Global competition, sustainability pressures, digitalization and new generation business models are forcing companies to transform not only in production but also in governance. The most important elements that shape the future of business are access to the right financing, strong managers, flexible working models, updated training systems and effective marketing strategies… In this cover file, we examined how businesses can benefit from sustainable financing and incentives, how qualified managers and business models are shaped, how to transition to flexible and hybrid working systems, the effects of new training policies and practices on the business world, and the changing dynamics of marketing. Those who keep pace with the transformation in governance will win the future.

Today, businesses’ access to sustainable financing is no longer a choice, but one of the basic conditions for competing in global markets. International regulations such as the European Green Deal and the Paris Agreement require companies to focus on projects that reduce their carbon footprint, are based on circular economy models and increase energy efficiency. Banks and financial institutions support environmentally friendly production processes with special loan packages offered to green projects, while investors show more interest in Environmental, Social and Corporate Governance (ESG) compliant companies that offer long-term growth potential.

It is estimated that between 5 and 7 trillion dollars of financing will be needed globally each year until 2030 to achieve the Sustainable Development Goals. For developing countries, this translates into an additional investment need of 2.5 trillion dollars per year. Europe has already established a much more comprehensive system for sustainable finance. Clear frameworks such as the EU Taxonomy have been established and financing processes are subject to strict controls under the Green Deal. The European Investment Bank (EIB) laid the foundations of the green bond market by issuing the first Climate Awareness Bond in 2007. Today, the size of this market has reached 226.1 billion dollars.

Sustainable financing support in Türkiye

In Türkiye, incentives and funds provided by KOSGEB, TÜBİTAK, the Ministry of Industry and Technology, European Union Funds and international financial institutions support companies to transition to a low carbon economy.

  • KOSGEB Green Industry Support Program: Grants and low-interest loans are provided to SMEs for energy efficiency, clean production technologies and renewable energy investments to reduce carbon emissions. Circular economy and zero waste projects are also supported.
  • TÜBİTAK Green Innovation Incentives: R&D grants and incentives are offered for renewable energy, green production, carbon reduction and waste management projects.
  • Ministry of Industry and Technology Green OIZ Incentives: Financial support is provided for projects such as energy efficiency, water recovery and renewable energy integration for Organized Industrial Zones.
  • European Union Green Deal Fund: Provides grants and low-interest loans to projects that reduce carbon emissions and encourages companies exporting to the EU market to comply with green production criteria.
  • EBRD and World Bank Green Financing Programs: Provides long-term low-interest financing for low-carbon investments in the industrial sector and renewable energy projects, and supports infrastructure and technology transformation projects.
Banks take a leading role in green finance

Banks in Türkiye are also drawing attention with projects supporting sustainable finance. Private and public banks accelerate the transformation process of companies by offering special loan opportunities for environmentally friendly investments. Within the scope of these loans, banks finance green energy, energy efficiency and environmental investments with sustainable bonds and loans. In this context, banks provide long-term, low-interest financing for renewable energy and low-carbon industrial facilities. They offer special interest rates and maturity advantages for environmentally friendly investments. They support the transition to a green economy by providing financial support for waste management and projects that reduce carbon emissions.

Conditions to benefit from incentives

Green transformation is now a must for companies in Türkiye that want to benefit from sustainable financing incentives. Complying with ESG criteria and developing low-carbon and environmentally friendly business models are the key to benefit from incentives. While certifications such as LEED, BREEAM, ISO 14001 and Carbon Neutral Certificate facilitate access to financing, sustainability reports that comply with GRI, CDP and TCFD standards increase the confidence of funders. Banks and investors evaluate the projects they will support based on their long-term environmental impact. Renewable energy, energy efficiency, waste management and carbon emission reduction projects are prioritized, while companies are expected to create a strong roadmap with EIA reports, transparent financial statements and feasibility studies. Companies that comply with the European Green Deal and Paris Agreement criteria gain an advantage in accessing international funds.

Qualified businesses and managers in the transformation process

This journey of transformation in working life necessitates not only the transformation of production processes but also the transformation of businesses and managers. Companies that turn to renewable energy and adopt a transparent management approach create a solid foundation for sustainable growth. Technology continues to be the biggest driver of transformation in the business world. While the traditional management approach is replaced by agile and dynamic models, businesses that use digital channels effectively stand out in competition by increasing customer satisfaction. The digital transformation process radically changes the traditional roles of managers. Managers who not only oversee business processes but also assume strategic leadership are needed. As data-driven decision-making mechanisms replace the intuitive management approach, managers are forced to make more accurate and effective decisions using artificial intelligence and analytical tools. While technology leadership has become an integral part of this process, managers also need to adapt to remote and hybrid working models and adapt team management to the new order.

