Business Trends 2025: Growth, Flexibility, and Innovation

Are businesses prepared for the complexities of 2025?

Leaders are facing rapid shifts across industries as customer expectations change and economic uncertainty looms. While digital transformation, fueled by generative AI, omnichannel technologies, and IoT automation, is transforming operational models, dynamic workforce structures are redefining talent strategies. Leaders in industries including healthcare, manufacturing, technology, and real estate have particular difficulties ranging from managing limited resources to effectively scaling in highly competitive markets.

Companies are finding opportunities to innovate within these complexities by using cutting-edge technologies, expanding new markets, and redesigning consumer experiences. This guide examines the trends, strategies, and solutions influencing the outlook for 2025 and beyond.

2025 Business Outlook Report

The 106-page 2025 Business Outlook Report breaks down the biggest shifts happening right now.

2025 Business Outlook Report from LBMC

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1. Change of Workforce: Adopting Dynamic Workforce Structures

CEOs are most concerned with talent retention as well as upskilling for AI integration and emerging technologies. To build a resilient and inclusive workplace, leaders must be prepared to combine technology integration with soft skills training.

The adoption of blended workforce models is changing employee expectations, redefining workforce tactics, and modifying the way companies are run. This change has given businesses the chance to recruit talent globally, use technology to increase production, and offer professional development to team members.

With 8.8 million vacancies currently unfulfilled in the United States, these models are becoming more and more important for businesses to remain competitive in a market that is more dynamic and solve staff shortages as they develop.

“Transformation is occurring at an unprecedented pace. We must anticipate change and adapt organizationally to where we need to be for our clients and our people.”
JIM MEADE, CEO, LBMC, PC

Global Talent Pool

Blended work models allow businesses access to a worldwide talent pool. Sixteen percent of businesses have completely adopted remote operations, allowing them to hire top talent regardless of location. Forty percent of companies also said that remote work has improved their capacity to draw people from underrepresented groups, therefore creating a more inclusive workforce. This strategy not only improves culture but also helps businesses fill specialist roles that could not otherwise be filled in local markets.

Investment in Collaboration Technology

Due to dynamic workforce structures, companies understand the need for modern collaborative technology. The worldwide collaboration software industry is expected to reach $18.3 billion by 2025. This includes virtual conference tools and instantaneous datasharing systems. Eighty-five percent of companies intend to devote additional funds to systems that enable distant collaboration, including virtual conference tools and instantaneous data-sharing systems. These technologies are designed to improve project management, enable seamless communication, and increase team productivity.

Upskilling and Reskilling Initiatives

Organizations are emphasizing upskilling and reskilling their employees as blended work environments change to fit shifting needs. Of those working in learning and development, 59% said skill development was their main concern in 2024. Strong learning cultures help companies be 52% more productive and 92% more innovative.

Investing in both technical and interpersonal skills helps businesses equip their teams with tools to negotiate new problems and produce a workforce that is robust, flexible, and future-ready.

“Flexibility in the workplace opens another exciting opportunity for companies worldwide—hiring employees who do not live within driving distance. Now that employees can more easily work from wherever they choose, companies can hire top talent without having location restrictions, while also saving on possible relocation costs. This change also opens the opportunity for your current employees to relocate without leaving your company, reducing turnover, and allowing you to continue nurturing the talented people already on your team.”
ERIC FOODIM, CEO, LBMC EMPLOYMENT PARTNERS

Opportunity

For companies trying to remain agile and competitive, blended workforce structures are a necessity rather than a choice. Companies can create strong, adaptable teams by embracing a global talent pool, investing in innovative collaboration platforms, and committing to upskilling projects.

This strategy helps companies to draw top talent, improve output, and build a forward-looking workforce.

Actionable Advice: Implement flexible work policies to attract top talent. Leverage global hiring platforms to fill specialist roles. Prioritize employee development through tailored upskilling programs.

