“At last, the horizon appears free to us again, even granted that it is not bright; at last, our ships may venture out again, venture out to face any danger; all the daring of the lover of knowledge is permitted again; the sea, our sea, lies open again; perhaps there has never yet been such an ‘Open sea’.”
These words from philosopher Friedrich Nietzsche seem to meet the moment as we enter the final stages of 2021. The seas have been turbulent these past two years, indeed the world as we know it now, is fundamentally different.
The arrival of the pandemic brought with it a monumental re-think in how we do business, the role of project managers became more prominent than at any time in recent history, and all of us, citizens, are now thinking of how we need to prepare and equip ourselves for the future.
Such was the necessity of project managers in supporting the pandemic response – be it rolling out digital solutions to remote employees, protecting the UK’s supply chains, or developing global vaccination programmes – that millions of people adopted the responsibility. Our recent research found that eight out of ten UK professionals now manage projects as part of their role – despite 46% of those having never received any formal training – highlighting how invaluable the project management skillset is to the UK economy.
In other words, we have entered the Project Economy. In this new era, organisations deliver value to stakeholders through successful completion of projects, delivery of products, and alignment to value streams. Projects are now vehicles to deliver complex change in collaborative, problem solving ways. This is being typified by organisations that empower and equip their people with the skills and capabilities to turn ideas into reality, developing changemakers that will dictate their own development for years to come.
So that is a gear shift we have witnessed over the last 24 months; But there are other emerging trends and challenges that look set to dictate the way we manage outcomes and solve complex problems in 2022.
Digital disruption
If 2021 was the year to discuss the implications of bringing AI into mainstream business, then 2022 will open doors for a whole range of further technologies to enter the conversation. Our research found that the integration of automation, blockchain, computer-aided design, data analytics, and virtual/augmented/mixed reality are all key priorities for project management professionals over the next five years, along with a continued commitment to welcoming AI and machine learning into the workplace.
While digitization has been a solid workhorse, delivering steady improvements to operations, functions, and processes, the pace of digital transformation is also opening the door to more profound and strategic organisational change. The settling of permanent remote or hybrid working has the potential to hasten this and transform the global economy—if complex issues are addressed.
The pace of digital transformation will in turn accelerate digital disruption, leading to radical changes across entire sectors and turning traditional means of value creation on their head. This will mean, too, the evolution of our ‘relational’ skills, the ability to collaborate creatively, rapidly and in a goal focused way with other people. And all the while being sensitive to differences and cognitive/emotive loads that are mounting.
Adapting to an ageing workforce
The number of people aged 65 years and over is expected to comprise 18.9% of total UK population at the end of 2021, the highest proportion this age group has ever represented. This is an issue that will reverberate throughout UK business and pose a series of issues for organisations looking to stay agile and future-proof themselves in the midst of talent shortages.
Experienced project management talent is retiring at an exceptional rate – 13 million professionals are set to retire before 2030 globally – and businesses are up against the clock to plug the gap: in Europe alone, talent shortages threaten to put £61.1 billion GDP at risk before 2030 according to our Talent Gap Report 2021. In short, the world needs 25 million new project management employees before 2030; we need to act fast.
As such, hiring next-generation project management talent and upskilling from within must be a key priority for businesses heading into 2022. In some incidences, this may require some organisational transformation to cultivate an environment that encourages learning and development, but the short-term investment and effort can provide invaluable long-term gain. In particular focus will be active learning, with measurable baselines and targeted competence levels. We will hear more about Enterprise Capability strategies that draw both from corporate strategies and the unfolding socio-political imperatives such as the build-up of systemic trust, and practical ethics.
The Great Resignation
Since the start of the pandemic, the UK has experienced a mass exodus of workers from their roles. The reasons for this are hotly debated, ranging from concerns over workload and a lack of career development to a lack of action taken by employers on climate and diversity issues. With project talent already at a premium, organisations are under pressure to re-engage their existing employees and save themselves from further talent shortage issues.
It should be made clear that this is not an issue tied to the pandemic – even if its arrival was the catalyst for more people to consider their future – as half of British workers we surveyed in September admitted they were still likely to leave their job in the next six months. When asked why this was the case, the top responses included wanting a new career, experiencing burnout, lack of personal growth at current employers, and a lack of enjoyment for their role.
It’s clear that there’s a fundamental shift underway in the relationship that people want to have with their employers, and businesses are up against the clock to secure their best talent before they move on. The pandemic has magnified the vulnerabilities in organisation’s working cultures and posed the HR challenge of balancing recruitment with retention.
Integrating climate goals into project execution
Writing this in the immediate aftermath of COP 26, it would be remiss to discuss key considerations for 2022 without mentioning the climate crisis. Last year, we talked about how all the research is pointing in the same direction: more, and faster, global warming. This year, it is time that we ask why, despite government action and increasing emphasis on corporate social good, the situation is just getting worse.
The number of climate action projects is on the rise, but they’re not always successful. These projects entail vast complexities – from the sheer quantity of stakeholders and risks involved to the need to integrate new technologies to effectively track progress – that form a substantial barrier between a project’s scope and tangible success.
On top of this, ambitious net zero targets set by business leaders place a spotlight on every project and process to contribute positively to the wider corporate mission. Integrating ESG principles overall into organizational ways of working, into project leaders’ skill sets will be in focus in the coming year.
Ultimately, words and commitments can only be translated into action through projects led by capable project leaders and supported by motivated and agile teams. Without the right project management infrastructure and principles in place, organisations will continue to fail in making meaningful steps forward in their own climate journey.
For those that stay proactive in adapting to the Project Economy – be that through fostering upskilling, adopting gymnastic principles, or effectively integrating emerging technologies – the next 12 months can lay the foundations for a prosperous future.
Ashwini Bakshi is Managing Director of Europe and Sub-Saharan Africa at Project Management Institute
