Happy Friday! ‘This week in CX’ brings you the latest roundup of industry news.
This week, we’ve been looking at the importance of human touch in the age of artificial intelligence, as well as the reasons behind the ‘ productivity theatre’ trend at work.
We’re also discussing new updates from the Financial Times, Google and much more.
Key news
- The UK’s cybersecurity chief Richard Horne has warned that the country is underestimating the severity of online threats from hostile states and criminal gangs. In his first major speech as head of GCHQ’s National Cyber Security Centre (NCSC), Horne highlighted a trebling of “severe” incidents amid Russian “aggression and recklessness” and China’s “sophisticated” digital operations. The NCSC responded to 430 incidents between September 2023 and August 2024, up from 371 in the previous year. Twelve attacks were considered “severe” – triple the previous year’s figure. Notable incidents included attacks on the British Library and Synnovis, which manages NHS blood tests.
- Many companies are shifting towards sober, experience-based Christmas events, instead of alcohol-heavy late-night parties, the Financial Times reports. This includes activities such as wreath-making, indoor crazy golf and laser clay-pigeon shooting. As well as reflecting younger workers’ preference for healthier lifestyles, from an employer’s perspective, these changes promote workplace inclusivity and help mitigate risks of misconduct. Some organisations are taking further steps by appointing chaperones for festive outings or setting alcohol limits to safeguard their reputations. Additionally, with the rise of remote work, employees are leaving parties earlier, prioritising a timely return home over extended celebrations.
- Manufacturing across Europe faced significant challenges in November, with both the eurozone and the UK seeing sharp declines in factory orders. The eurozone’s manufacturing sector showed no sign of recovery, with France, Germany and Austria particularly affected. The situation was especially dire in Germany, where output fell fastest, while France saw its steepest decline in 10 months. In the UK, manufacturers cut jobs and investment as factory output dropped for the first time in seven months. Experts blame various factors, including geopolitical tensions, US port disruptions and ongoing Brexit-related border delays, for the widespread industrial slowdown.
- Google may have found a way to make the icons on your weather app more often match the sky outside. The tech giant’s DeepMind division has developed a new artificial intelligence tool, GenCast, that outperformed traditional 15-day forecasts 97.2% of the time, according to a report published Wednesday. The new agent was also better at tracking the paths of deadly hurricanes, and delivers projections much faster. The lead scientist tells The New York Times the results amount to “decades worth of improvements in one year.” DeepMind plans to share GenCast and its underlying code publicly.
CXM news stories
Here’s the full news stories that CXM have reported on in the past week. Learn all about the latest research into the shopping habits of millennials and employee experiences in the age of artificial intelligence.
Top trends shaping Australia’s workforce in 2025
According to Gartner, the Australian workforce is poised for many changes in 2025, driven by evolving CEO priorities, challenges in AI adoption, and ongoing labour market shifts.
The survey revealed that 56% of CEOs rank growth among their top three priorities for 2025, followed by technology (42%) and organizational restructuring (36%). Workforce concerns have slipped to fifth place, cited by only 21%. This shift highlights the need for HR leaders to focus on aligning talent with broader organizational transformation efforts.
“This environment, while challenging, provides HR leaders with a huge opportunity to define or redefine their key priorities in 2025, make critical trade-offs that positively impact their organizations, and develop the skills and capabilities their teams need to succeed,” said Mark Whittle, vice president, advisory in the Gartner HR practice.
In addition, 74% of CEOs believe AI will significantly impact their industries in 2025, but organisations are finding it harder to achieve meaningful results than anticipated. Data limitations, employee skill gaps, and change fatigue are slowing progress.
To maximise AI’s potential, HR leaders must prioritise change management and coach managers to align team structures and processes with AI-driven initiatives.
Australia’s labour market continues to face challenges, with labour shortages, mismatched skills, and evolving employee expectations limiting access to critical talent. A Gartner survey revealed that 67% of job seekers exited hiring processes due to misaligned employee value proposition (EVP) preferences, while 41% declined offers that didn’t meet their expectations.
To navigate these pressures, HR must move from simple headcount planning to strategic workforce planning focusing on building capabilities. By assessing existing talent, addressing gaps, and designing scenarios for future needs, organizations can create a workforce ready to meet the challenges of 2025.