The Tech Trend Race: Why soft skills are the new power skills

By Harshavardhan Kundalkar

In our constant pursuit of technological breakthroughs, innovations that captivated us yesterday, especially in artificial intelligence, automation, and data, have rapidly transformed into a standard expectation. This shift highlights that while technical competence remains important, it no longer guarantees success or sustained growth.

The ability to innovate, lead, and collaborate is now indispensable. Skills that were once referred to as "soft skills" have transformed into "power skills," the differentiating factors that define top performers, drive genuine innovation, and ensure long-term career resilience.

Why the shift?

A McKinsey study says that social, emotional, and cognitive capabilities will make up two-thirds of future skill demand. It highlights that while demand for technological skills will see the strongest growth, driven by an estimated rise of 55% by 2030, demand for social and emotional skills, such as leadership and managing others, will also rise significantly by 24%.

This data emphasises the growing importance of human skills as AI takes over more routine tasks. In this evolving landscape, AI should act as an enabler rather than a replacement. Human-centric capabilities such as emotional intelligence, creativity, and adaptability will be essential for individuals to grow in new roles. This trend is echoed across industries. 

Deloitte's findings reveal 92% of executives consider human capabilities to be as important as, or even more important than, technical expertise.

While AI can perform complex tasks and analyse vast amounts of data, it cannot inspire, empathise, or imagine. This is precisely where our competitive advantage lies.

What does it mean for different groups?

This key shift in perspective brings significant implications, reshaping professional roles and redefining how we measure success throughout the workforce.

For Freshers/ Gen-Z:  While the younger generation is entering the workforce with natural digital fluency, their competitive edge will not merely stem from technical prowess but from their adaptability, curiosity, and clear communication. Employers are now looking for talent who can simplify and explain complex ideas, work collaboratively in different teams, and share their ideas openly, not just code or crunch numbers.

For Employees: It is extremely crucial for the mid-level employees to stay relevant in this rapidly changing landscape, where adding value goes beyond the capabilities of an automated tool. While AI is efficient enough to trace patterns and draw insights, human touch is essential to connect these dots and apply them to draw real business results. What truly sets them apart is their potential to transform complex data into compelling stories.

For Managers: With automation of traditional managerial tasks, managers in the present day are less of a boss and more of a coach, someone who helps bring real change. They are not just delegating tasks but building trust, making things clear when they're uncertain, and helping their teams adapt to constant change. Their success is defined by a safe environment for their team members to speak up and helping them grow, rather than just ticking off task lists.

For Leaders: The idea of leaders being the "smartest person in the room" is no longer what people expect. In a world full of ambiguity and shifting dynamics, leaders are now expected to be the steadiest presence amidst uncertainty. Their role is to inspire confidence, ask sharper questions, and drive cultural agility. These qualities will help them sustain their organisation during disruption.

Building a power-skill culture

To build stronger organisations, it is essential to treat adaptability, empathy, and communication as core business assets, not just optional training. Companies should instil these in their regular operations, like hiring, performance, and promotions, with leaders showing the behaviour they want to see, acting as role models.

As roles transform, jobs will be redefined, requiring greater organisational agility. This can be accelerated through cross-functional projects and more adaptive teams.

Reward systems should recognise not only outcomes but also the approach taken to achieve them, cultivating a culture where the journey is valued as much as the results.

Ultimately, the race ahead is not just about faster technological advancements but about more intelligent humans. When artificial intelligence handles routine tasks, and people bring their creativity, collaboration, and critical thinking, companies unlock resilience, innovation, and a truly human-centred edge.

In a world where AI can replicate hard skills, people who adapt, inspire, and connect will always lead. Soft skills are no longer soft but are the power skills that define who will win the tech trend race.

(The author of this article is Chief People Officer, DTICI.)