People and Processes: Building Execution Capacity in 2025

People and Processes: Building Execution Capacity in 2025

Burgos, October 6, 2025.- In 2025, the defining challenge for multinational organizations is not a lack of strategic vision but the ability to execute consistently across geographies. Strategy travels only as far as people and processes allow, and both dimensions are being reshaped by today’s economic, regulatory, and technological environment.

People: Developing Global Talent with Local Agility

Talent is the foundation of execution. Multinationals are increasingly looking for professionals who combine technical expertise with adaptability and data literacy. It is no longer sufficient to hire based on traditional roles; the most valuable profiles are those who can bridge functional silos and operate effectively in diverse cultural environments.

Training plays a crucial role here. Continuous learning is becoming an operational necessity, not a benefit. Leaders are embedding certified programs in areas such as AI governance, sustainability reporting, and advanced analytics to ensure that employees can manage emerging obligations under frameworks like the EU AI Act or the Carbon Border Adjustment Mechanism. These investments create a workforce that is both technically prepared and strategically aligned.

Internal mobility is another powerful lever. Rotating professionals across countries or departments not only develops leadership capacity but also accelerates the transfer of best practices. This type of mobility fosters resilience: leaders who have experienced different regulatory, market, and cultural conditions are better prepared to make decisions under uncertainty.

Processes: Designing for Standardization and Flexibility

While people form the “soft capital,” processes create the structure for performance. In today’s environment—marked by volatile trade conditions, shifting interest rates, and uneven demand across markets—processes must achieve a delicate balance: they need to be standardized enough to ensure efficiency and compliance, yet flexible enough to adapt to local dynamics.

Key performance indicators (KPIs) are being recalibrated. Instead of focusing only on volume growth, multinationals are emphasizing metrics such as cash conversion, pricing realization, and customer retention. This reflects the reality of modest economic growth, rising operational costs, and the need to preserve margin discipline.

Digital tools are central to this evolution. Unified CRM platforms, supply chain dashboards, and scenario-modeling software are becoming standard in cross-border coordination. These tools allow leaders to simulate trade-policy changes, currency fluctuations, or supply disruptions in real time and to execute pre-approved playbooks rather than react ad hoc.

Cross-Border Coordination: Where People and Processes Meet

The intersection of people and processes is most visible in cross-border coordination. Many organizations are now building multi-country task forces that serve dual purposes: they tackle specific operational goals (such as supply resilience or pricing adjustments) and, at the same time, act as platforms for cultural integration and knowledge sharing.

These squads are tasked with aligning regulatory compliance (AI governance, carbon reporting, trade standards) with operational efficiency. For example, a cross-functional team may ensure that AI models used in logistics planning not only deliver efficiency but also comply with emerging European transparency requirements. Another may integrate carbon accounting directly into procurement decisions, linking sustainability goals with financial KPIs.

Incentives and Accountability

Execution capacity also depends on incentives. Traditional performance metrics such as revenue or EBIT remain relevant, but they are no longer sufficient. Progressive multinationals are tying compensation and career progression to broader indicators: regulatory compliance milestones, adherence to crisis playbooks, and measurable skill-building within teams.

By linking rewards to both operational discipline and human development, leaders create an environment where individuals feel responsible not only for short-term numbers but also for long-term organizational resilience.

The Path Forward

Looking ahead, the most competitive multinationals will be those that integrate people and processes into a single, coherent execution model. This requires three commitments:

  1. Invest deeply in talent—not just hiring, but reskilling and rotating people across borders.
  2. Continuously refine processes—with KPIs that reflect today’s macroeconomic and regulatory landscape.
  3. Institutionalize cross-border collaboration—so execution is consistent, compliant, and culturally adaptive.

In an era of modest global growth and persistent uncertainty, building execution capacity through people and processes is not just an operational necessity. It is a strategic differentiator that will determine which organizations achieve sustainable growth and which struggle to translate ambition into results.

Leave a comment