VIA CEO Forum 2025 – Friday, August 22, 2025 – Hyatt Regency Valencia

Executive Summary:

On August 22, 2025, approximately 65 Santa Clarita Valley-based CEOs, Presidents, Business Owners, and Top Executives gathered at the VIA CEO Forum to discuss top issues identified through a multi-question survey circulated to SCV business leaders in mid-2025.

Through the survey, several topics were identified by Santa Clarita Valley based businesses as most critical for the next 2-5 years. The following three topics/questions were selected as top priority and included in the discussions at the Forum:

Navigating the New Cost Landscape: Strategies Amid Tariffs, Risk and Economic Uncertainty
AI and Emerging Tech: Building a Smarter, Leaner Organization
Workforce Reset: Redegining Engagement and Productivity in the Modern Era

Below are the observations and takeaways of those discussions.

Navigating the New Cost Landscape: Strategies Amid Tariffs, Risk, and Economic Uncertainty

In an environment shaped by inflation, evolving labor laws, and increasing operating costs, local business leaders are adjusting their strategies to remain competitive and sustainable. The discussion gathered insights across industries to identify the most pressing issues and adaptive strategies being employed.

1. Workforce Agility and Labor Cost Management

Labor remains the most significant cost driver, particularly in service industries like food and hospitality.
Companies like Jersey Mike’s continue to focus on hiring individuals with strong skill sets and providing thorough training. They maintain a philosophy of developing talent, especially giving high school students their first jobs.
Many businesses are not actively hiring, firing, or replacing staff, reflecting a cautious approach due to market volatility.
A shift toward appreciation, mindset changes, and retraining has emerged to retain and repurpose current employees instead of incurring costs to hire new ones.
Comparative cost assessments are being made to evaluate pay scales against competitors and market conditions, particularly in areas like Santa Clarita Valley.
In industries like law, labor costs are scaling rapidly, but profit margins are generally more flexible than those in food service, where rising minimum wage laws hit harder.

2. Operational Efficiency and Streamlining

Businesses are leaning into efficiency models and collaboration to navigate economic challenges.
There’s a strong emphasis on constantly evaluating alternatives and cost-saving practices without compromising value or employee satisfaction.
Equipment and resource changes (e.g., moving away from fossil fuels) are being explored to manage long-term operational costs.

3. Strategic Use of Technology and Remote Services

Companies, like one participant’s mental health services business, are leveraging telehealth and virtual platforms to reduce rent costs and expand reach:
- Licensure across multiple states
- Joining insurance panels
- Expanding into new Designated Marketing Areas (DMAs)
- Global virtual offerings
This digital transformation is enabling geographical flexibility and operational scalability while minimizing physical overhead.

4. Adaptive Marketing and Revenue Generation

Marketing budgets are shrinking, with a shift from traditional to digital platforms for cost-efficiency.
Companies are finding creative ways to maximize marketing dollars, including:
- Bartering: Hyatt traded marketing services with What’s Up SCV to promote their restaurant.
- Partnerships: Local hotels are collaborating with other local businesses for mutual promotion.
Businesses are exploring alternative revenue streams:
- One participant added paid underground parking at his property, creating a new income source.
- The same participant also addressed late payments by adding credit card options and late fees, which significantly improved cash flow.

5. Community Engagement and Social Capital

There’s recognition of the importance of social capital and how partnerships can strengthen both the business and community:
- Example: The city’s purchase of The Cube, which is used for community activities and also rented out for events to offset maintenance costs.
- Ideas like adding floor coverings to repurpose the space for more revenue-generating events are under consideration.

6. Cost-Conscious Cultural Shifts

A cultural shift is occurring where businesses and employees are adopting a more frugal mindset:
- Example: Fred described replacing expensive team lunches with in-house meals made from grocery ingredients.
- This shift from convenience to cost-effectiveness is spreading from personal habits into workplace practices.

7. The Role of Policy and Regulation

Many participants cited government regulations as a persistent burden on businesses, especially small and medium enterprises.
There is a call for:
- Better education of elected officials and the public
- Continued support of local advocacy organizations like VIA, which can inform and advocate on behalf of businesses.

8. Industry-Specific Insights

Service-based vs. product-based businesses face different challenges:
- Service providers have more flexibility in pricing and client management.
- Product-based companies face tighter margins and higher material/shipping costs (e.g., port fee taxes being passed on to U.S. vendors).
Filming industry activity has declined locally, due to competition from international incentives:
- Countries like the UK (25%) and Australia (30%) offer aggressive tax breaks.
- California is responding with increased incentives from $350M to $750M (as of July 1) and partnerships with local companies like Location Management and Film Location International.

9. Economic Outlook and Planning Hesitation

There is general hesitation to plan too far ahead due to ongoing uncertainties in tariffs, regulation, and inflation.
Opinions on the overall economy vary:
- Some feel the media overstates instability and believe the economy is relatively stable.
- Others are more cautious, pointing to reductions in areas like medical research funding and widespread cuts to marketing budgets.