Brands insensitive to environmental issues risk reputational damage

Businesses that adapt to digitalization and sustainability transformation gain competitive advantage. Thanks to automation, operational processes are accelerated, costs are reduced and productivity increases. Providing faster and personalized service to customers through digital channels increases customer satisfaction, while innovative products and services make a difference in the market. Brands that attach importance to sustainability and social responsibility projects strengthen their reputation and increase customer loyalty. Businesses that fail to keep up with this transformation face the risk of falling behind the competition. Companies that do not invest in technology lose market share to competitors that are open to innovation, while companies without a digital presence lose customer loyalty. Brands that are insensitive to environmental and social responsibility issues face the risk of loss of reputation due to negative public perception.

Flexible working in transformation is no longer a choice

While traditional working models in Türkiye remain limited in terms of flexibility, global trends and the post-pandemic process have initiated a major transformation in this area. Remote working, hybrid models and flexible working hours have become more accepted in the business world. However, for this transformation to be successful, legal regulations need to be clarified and businesses need to develop management strategies in line with the new model. The 4-day working model, which has been tested in many countries around the world, has shown that business processes can continue without a significant decrease in productivity while increasing employee satisfaction. The applicability of this model in Türkiye may vary depending on sectoral differences. Although it may be difficult to integrate for manufacturing and service sectors, the 4-day working model may be efficient in digital business lines, creative industries and technology-based sectors. However, employers and the state need to formulate a common strategy and measure the applicability of the model through gradual testing processes.

The next generation of workers wants more flexibility

Especially for young workers, work-life balance and flexibility have become one of the most important factors determining their job preferences. While Generation Z is distant from the traditional full-time office model, they are more open to hybrid or fully remote working systems. Therefore, it becomes critical for businesses that want to stand out in talent management to adopt flexible working policies. Companies that want to increase employee loyalty aim to recruit the best talent by turning to hybrid working models.

New era in business: green and gray collar workers

In the business world, the traditional white and blue collar distinction is being replaced by more specialized and flexible workforce types. While green-collar employees work in areas such as sustainable production, environmentally friendly projects and renewable energy, gray-collar employees are experts who have both technical knowledge and play an active role in field work. As the Green Deal and environmental policies have become a necessity in the industry in Türkiye, the demand for green-collar employees has increased, while environmental engineers, energy managers and sustainability experts play critical roles in this field. Especially large industrial organizations and international companies benefit from the knowledge and expertise of green-collar employees on issues such as reducing carbon emissions and transitioning to environmentally friendly production processes. On the other hand, Industry 4.0 transformation, digital production systems and automation technologies are rapidly increasing the need for gray-collar workers. Employees who act as a bridge between blue and white collars, such as supervisors, craftsmen, technicians and shift supervisors, play critical roles, especially in the defense industry, automotive and digital production sectors. Automation systems, robotic production lines and digitalized factories have become the areas where gray-collar workers are most needed. Companies aim to adapt to new workforce dynamics by investing in green and gray collar employees in order not to lose their competitive advantage.

  • Can project-based work become the new normal?

Another model that is spreading rapidly today is the project-based work system. Project-based employment is becoming increasingly common, especially in sectors such as technology, media, design and consultancy. This model provides flexibility for businesses, while offering employees the opportunity to gain experience in different projects and build a portfolio. When companies need a specific expertise, they make project-based agreements instead of long-term employment, providing both cost advantages and increasing the quality of work. However, in order for this model to be successful, it is crucial to establish effective project management processes and ensure harmony among team members.

As the transformation progresses rapidly, the alignment between industry and education has become a critical necessity

As the transformation of the industry progresses rapidly, it is critical that not only new graduates but also existing employees adapt to this process. As traditional professions give way to new world dynamics such as automation, artificial intelligence and data analytics, it becomes inevitable for industrial workers to receive continuous training. However, the education system, which cannot keep up with the changing process of the industry, cannot adequately prepare graduates for business life, while access to up-to-date skills for current employees remains limited. While the business world struggles to find qualified personnel, young graduates face the risk of unemployment. According to TURKSTAT’s Higher Education Employment Indicators for 2023, the registered employment rate of bachelor’s degree graduates remains at 75.6 percent, while 24.4 percent of graduates are either unemployed, continuing their education, working informally or abroad.

