The year of speed and change? A look at how 2017 is measuring up to expectations.

When I was asked for my 2017 business predictions, I said this would be the year of speed and change—and this is proving to be the case, but in a different way than I originally thought. While we still have a little more than half the year to go, we are already seeing that the pace of change is accelerating and many of the “hot topics” we anticipated are having a big impact on business. We are also seeing some surprises, with certain issues taking greater prominence and others playing out differently than expected. 

What’s surprising…

Human and machine: At the World Economic Forum in Davos, Switzerland, earlier this year, there was a lot of conversation about the idea of “human vs. machine” and what role technology—including AI and robotics—will play in the workforce of the future. While concerns about machines replacing actual workers are real, technology also holds a promise to help enhance work and elevate tasks, similar to how augmented reality enhances all kinds of consumer experiences. The details matter a lot by industry and job types, but the conversation this year has shifted to human with machine, instead of human vs. machine. An optimistic shift that I have heard referred to as “co-bots”—that is, humans coexisting with robots.

The year of the deal: According to our research, deal volumes and size of M&A deals should increase over the next few years—this is not borne out so far this year, maybe due to the fact we are now operating in a time of increased uncertainty on many fronts. That said, our recent CFO research indicates that CFOs remain highly optimistic when it comes to economic and company growth, possibly signaling that deal flow will pick up in the future.

What’s tracking…

The public policy-business strategy connection: We knew that change was coming to Washington and that business needed to be ready to step up and play a bigger role. It seems the only surprise in Washington these days is no surprise. The issues we thought would be focus areas, like healthcare, tax reform, immigration, and infrastructure, face uncertain legislation paths. Business leaders are working to be part of the conversation and the solutions from both a key policy decision and timing standpoint. It is becoming clearer that public-private partnerships may play an important role in helping these important policy matters move forward. Regardless of the specific path, courage will be needed.

Social impact: As policy conversations evolve in Washington, citizens are increasingly looking to business to have a social impact and make a greater difference. Today it is clear that being a for-profit entity and having a positive social impact are not mutually exclusive. In fact, our recent Deloitte Millennial Survey found 76 percent of millennials now regard business as a force for positive social impact. Employees at all levels increasingly seek a sense of greater purpose for their work, and invest their careers and development with the organizations that provide that meaning and focus on their impact beyond the P&L.

What to watch…

Proactive self-disruption: Some clichés exist for a reason. The word disruption gets overused, but we are living in a time of unprecedented change and innovation. For the last 20 years, businesses have known that they needed a strategy to deal with innovation. What will be interesting to see is what, specifically, businesses choose to do as the pace of change continues to accelerate. What I continue to hear from business leaders is that they are wrestling with choices around what is referred to as the “3Ds”—data, digital and disruption.

So, there’s no doubt that change and disruption are the new normal. What’s different is the rate of that change, the magnitude of that disruption, the “what” of the disruption not the “who,” and the expectation that businesses will cope and adapt with both speed and alacrity. One of the first orders of business is to sense the shifts and then respond with a platform for the future. Businesses that embrace innovation and a willingness to adapt and pivot in real time may be well-positioned for success in 2017, and beyond.

For more insights, follow me @CathyEngelbert