Written by Kartik Bhatt & Lisa Khosla, Client Directors at Instep UK.
Human skills are the foundation of leadership in the future workplace.
Last week, we attended The Savoy in London for an event packed with senior HR professionals, and one theme kept resurfacing in every conversation: human skills are what organisations need most right now.
The highlight was a keynote from Dr Michelle Penelope King, globally recognised organisational psychologist and author of How Work Works. But just as valuable were the insights from HR leaders across industries. Together, they painted a clear picture:
The workplace is changing faster than organisations are, and HR is right in the middle of it.
Here are the biggest takeaways.
1. A Disengagement Crisis That’s Impossible to Ignore
Gallup’s latest numbers set the tone:
Only 23% of employees globally are engaged.
That leaves 77% disengaged, costing the global economy a staggering £7 trillion a year.
HR leaders told us disengagement isn’t about laziness – it’s about culture. People want purpose, connection, and care. And that starts with leaders who have the human skills to build trust and belonging.
2. Digital Transformation Is Cultural Transformation
Dr King’s keynote made one thing clear:
“Digital transformation is cultural transformation, and HR is at the centre of it.”
She outlined four megatrends reshaping work:
Megatrend 1: Digital and technical skills are no longer optional
Technology matters, but it won’t fix cultural issues. As one HR director said:
“We have the tools. We just don’t have the behaviours.”
Megatrend 2: Emotional and social intelligence is the differentiator
Lisa’s conversations reinforced this: human skills are the new future-proof skills. Leaders need to:
- Communicate clearly
- Build trust
- Navigate conflict
- Adapt under pressure
- Read the room
One CPO put it perfectly:
“Reading the room is now almost as important as reading a spreadsheet.”
Megatrend 3: Hybrid work + self-managed teams = new rules of engagement
Autonomy and flexibility are expected, but they require leaders with human skills to maintain cohesion and trust remotely.
Megatrend 4: Flatter structures are changing how influence works
Dr King reminded us:
“Work gets done through the informal system, not the formal structure.”
3. The Five Universal Needs That Drive Engagement
Dr King shared five universal needs every employee has:
- Security – Do I feel safe?
- Connection – Do I belong here?
- Growth – Can I develop here?
- Contribution – Do I feel valued?
- Meaning – Does this work matter?
Meeting these needs requires leaders with strong human skills – not just technical expertise.
4. What HR Leaders Told Us About Their Challenges
Three themes dominated:
Theme 1: Leaders aren’t prepared for the new world of work
Many leaders are technically brilliant but emotionally under-equipped. Lisa heard this repeatedly:
“Conflict feels harder to navigate. Trust is the biggest barrier.”
Organisations want leaders who manage humans, not just tasks. And they know human skills are teachable and measurable, making leadership more accessible and cultures more resilient.
Theme 2: Employees want growth (and will leave if they don’t get it!)
Development, progression, and stretch opportunities matter. Leaders with human skills create environments where growth feels possible.
Theme 3: Inclusion must become an operating system
DEI (or EDI) can’t be a programme – it must be woven into everyday decisions, conversations, and leadership moments.
5. Skills HR Professionals Need Right Now
Across the keynote and conversations, five priorities stood out:
- Building psychological safety
- Navigating informal networks
- Leading inclusively every day
- Managing ambiguity
- Using technology with humanity
And at the heart of all five? Human skills – the ability to listen, invite input, normalise healthy conflict, and lead with empathy.
6. Final Thought: HR Has Never Been More Important
Walking out of the event, the message was clear:
HR is no longer a support function. HR is the engine of cultural transformation.
Everything we do at Instep UK (leadership development, coaching, business change, data skills, inclusivity) helps organisations build the human skills that future-ready leadership demands.
As Instep Client Director Lisa Khosla put it:
“The leaders people want today aren’t defined by title or authority – they’re the ones who navigate challenges with emotional depth and honesty.”
The future isn’t about managing transactions. It’s about designing cultures where people thrive. And that starts with human skills.