Vocational education in line with the needs of the industry is a must

The current education system in Türkiye is struggling to keep up with the rapidly changing demands of industry. In particular, the insufficiency of vocational training and internship programs makes it difficult for graduates to adapt to business life. While Germany’s “dual education model” prepares students for the industry by providing both theoretical and practical training, the lack of widespread use of this system in Türkiye deepens the shortage of qualified labor. Similarly, Japan’s on-the-job continuous training approach and company-sponsored professional development programs in the US contribute to the development of the industry by increasing the competencies of employees. At this point, university-industry collaborations, MESEM and training programs within the OIZ bring qualified workforce to the sector, while large industrial organizations are trying to increase their competitiveness with digital transformation and automation trainings. Turkish Employment Agency’s (İŞKUR) vocational courses and Vocational Qualifications Authority certificates update employees’ competencies, while online training platforms focused on digitalization and green transformation also contribute to the process. However, experts say that more comprehensive and sustainable education policies are needed for the industrial workforce to fully adapt to the new world order. Collaboration between industry and education stands out as one of the most critical points in this process. Although industrial organizations in Türkiye try to involve universities in R&D projects and technology development activities, these collaborations have not yet reached the desired level. The Ministry of Industry and Technology’s “University-Industry Cooperation Action Plan” aims to increase applied training and involve academics in industry-oriented projects, while emphasizing the need to strengthen communication between universities and the private sector.

Solutions for a qualified workforce in industry

The education system needs to undergo a process of change in order to train a qualified workforce suitable for the industry. In this context;

  • Applied trainings should be increased and internship requirements should be improved.
  • In technical departments, content suitable for the needs of the industry should be integrated into the curriculum.
  • Certificate and training programs where employees can update their skills should be expanded.
  • University-industry collaborations should be strengthened, R&D projects and innovation centers should be increased.
New era in digital marketing: strategies, risks and sectoral impacts

In recent years, digital marketing has radically transformed the way brands reach consumers. Traditional marketing methods have given way to personalized campaigns, AI-powered targeting systems and engagement-oriented strategies on social media platforms. In today’s digital world, brands can reach large audiences in a short time by applying the right strategies, but this rapid growth brings new risks. Traditional advertising models have been replaced by new generation methods such as influencer marketing, content marketing and programmatic advertising. Especially in e-commerce, fashion, cosmetics, technology and gaming sectors, influencer marketing yielded the highest conversions, while content marketing and SEO-oriented strategies were more effective in B2B. In trust-based sectors such as health and finance, user reviews and referral marketing are at the forefront. As of 2024, digital media investments in Türkiye reached TL 66.34 billion, accounting for 71.2 percent of total media investments. According to research, 73 percent of B2B marketers adopt content marketing as a core tool, while video content is the marketing element with the highest return on investment. In digital marketing, AI and data analytics have become a critical tool for predicting customer behavior, identifying target audiences and creating personalized campaigns. While machine learning supported algorithms strengthen customer segmentation, 64 percent of marketers actively use artificial intelligence.

ESG and investor trends

ESG criteria are increasingly recognized by investors and financial institutions, with the global size of ESG funds doubling sixfold since 2015. Thanks to their long-term investment perspectives, ESG investments offer the advantage of being more resilient to short-term market volatility. The proportion of publicly traded companies with ESG ratings by global market capitalization is estimated to be around 80 percent, indicating that investors are increasingly taking sustainability factors into account in their decision-making processes.

Development of banks in ESG-oriented financing in Türkiye:

  • Number of banks adopting a sustainability policy: 21 (%86)
  • Number of banks with ESG memberships and commitments: 16 (%81)
  • Number of banks reporting on sustainability: 14 (%80)
  • Number of banks receiving external ESG rating: 9 (60%, within the scope of BIST Sustainability Index)

As of 2017, 29 banks in Türkiye provided a total of 143 billion TL in sustainable financing. Of this financing, 69 billion TL was directed to renewable energy projects, 28 billion TL to women entrepreneurship and 15 billion TL to sustainable agriculture projects.