Not sure why but after riding this last time when I put her into gear and give it some gas, I have a hesitation before it clunks into gear like it is hanging up, any thoughts ?

Have you had any correction to this?
I have the same thing but seems to go away once bike is warm.

Does it ever grind when you give it gas after shifting into gear?  Mine had that problem pretty badly when I bought it.  It was to the point that I had to 'test' that it was in gear every time by blipping the throttle just enough to engage the clutch, which very quickly got old and a little embarrassing at times when trying to make a multi point turn on a tight trail.  After talking with the dealer about it they told me it's a known issue in some of the 2018 Z1000's, the shift forks were weak and bent easily, making it hard to get it into gear properly.  CFMoto Canada doesn't even question it, they just tell the dealers to fix it.  They fixed mine under warranty by replacing the shift forks and a few gears, and now it shifts great.  Might be something to look into.

I took off the cv cover and blew it out real good had some dirt in there not a lot but maybe enough in the right spot to make it hang up a little ? I increased the idle just a bit and now it seems to engage a lot smoother and quicker. Not sure what helped but glad it did.