What does it take to lead through complexity, make tough decisions and still put people first? For me, the answer became clear during a defining moment early in my career – one that changed my path entirely.
Today I am a business school educator, but I began my career in the corporate world. I faced a challenge so intense that it motivated me to go back to school and earn a Ph.D. so I could help others lead with greater purpose and humanity.
Back then, I was working for a multinational home goods company, and I was asked to play a role in closing a U.S. factory and moving its operations abroad. It was the right economic decision. Without it, the company couldn’t stay competitive. Still, the move was fraught with emotional and ethical complexities.
Witnessing the toll on employees who lost their jobs, and the broader effects on their community, changed how I thought about business decision-making. I saw that technical skills alone aren’t enough. Effective leadership also requires emotional intelligence, ethical reasoning and human-centered thinking.
That experience led me to higher education. I wanted to fulfill a greater purpose by equipping future business leaders with critical human-centric skills. I needed to learn more about these skills – why they matter, how they shape outcomes, and how we can teach them more effectively.
Often called “soft skills” or “people skills,” these are also referred to as “power skills” or “durable skills.” They are central to success in today’s business world.
Today, employers arguably value these skills more than ever. But while demand for these skills is growing across industries, there’s not enough supply. Sixty-five percent of employers cite soft skills as the top gap among new graduates, according to Coursera’s 2025 Micro-Credentials Impact Report. New hires are struggling in the areas of communication, active listening, resilience and adaptability.
Power skills are transferable across roles, projects and industries. And research continues to show that these skills drive innovation, strengthen team dynamics and help organizations navigate uncertainty – key reasons why employers prioritize them.
So what does it look like to lead with power skills? Here are three key areas:
Adaptability. It goes beyond simply accepting change. It’s the ability to think, feel and act effectively when the situation changes – which, in today’s business environment, is all the time.
Consider a company expanding into a new international market. To succeed, it must invest in cultural research, adapt its operations to regional norms and align with local regulations.
Empathy. The ability to understand and respond to the feelings, perspectives and needs of others is essential.
Empathy not only fosters trust and respect, but it also helps leaders make decisions that balance organizational goals with human needs. More broadly, empathetic leaders create inclusive environments and build stronger relationships.
Inclusivity. Effective communication and teamwork consistently rank high as essential workforce skills. This is because organizations that excel in communication and collaboration are more likely to innovate, adapt to change and make informed decisions.
Technical expertise alone is no longer enough to drive success. The power skills are crucial. By prioritizing these skills, educators and businesses can better prepare leaders to navigate complexity, lead with purpose and thrive in a constantly changing world.
Sandra Sjoberg is vice president and dean of academic programs at Western Governors University School of Business. Distributed by The Conversation and The Associated Press.
