles. The path continues straight after it exits.

Planning for 2023: How US-based businesses can succeed when capital and talent are constrained

The Great Recession demonstrated the value of capital discipline. As interest rates are staying higher for longer, US-based leaders can put those lessons to work.

Put theory into practice

— Edited by Stephanie d’Arc Taylor, editor, Southern California

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by "McKinsey Daily Read" <publishing@email.mckinsey.com> - 06:36 - 21 Dec 2022

Sangoma On Air: Tune in to our latest podcast - What's Next for UC in 2023?

2023 Trends & Predictions

“What's Next for UC in 2023?"

What's Next?

In the past 2 years we have seen some big shifts in the Communication Industry – remote work environment, adoption of UCaaS (Unified communication-as-a-Service), need for more security etc. As we head towards the end of 2022, we are happy to bring a Sangoma podcast with Jim Machi, CMO & CPO for Sangoma. In this podcast, we will talk about all that happened this year along in UC industry and how Sangoma is decked up to be an industry leader in 2023. Tune in to the podcast to know all about the upcoming UC trends in 2023.

Tune in to the Podcast, Click Here

Podcast from Sangoma

The Emergence of the Business Communications System

The Future of Unified Communications

We have brought to you a 2 podcast series to share insights on “Future of Unified Communication”. The benefits of Unified Communication systems have emerged front and center for businesses of all sizes during 2020. UC has enabled many businesses to keep going forward in this remote work environment almost as if nothing had happened.
Click here to listen part 1
Click here to listen part 2

5 Ways a Hosted Phone System Can Help Small Businesses Succeed

Leveraging UC for Remote Working

Join our podcast to know more about the current situation, remote working, and how Sangoma plans to lead APAC through this pandemic. Click here to listen

5 Crucial things you need to know about upgrading your phone system

The process of choosing a new phone system is broad, with many steps involved. Naturally, some parts of the process seem to be less important and are easily forgotten. Click here to listen

Downfall of PBX giant - Lessons learnt & what to do next?

As most of you know by now, Panasonic is exiting the PBX business by the end of 2022. It’s sad to see Panasonic exiting the PBX business. They have been around a long time, and their products are solid. However this is not a surprise. Click here to listen

Click here to read insightful blogs from Sangoma.

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by "Sangoma Technologies" <webannounce@sangoma.com> - 05:01 - 21 Dec 2022

What does it take to build a software-centric business?

On Point

TODAY’S NEWS. TOMORROW’S INSIGHTS.
A daily newsletter from McKinsey & Company

Brought to you by Liz Hilton Segel & Homayoun Hatami
Global leaders, Industry & Capabilities Practices

Transforming through software

In the news

•

Tech talent bonanza. Traditional companies aiming to modernize their processes have a remarkable opportunity to hire from among the world’s top tech talent. Mass layoffs at some of Silicon Valley’s most storied companies mean that businesses that couldn’t previously compete against these tech giants for talent might now attract software engineers and other workers. In an increasingly volatile market, companies need workers skilled in cybersecurity, data management, and other areas to help them become more digitally agile. [HBR]

•

Sought-after skills. Despite recent layoffs in the tech sector, software developers and other skilled workers are being sought out by companies seeking to scale their organizations. So far this year, roughly 900 technology companies have dismissed 143,500 workers. In Silicon Valley, companies are snapping up engineers with expertise in AI and data science, says an executive at one venture capital company. Such workers can help with data collection and processing, as many businesses are endeavoring to understand their customers better. [BBC]

It is hard to become a software company—less than 7% of all software revenue in the world accrues to nontech companies, according to McKinsey analysis of 2019 IDC data.

On McKinsey.com

•

Switching to software. More and more traditional companies are realizing that to compete in a digital world, they must attempt to become software businesses, explain McKinsey senior partner Chandra Gnanasambandam and his coauthors. But making that switch isn’t easy. Becoming a software business requires different skill sets, practices, leadership, and organizational structures. To understand what works, McKinsey analyzed more than 20 software transformations and spoke with a dozen senior executives.

•

Talent search. Companies will likely need to rethink their recruiting practices for attracting software talent. One tech company opened new software development and design centers closer to prospective talent, including on the campus of an institute of technology. The company increased its number of employees by 50% in just a few years, with software-focused staff accounting for much of that growth. See six principles at the core of any effort to become a software company, along with what successful technology businesses are doing today.

Discover the six principles

— Edited by Belinda Yu, editor, Atlanta

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by "McKinsey On Point" <publishing@email.mckinsey.com> - 12:29 - 21 Dec 2022

Business building: The path to resilience in uncertain times

Harmony Internal - McKinsey

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AN ARTICLE A DAY, PICKED BY OUR EDITORS

Brought to you by Liz Hilton Segel & Homayoun Hatami
Global leaders, Industry & Capabilities Practices

In uncertain times, the first impulse for resilience-minded execs might be to cut costs and shore up the holdings they have—but that might not be the best path. Instead, building new business becomes even more critical in these times than in times of stability. Crisis and disruption are here to stay, write partner Matt Banholzer and senior partners Ralf Dreischmeier and Ari Libarikian, and conventional approaches won’t yield the same impact in a changing world. New-growth tactics have already seen results; 34 percent of companies that prioritized business building kept their revenues from shrinking during the pandemic. Don’t miss a new article on the types of new-business builds best suited for resilience, countering cyclic swings, and why top-performing companies are looking towards growth.

Business building: The path to resilience in uncertain times

In an uncertain economy, executives’ first instinct might be to cut costs and shore up established holdings. A better way is to build new businesses.

Start today

Quote of the day

“More and more, I think we all live in an environment where we work for money, but you want to feel like your work matters and it counts, and makes a difference. That’s why having clarity of purpose will drive employee engagement.”

—David Thodey, former CEO of Telstra and former chair of the Independent Review of the Australian Public Service, on the New South Wales government transformation in “Lessons in leadership: Making government ‘a great place to work’”

Chart of the day

Chart detailing that sixty-one percent of physicians in children's hospitals are experiencing at least one dimension of burnout

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ALSO NEW

Andrew Rose in white shirt with gray background

‘Future vehicles require future insurance’

In an interview with McKinsey’s Tanguy Catlin, Andrew Rose of OnStar Insurance discusses how telematics data will usher in a new era of auto insurance.

Find out more

Close-up of industrial worker using paint gun for applying paint

The future of US manufacturing is hiding in plain sight

In the United States, the glory days of manufacturing could once again be possible. Industrial tech companies, get ready for your close-up.

Invest more

Make way for the metaverse

The metaverse is morphing—and investments in the space are growing. Are you making the right moves?

Take a deep dive

— Edited by Sarah Skinner, editor, New York

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by "McKinsey Daily Read" <publishing@email.mckinsey.com> - 06:29 - 20 Dec 2022

Last chance! Recommend a nominee for our 2023 Remote Influencer Report!

Hi MD,

We are searching for nominations for our annual Remote Influencer Report, and we want to hear from you! If you know of someone who was not included in last year’s report, and you think should be recognized, you can nominate them by filling out this form.

Nominate an Influencer

Here are a few questions to ask as you think of who to nominate:

Are they advocating for remote and flexible work practices?
Are they actively leading change or influencing others?
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Each year, the report showcases the most influential and insightful voices in remote work so that we can provide you, our community, with a list of the most trustworthy experts to follow as we embark on the future of work together.

By providing your email address in the nomination, you will also be first to know when the 2023 Remote Influence Report is published.

Thank you for your nominations,

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by "Hallie at Remote" <hello@remote-comms.com> - 04:07 - 20 Dec 2022

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