Conclusion: Key Takeaways and Forward Focus

To navigate the evolving economic landscape, local businesses are emphasizing:

Agility and flexibility in workforce planning and strategy
Cost control through collaboration, bartering, and in-house efficiencies
Technology adoption to reduce costs and increase market access
Alternative revenue development to offset increased labor and regulatory costs
Ongoing community partnerships and advocacy for policy reform
Creative resource use and diversification of services and offerings

In times of uncertainty, adaptability remains the most vital asset. As one participant noted:

“You never know when you need to change your strategy.”

AI and Emerging Technology – Building a Smarter, Leaner Organization

Overview

This discussion focused on how Artificial Intelligence (AI) and emerging technologies are transforming organizations into smarter, leaner, and more efficient entities. Participants from diverse sectors shared their insights, experiences, opportunities, and challenges related to AI integration in their respective industries. A recurring theme was the significant shift in attitudes toward AI usage over the past year—from hesitation to widespread, everyday application.

Key Themes and Discussion Points

1. Strategic and Creative Impact of AI

Freeing Up Time for Human-Centered Work:
AI is increasingly being used to handle repetitive or technical tasks, allowing professionals to focus on creativity, client engagement, and strategic work. It enables employees to redirect their energy toward caring for clients, patients, and team members, enhancing organizational culture and human connection.
Creativity Amplification:
AI is being leveraged as a creative assistant, enabling users to quickly generate content frameworks (e.g., grant proposals, policy drafts, social media plans) which can then be tailored by professionals, saving time and enhancing output quality.
Upskilling and Empowerment:
There’s a strong emphasis on helping employees and underserved populations acclimate to emerging technologies through upskilling. AI can help level the playing field, supporting individuals who may not have had traditional academic or professional success.

2. Concerns Around Trust, Ethics, and Confidentiality

Data Sensitivity and Trust:
A key concern is determining how much sensitive information can safely be shared with AI tools. While AI can streamline internal processes, there are legal and ethical risks involved—especially in sectors handling confidential data (e.g., government, healthcare, nonprofits).
Need for Validation:
Participants highlighted that AI outputs are not always accurate. Users must fact-check, validate AI-generated content, and ensure compliance with applicable laws (e.g., California policy law). AI is a support tool, not a final authority.
Custom Policy Development:
Some organizations are already drafting internal AI-use policies, especially in municipal contexts, to balance efficiency with data security and transparency. Cities are also exploring internal tools that can safely access and display city data.

3. Real-World Applications Shared by Participants

Nonprofit Sector:
Used AI for strategic planning, mental health and veteran services, grant writing, SEO optimization, and social media content. AI was used to build content skeletons that are later developed by professionals.
Healthcare:
AI-enabled patient discharge calls were described as both impressive and intimidating, showcasing AI’s potential to handle sensitive, nuanced communications.
Hiring and HR:
While some see potential for AI interview agents, others expressed caution. Concerns center around the lack of human empathy and nuance in hiring, highlighting AI’s limitations in areas requiring emotional intelligence and judgment.
Small Business:
A participant managing four different roles noted her cautious use of AI, unsure of its trustworthiness but acknowledging its utility in organizing business operations.
City Government:
Exploring AI tools to help staff pull contract and operational data for use on city websites. Emphasis on maintaining confidentiality and building usage protocols.

4. AI Literacy and Employee Expectations

Workplace Expectations:
Businesses increasingly expect employees to have at least basic AI fluency. AI is now a competitive advantage, with job candidates and workers expected to use it to streamline tasks and increase efficiency.
AI as a Learning Tool:
Participants noted that AI can enhance communication and performance—particularly for employees or students who may struggle traditionally. When trained effectively, AI can elevate an average performer to high-performing status.

5. Training and Prompt Engineering

The Importance of Prompt Crafting:
One participant shared how investing time in developing a precise, well-structured prompt significantly increased AI effectiveness. Spending an hour creating a custom prompt saved substantial time on recurring tasks.
Custom Instruction and Objectivity:
AI tends to learn user preferences, which can bias its responses. Custom instructions can help make responses more objective, but users need to be proactive in guiding the AI.
Misuse and Misunderstanding:
Many users still treat AI as a simple task tool. However, with training and creativity, AI can manage complex analytics and operational systems, dramatically improving efficiency.

6. Emerging Frontiers

Space-Based Data Storage:
A futuristic concept mentioned involved moving data storage to space—a reflection of how rapidly innovation is advancing and how organizations may need to prepare for radically different tech landscapes.
Redaction Requirements and Legal Compliance:
AI must be programmed to adhere to laws requiring redaction of specific information. Certain tools are already capable of checking legal compliance, but final validation by legal professionals remains essential.

7. Shifting Mindsets: Then vs. Now

Year-over-Year Shift:
Compared to last year, when most participants were hesitant or resistant to AI, this year showed a dramatic shift toward everyday adoption. AI is no longer viewed as a distant concept—it’s now part of core operations across sectors.