“Although certain job markets are stabilizing, competition for talented, experienced workers remains strong. Businesses continue to face structural challenges, such as historically low unemployment rates and demographic changes that decrease workforce participation. Attracting and retaining top talent requires not only competitive compensation but also a workplace culture that values transparency, well-being, and opportunities for growth. Companies that prioritize these elements will not only draw the best and brightest but also have a strategic edge.”
DEBBIE ELLIOTT, CEO, ACCOUNTING AND FINANCE DIRECT HIRE, LBMC STAFFING SOLUTIONS

2. Generative Artificial Intelligence Speeding Up Sector Innovation

By changing how businesses run and interact with consumers, generative artificial intelligence (AI) is quickly reshaping how we do business. Innovation in product design, improved consumer experience, and increased operational efficiency are resulting from new technology.

Generative AI helps companies stay competitive and adjust to changing customer demands. In particular, 65% of American company executives believe that generative AI will have a major influence on their companies in three to five years.

Forecasts show the U.S. generative AI market will grow from $5.03 billion to $241.41 billion by 2033 (CAGR 47.3%). A separate projection forecasts a CAGR of 36.3% from 2024 to 2030.

“The age of AI is here, and in 2025, businesses will be moving from thinking about AI to implementing AI for a true competitive edge. Agentic AI is emerging as a powerful force in automation, making data readiness and AI pilot programs vital for staying ahead.”
JON HILTON, SHAREHOLDER AND PRACTICE LEADER, CONSULTING AND BUSINESS INTELLIGENCE, LBMC, PC

Digital Transformation and AI

Combining generative artificial intelligence with cloud computing and automation is transforming companies. AI helps businesses rapidly adjust to changing customer expectations by simplifying procedures, predicting trends, and driving operational efficiency.

This technology shortens product cycles, speeds product development, and improves customizing, and matching operations with fast-changing market trends. Generative AI helps companies innovate, scale successfully, and remain competitive in a dynamic, data-driven environment by streamlining processes, lowering risks, and supporting better decision-making.

As generative artificial intelligence develops, it helps businesses to react rapidly to consumer needs, simplify business, and lower running risks. By improving adaptability and efficiency across industries, this technology not only addresses current needs but also sets companies up for future expansion. Adopting generative AI is not only a choice; for businesses striving to lead in the fast-paced, data-driven environment of today, it is a necessity.

“A data analytics and AI service can help take your organization to the next level. If you want to turn your company’s data into actionable results, a data analytics team of experts can make a significant difference.”
CHARLIE APIGIAN, LEAD DATA AND AI STRATEGIST, LBMC, PC

3. 5G Connectivity

The introduction of the 5G connection is transforming data and automation use by businesses. Its real-time distribution and speedy data processing are redefining performance criteria for many industries. 5G creates new chances for operational accuracy and creative consumer experiences by allowing smarter systems, enabling organizations to remain competitive in an environment that is going more and more digital.

By 2024, North America is projected to reach 215 million 5G connections, with standalone networks growing three to five times faster than previous generations. Offering real-time analytics, seamless IoT integration, and scalable connectivity, 5G is revolutionizing operations across industries.

Real-Time Insights and IoT Connectivity

5G enables smarter systems with lower latency and faster data processing. These developments release breakthroughs such as virtual reality, high-density video applications, supply chain monitoring, autonomous systems, and AI-driven analytics. Through capabilities like flexible network slicing, companies may satisfy special operational needs while fostering innovation and efficiency in a data-driven environment.

Immersive customer experiences, real-time operational enhancements, and enhanced automation cannot be emphasized enough. Companies embracing this technology will be positioned to take advantage of its transforming power, resulting in a more connected and productive future.

4. Omnichannel Growth and E-Commerce

Through omnichannel and E-commerce strategies, companies can improve their market position and service delivery. Start with combining mobile optimization, artificial intelligence-powered insights, and flexible buying strategies.

