PwC asked business leaders for the last two decades about the trends reshaping economy and society. The new report summarizes the long-term findings as follows: Over this period CEOs have witnessed tremendous upheavals as a result of globalisation and technological change. Since the first survey in 1997, trade flows have quadrupled and global internet traffic has risen by a factor of 17.5 million. The twin forces of globalisation and technological progress have helped to boost living standards and lessen inequality between countries. And, in what’s perhaps the most remarkable achievement of all, they’ve lifted a billion people out of extreme poverty… But greater convergence has come with greater divergence, as CEOs have long predicted. In 2009, when PwC first asked CEOs about the risks associated with various global trends, 46% thought governments would become more protectionist; 73% expected other countries to challenge the G8’s dominance; and 76% anticipated a rise in political and religious tensions… Globalisation and technological advances demand a new style of leadership to manage heightened anxieties. The enduring winners will be those who can successfully navigate technology and preserve the human touch. Competitive advantage will go to those with the greatest capacity to build relationships built on trust, which comes from sharing deep, sustainable values and purpose.

The 20^th CEO survey explores what executives in 2017 think about three imperatives: managing man and machine to create a workforce that’s fit for the digital age; preserving organisational trust in a world of increasingly virtual interactions; and making globalisation work for everyone by ensuring the benefits are distributed more fairly. All three imperatives are addressing the common challenge of leadership and is certainly of interest for project managers.

Managing man and machine

Robots took over many jobs in production, new machines and devices will change industry significantly, in our blogpost earlier this month we addressed this issue in “The Fourth Industrial Revolution … and what it means for project management!”. But as time goes by, we experience robot cars, robots at the reception desk of hotels in Japan and robots with a “human touch” for households. But what does this mean for us, the people? Are we losing jobs to the robots? Yes, and no. Some of the jobs will be lost, especially those with basic requirements performing easy routines. New jobs will be created in order to advance, program, install and maintain the robots. Those jobs require a high skill profile. The survey concludes: “Whatever the numbers may be, one thing is certain: technology will have a disruptive impact on the workforce, and it will do so right across the skills spectrum.” Our blogpost of last year about “One Hundred Year Study on Artificial Intelligence – impacts on PM!?” concluded that some tasks of project management might be replaced by Artificial Intelligence (AI), e.g. analyzing data, planning and controlling projects, sharing information and supporting communication between stakeholders. However, human beings are needed in order to design a project, take decisions, lead other people to success, represent the project in public or towards clients and higher management levels. The human intuition, feelings, ideas, emotions  and passion cannot be replaced by AI, thus a project manager will be needed in future…

Gaining from connectivity without losing trust

A few years ago the main theme of PwC´s CEO Survey was about “connectivity”, the connections people and organisations build across various barriers. It´s an increasingly important trend in a globalized world with many interconnections in global Supply Chains and regional or transnational trade networks. Unfortunately, the financial crisis put trust on the agenda for business leaders, due to stagnant economies, spiraling debt levels and cyber-attacks on governments as well as corporations. Trust levels of key stakeholders are heavily affected by cyber security breaches affecting business information or critical systems, breaches of data privacy and ethics as well as IT outages and disruptions. The 20^th CEO Survey summarises as follows: “In some respects, digital connectivity has made us more trusting; in the sharing economy, for example, consider how many people let strangers stay in their homes or buy from businesses they’ve never heard of before. In other respects, digital connectivity has eroded trust by creating new threats and exposing organisations to far more scrutiny. The growing complexity of technology and the increasingly distributed way in which we work, with greater individual autonomy, have also made it much harder for companies to build trust – or rebuild it, once it’s been lost.” The same applies to projects, where we need to ensure that connectivity with all stakeholders does not end up in losing trust, but building trust-worthy relations.

Making globalisation work for all

For many people, including us from IPMA, the globalisation is a great advantage. And there is also a vast majority of CEOs, which believe that globalisation has helped to free up flows of money, people, goods and information, facilitate universal connectivity and create a skilled workforce. Yet a significant number say it’s done nothing to mitigate climate change, promote the development of fairer tax systems or close the gap between rich and poor. Political, economic, regulatory and social systems within all companies operate are coming under increasing strain. Some people even see them at the heart of the problem. Maybe the Brexit referendum, the elections in the USA and other countries are affected by the (perceived) inequality. Making globalisation work for all should be dealt with under the sustainability agenda of governments and business leaders. It´s beyond the “green” aspects of sustainability and addresses peoples´ needs to make their living and being treated fairly by employers and governments. The CEO Survey concludes: “Businesses that ignore the power of the people will jeopardise the growth they seek. Conversely, businesses that respond effectively – by articulating their purpose, anticipating risks and adhering to the values they profess – will thrive.” By defining project goals, benefits and long-term impacts, we could also address these issues through projects and programmes, challenging project sponsors who solely aim for profits. Projects need to help the team to grow as well as the society. Our blogpost “It´s all about the impact of a project, not the deliverables!” addresses this by looking at a project for the good of society.