Alan Weiss explains how AI and demographics are redefining small business

Renowned business coach, speaker, and New York Times best-selling author Alan Weiss joins The Small Business Show to discuss the profound demographic and technological shifts shaping the business landscape. From the rise of AI to the evolving workforce, Weiss offers actionable advice for small businesses looking to adapt and thrive in uncertain times.

Weiss provided a deep dive into the societal and economic changes impacting small businesses, highlighting key trends and strategies to stay ahead in a rapidly evolving market. In doing so, he emphasizes the demographic shift where Americans over 60 will outnumber children in six to seven years.

This aging population, combined with declining fertility rates, mirrors trends in other parts of the world, such as China. He pointed out the growing reliance on retirees to address labor shortages, citing examples like TD Bank and Japanese companies employing senior workers to relate better to their clientele.

To address workforce challenges, Weiss identified three solutions:

1. Artificial Intelligence: Companies like UPS and FedEx are replacing white-collar roles with AI to streamline operations.
2. Immigration Reform: The U.S. historically relies on immigrant labor to fill critical job gaps.
3. Re-engaging Seniors: Retirement is becoming an outdated concept, with older individuals contributing as part-time advisors or freelancers.

Weiss also discussed the balance between high-tech and high-touch approaches. Small businesses should use automation to enhance efficiency while maintaining personal customer interactions. Examples include systems offering callback options during long wait times or local businesses leveraging digital tools for personalized service without compromising the human touch.

For those hesitant to start a business amidst economic challenges, Weiss provides reassurance, calling the U.S. “the greatest market in the history of the world.” He encouraged entrepreneurs to focus on addressing long-term needs, such as combating loneliness or promoting holistic well-being.

"Retirement is no longer a relevant word. It’s an artifact. People can keep contributing forever, whether as part-timers, advisors, or freelancers." – Alan Weiss.