CenterState CEO [on Jan. 28] presented its 2021 Economic Forecast Report for Central New York at our virtual Economic Forecast event. Though this annual event looked different this year, we still shared the important insights into the region’s economic climate from the perspective of business leaders and economic experts.

Gary Keith, regional economist at M&T Bank, delivered the event’s keynote address to provide an analytic assessment of national and regional economic trends from the past year, and noted a strong chance for an economic recovery in mid to-late 2021. This recovery, he believes, will be driven by continued diligence in combating the virus and the successful roll-out of community-wide vaccination programs. Additionally, a return of normal daily mobility patterns, likely by mid-year, will also reenergize economic activity and allow the region’s solid upward momentum in output and income to resume.

Like communities across the country, Central New York has faced a tumultuous year driven by the health and economic ramifications of the COVID-19 pandemic. The business and community leaders that shared their outlook during this year’s forecast have made it clear that the stressors of the pandemic have created lingering challenges and shaken confidence. For others, it has opened opportunities to innovate and expand products, services, and operations. Amid so much uncertainty, one thing is clear — our region’s pre-pandemic trajectory was put in motion by data-driven economic-development strategies to guide its growth. Now, more than ever, we need to recommit to that same strategic approach to advance our continued recovery. 

But while there are plenty of reasons to be hopeful for our economic recovery, the recovery alone cannot suffice as our only ambition. Instead, let us raise our aspirations for the year ahead beyond simple recovery of our traditional economic indicators to include a repair of our fractured social compact and a more equitable and inclusive approach to growth and development as we reinvent this region once again. We all have work to do to make this possible. This is at once an opportunity, but also a critical responsibility.

This past year has challenged us like no other. It has shown us unexpected hardships, and even tragedy. But it has also shown us hope. It has reminded us of the most important things in life — community, family, and supporting each other, however and wherever we are able. We didn’t become resilient because of this health and economic crisis; we always were. With a plan to advance our economy, with a stronger and more intentional focus on equity and prosperity for all, we can begin today to take the next step not toward the past but toward the future we have always envisioned for ourselves. [To see the full report, visit: https://www.centerstateceo.com/sites/default/files/CenterState_Forecast%202021%20Final.pdf.]      

Robert M. Simpson is president and CEO of CenterState CEO, the primary economic-development organization for Central New York. This article is drawn and edited from the “CEO Focus” email newsletter that the organization sent to members on Jan. 28.

Change is just beginning

Business leaders dealt with massive and rapid change in 2020 due to the COVID-19 pandemic, but many small businesses and chain stores didn’t survive. 

 As the new year proceeds amid much economic uncertainty, companies that successfully navigated 2020’s turbulence cannot rest. They need engaged, forward-thinking leaders who can keep adjusting and focusing on the right factors in a volatile business environment. 

We live in a VUCA world; the acronym stands for volatility, uncertainty, complexity, and ambiguity. We need to adjust to how fast things are changing. It means companies adjusting to artificial-intelligence technology, electric cars, and hub-to-hub freight liners that are driver-free. Every company needs to think out of the box.

Leaders, therefore, need to be fast at making decisions to compete in tomorrow’s world. They’ll have to challenge themselves to look into the future and find ways for their company to not only keep pace but stay ahead of the curve. 

Here are a few ways for company leaders to meet the frequent challenges of change in 2021 and beyond.

• Align change decisions with the company vision. Many entrepreneurs and CEOs forget the importance of setting a vision for their organization, and that makes decisions in the midst of massive change more difficult or less thought out. Reaffirming the vision must be a priority every day until it becomes part of the DNA of the company culture. Everyone in the company must ask themselves why the organization exists. They must ask themselves this question so often that the answer is ingrained in every decision they make. Once they do, it’s possible to navigate the uncertainties of change as a unified group.

• Be more intentional with your vision, mission, and core values. Some financially successful companies lose their compass, which shows why it’s vital for your business to be always intentional with its vision, mission, and core values. They are the standard-bearers for the organization’s reputation, as well as performance. The companies that will make it in the future are the ones who can push data, processes, products, and services through the pipeline the quickest. Alignment around your vision, mission, and core values are crucial in developing a business capable of great speed and agility.