Closing Reflections

Participants emphasized the need for continued exploration, policy development, and training to ensure that AI is used ethically, effectively, and securely. While AI presents incredible opportunities to streamline work and amplify human potential, it must be approached with thoughtful planning, critical oversight, and a commitment to equitable access and data privacy.

Next Steps / Recommendations:

Develop internal AI-use policies to manage confidentiality, legal compliance, and transparency.
Offer AI training workshops to upskill employees and close knowledge gaps.
Encourage thoughtful prompt engineering as a critical skill for maximizing AI utility.
Create feedback loops to evaluate AI-generated content for bias, accuracy, and impact.
Continue discussions across sectors to share emerging best practices and build collective AI literacy.

Workforce Reset: Redefining Engagement and Productivity in the Modern Era

As the modern workplace undergoes a generational and technological transformation, organizations are compelled to revisit foundational concepts of employee engagement, productivity, and workplace culture. This report reflects key insights, challenges, and strategic ideas shared during a recent discussion on resetting workforce expectations in today’s evolving environment.

1. Generational Shifts and Workforce Expectations

Changing Values and Motivations

Participants observed notable generational differences in workplace attitudes:

Younger employees often prioritize work-life balance, flexibility, and alignment with personal values and goals. There is a perception of “FOMO” (fear of missing out) that drives lifestyle choices.
Older employees, particularly those nearing retirement, may show reduced engagement, as they shift focus toward personal or family priorities.

However, the discussion challenged stereotypes, emphasizing that:

A perceived lack of work ethic among younger workers is often a misinterpretation of different value systems, not actual disengagement.
Productivity and commitment manifest differently—e.g., one employee may be highly effective working non-traditional hours.

Bridging Generational Gaps

Effective engagement requires a personalized approach:

Managers should discuss individual goals with both younger and older employees.
- Younger workers may see a job as a stepping stone toward future aspirations.
- Older workers may desire flexibility to spend time with family or pursue personal interests.
Helping employees connect their roles to their goals—even if short-term—creates mutual value.

2. Cultural Fit and Hiring Strategy

Rethinking Recruitment

A recurring theme was the importance of hiring for cultural fit and trainability, rather than solely focusing on qualifications:

“Hire the best person you know you can train” rather than the most technically skilled candidate who may not align with the company culture.

Accountability and Expectations

There were concerns around basic professional behaviors:

Tardiness, excessive personal cell phone use, and lack of accountability were cited, especially among entry-level hires.
Unrealistic expectations for rapid advancement without “paying dues” were noted.

To address this, companies must:

Clearly set expectations from the start.
Regularly revisit and discuss goals, accountability, and career paths to align understanding.

3. Flexibility vs. Operational Needs

Remote and Hybrid Work Dilemma

The demand for flexible work arrangements was widely discussed:

Some roles (e.g., hospital staff) require in-person presence, and remote work is not feasible.
However, for other roles, remote work can enhance productivity and retention.

One participant highlighted that:

“One size does not fit all. I work remotely, and I couldn’t be paid enough to return to an office.”

Organizations must distinguish between:

Personal preference and
Organizational necessity, balancing flexibility with role requirements.

4. Professional Development and AI Integration

Supporting Employee Growth

A common concern was the lack of investment in professional development:

Employees often do well in most areas but lack support to improve where needed.
Supporting certifications and skill-building helps workers grow into great employees and fosters loyalty.

Embracing Technology

The adoption of AI tools was cited as a competitive advantage for attracting and retaining modern talent.
Organizations must embrace, not resist, change, to stay relevant and appealing to tech-savvy workers.

5. Organizational Culture and Leadership

Leadership Sets the Tone

While culture should be shaped bottom-up, leadership buy-in is critical to enacting change.
Leaders must be willing to listen and adapt to feedback from all levels.

Performance and Recognition

Several companies lack structured performance evaluation, leading to unclear accountability and missed growth opportunities.
Formalized evaluations provide clarity, recognition, and roadmaps for development.

Lateral Communication and Hidden Work

A top-down model is insufficient. Frontline employees often have the clearest insight into operational needs.
Businesses benefit from a lateral communication structure where insights are shared openly.
Invisible labor often goes unnoticed until someone leaves or takes leave, revealing critical gaps.

6. Staffing and Retention Challenges

Entry-Level Hiring Difficulties

Employers find it hard to staff lower-wage or entry-level positions competitively.
The cost of hiring and managing employees was seen as a barrier to scaling, especially when retention is low.

Managing vs. Avoiding Hiring

Some employers avoid hiring entirely to sidestep the complexity of managing people.
This underscores the need for strong management skills, emotional intelligence, and effective delegation practices.

Conclusion: Evolving with Intention

The modern workforce is not broken—it’s changing. The key to resetting workforce engagement and productivity lies in:

Understanding the individual behind the employee.
Reevaluating expectations and support systems.
Listening across all levels of the organization.
Balancing innovation, flexibility, and structure.

Companies that embrace adaptive leadership, invest in professional development, and build a culture of respect and clarity are more likely to thrive in this era of workforce transformation.