From free shipping to same-day delivery, speed and convenience-shaped purchase decisions. Capturing these opportunities requires leveraging accessible channels effectively. As companies expand their digital presence, balancing innovation with robust security becomes critical, ensuring operational resilience while meeting consumer demands. Consumer spending is expected to grow by 2.4% on durable goods in 2025. Generally, increased spending on durables is seen as a signal of rising consumer confidence. Businesses can use omnichannel technologies to improve customer engagement and make operations run more smoothly in this strong economic environment.

“Technology and SaaS companies are under more scrutiny to demonstrate cyber diligence and are often asked to do so on tighter budgets with an expectation of having more resilience and minimal business impact should an attack occur. We help our clients balance all three of these.”
DREW HENDRICKSON, SHAREHOLDER AND PRACTICE LEADER, CYBERSECURITY, LBMC, PC

Mobile Optimization and AI Personalization

Investments in user experience are not optional as the share of mobile shopping transactions continues to increase. Artificial intelligence improves e-commerce even more by means of consumer behavior analysis and tailored product recommendations.

These tailored interactions streamline the purchasing process and boost shopper conversion rates. All business types should be monitoring mobile use by their key audiences to maintain visibility and improve customer experience.

Omni-channel Strategy

Combining physical stores, e-commerce systems, and logistics guarantees companies satisfy consumer needs for seamless transitions between online and in-store contacts. As omnichannel solutions have become more popular, companies using these channels find that customer satisfaction and repeat business increase.

The omnichannel approach is no longer a trend but rather a necessity. Companies with strong omnichannel customer engagement strategies retain an impressive 89% of their customers, compared to only 33% for companies with weak omnichannel strategies.

Using mobile-ready platforms and AI-powered customization, businesses can engage customers at all levels of touch, enhancing the buyer experience. Omnichannel strategies are found at the junction of digital and physical encounters.

5. Cybersecurity and Sustainability

Combining cybersecurity with sustainability has become a strategic focus as companies negotiate a world where digital hazards and environmental concerns rule. This strategy emphasizes enhanced operational resilience and brand loyalty. Data breaches rose 490% in the first half of 2024.

Integrating Cybersecurity with Sustainability Goals

In early 2024, the Federal Trade Commission (FTC) reported 1.4 million identity theft cases for 2023. By the third quarter of 2024, 842,000 cases had already been reported, indicating a potential increase in identity theft reports for the year. In response, many businesses are strengthening mobile and cloud security through 24-hour monitoring and incident response strategies, ensuring resilience in hybrid and mobile work environments.

Matching cybersecurity with sustainability improves regulatory compliance as well as stakeholder confidence. Companies show their dedication to environmental stewardship and data protection by using energy-efficient technologies and reporting under ESG frameworks such as GRI and SASB standards. These combined approaches not only safeguard assets but also set up companies for long-term success.

Actionable Advice:

Adopt energy-efficient solutions.
Integrate cybersecurity into sustainability.
Foster collaboration and awareness.

“Combining sustainability with robust cybersecurity practices strengthens not just our operations but also our relationships with stakeholders.”
DREW HENDRICKSON, SHAREHOLDER AND PRACTICE LEADER, CYBERSECURITY, LBMC, PC

Outlook - Living Through Change in 2025

Business leaders who want their companies to thrive in 2025 will explore flexible work schedules, artificial intelligence, 5G, and omnichannel strategies while making cybersecurity a top priority. These combined initiatives will guarantee sustainable development in a dynamic environment, increase their business resilience, and inspire invention.

“It’s time to challenge your vendors. How are they securing your data exposed to their AI models? Read the fine print in your contract language.”
VAN STEEL, SHAREHOLDER AND HEALTHCARE INDUSTRY LEADER, CYBERSECURITY, LBMC, PC

LBMC is available to help your business tackle these challenges with a comprehensive range of services. From leveraging generative AI and modern cybersecurity to enhancing e-commerce initiatives, we help businesses with the tools and concepts needed for long-term success.