• Empower your employees. Though it’s important for leaders to often come up with the ideas and planning to chart direction, the most-effective leaders tap into the talented and smart people around them, pick their brains in their areas of expertise, and implement their ideas. You must empower employees not to be yes men [or yes women]. Ideally, you want a group that thinks, and does not groupthink. Encourage debate and participation from everyone. The really talented people out there want great leaders capable of empowering them.

• Don’t put up with attitude problems. High performers who set their own rules and don’t adhere to core values aren’t worth keeping around, due to the damage they can inflict on the company culture. When you’re in a leadership position, it’s vital to the success of your team that you live what you preach. If you don’t, nobody else will either. Demonstrate boundaries and what it means to do the right thing by showing you won’t accept noncompliance from your mavericks or high performers. Taking that action will serve to further empower your teams.

At this critical-crossroads time for many businesses, leaders need to reevaluate how strong or fragile their company foundation is and whether it is well- equipped to handle the battering winds of change.

Doug Meyer-Cuno is ForbesBooks author of “The Recipe For Empowered Leadership: 25 Ingredients For Creating Value & Empowering Others.” He founded a food- ingredients distribution company, Carolina Ingredients, and expanded it into a nationally recognized industrial-seasoning manufacturer before it was acquired by Mitsubishi in 2019. Since then, he has founded the company, Empowered Leadership.

Creating a secure retirement often comes down to smart planning as you consider saving and investment options, and choose the ones most likely to help you meet your goals.

But not everyone makes wise choices, and financial missteps can play a significant role in how much, or how little, you have stashed away once retirement arrives.

Most people know they need to save a sizable amount for retirement, but many Americans are still woefully unprepared as they begin to near retirement age. In fact, some estimates suggest that as many as 50 percent of U.S. households are at risk of not having enough money to fund their retirement needs.

There may be a number of reasons for that, but one of those reasons is that people often sabotage their own finances by making avoidable mistakes.

A few ways they do that include the following.

• Failing to start building a nest egg now. A significant retirement nest egg takes years — even decades — to grow, so the first step is to make a commitment to saving money every month. The younger you are, the better. If you work for a company that provides a 401(k) and matching program, take advantage of that free money. That compound interest can make your money grow exponentially, so the more money you put into your retirement account now, the bigger your nest egg will be in the decades to come.

• Paying higher taxes than necessary. While the country needs tax money to function, there is no need for people to pay the IRS more than they owe. One easy way to reduce your tax bill is through contributions to a tax-deferred account, such as a traditional IRA. With an IRA, for example, you can deduct your contributions each year when you file your taxes. Also, the money you put into tax-deferred accounts won’t become taxable until you are 72, or whenever you begin making withdrawals — whichever comes first. A good advisor can help with other tax savings.

• Investing in rental property without understanding the drawbacks. Plenty of people do well by becoming landlords, but there are also pitfalls, such as paying too much for property or not taking into account all the related expenses. For many people, stocks, bonds, and other investments are a better bet. I’m not saying not to invest in real estate. I’m just saying not to start with it if you’re a first-time investor with a tight budget. 

• Not knowing Social Security is taxable. The Social Security Administration provides Americans with an estimate of what their benefits will be. That helps you calculate how much additional money from other sources you will need to maintain your lifestyle. But what many people fail to account for is that it’s not guaranteed every penny of Social Security checks will go into their pockets. Depending on your overall income, as much as 85 percent of your Social Security benefit can be taxed. You need to be aware of that when budgeting for retirement.

Most Americans will need to retire at some point, and they will need money set aside so they can achieve financial independence during the last years of their life. It’s crucial that you don’t sabotage yourself, because building a sizable nest egg is not a luxury. It’s a necessity.               

Toby Mathis is a founding partner of Anderson Law Group (www.andersonadvisors.com) and author of several books on good business practices, including “Tax-Wise Business Ownership and 12 Steps to Running a Successful Business.” In his work as an attorney, Mathis has focused exclusively on small business, taxation, and trusts.