Digital age workplace: Why soft skills matter more than ever

What do remote work, artificial intelligence advancements, and video conferencing tools all have in common?

They’re all significant contributors to the rapid digitization of the modern workplace.

Digital transformation has been skyrocketing since the pandemic in 2020, with digitalization increasing by an average of 6 points across the world’s advanced economies the year after.

As a result, new technologies, like generative AI tools, are popping up everywhere (65% of companies have already adopted them), and most employees are scrambling to acquire the technical skills required to use them.

However, employers insist that soft skills matter most in the digital age, especially adaptability.

According to a LinkedIn survey, 9 out of 10 global executives agree that soft skills are more important now than ever.

Since digitization has moved rapidly for most companies, soft skills like effective communication, adaptability, and teamwork are necessary for successfully navigating the transformation.

While employers can turn to training programs to teach employees new hard skills (like how to use a generative AI tool), soft skills are more inherent to an employee’s personality, which means they can be difficult to learn (but not impossible).

Also, some soft skills matter more than others in the digital workplace.

In this article, we’ll examine the increased importance of soft skills in the workplace and the top soft skills you need to thrive in the digital age.

What are soft skills?

In professional work, skills are divided into two camps: hard and soft skills.

Hard skills, also called technical skills, are measurable, job-specific abilities learned through education, training, or on-the-job experience. Each job position will have its own set of hard skills, such as being adept with programming languages for web developers.

Soft skills, on the other hand, are more general abilities that aren’t specific to one position.

An example of a soft skill would be problem-solving.

Excelling at finding answers to complicated problems is a skill that’s valuable in any workplace, and it’s a hallmark of soft skills.

In other words, to qualify as a soft skill, it has to provide benefits for all job positions, regardless of industry.

Another example is the ability to communicate effectively.

No matter what type of work you do, the effectiveness of your communication is significant.

Even if you’re a rocket scientist with a genius-level IQ, you will only succeed at your job if you can communicate with your colleagues.

This is because all it takes is one major communication error to send an organization spiraling into chaos.

The proof?

A study by Grammarly estimates that businesses lose up to $1.2 trillion each year due to communication failures, so it’s something to pay attention to.

This further reflects the importance of soft skills in general, and they’re just as crucial in the digital world.

Other examples of common soft skills include:

• Emotional intelligence – The ability to perceive and express emotions in yourself and others.
• Critical thinking – Objectively analyzing an issue and developing a solution.
• Active listening – Listening intently to others while simultaneously processing what they’re saying.
• Interpersonal skills – The ability to effectively communicate and build strong relationships with others.
• Decision-making – Having the gumption to make effective decisions based on data.

Why do soft skills matter in the digital age?

As mentioned previously, digital transformation has been moving extremely rapidly for the past few years.

Also, smaller organizations saw more digitization directly after the pandemic than enterprise-level companies, as illustrated by this graph.

It’s easy to understand why these smaller organizations were less digitized than their larger counterparts pre-2020.

The pandemic and rapidly evolving technologies like AI and automation are forcing organizations worldwide to adapt. This transition is still ongoing for many.

This whirlwind of digitization and the adoption of new digital tools has created a significant skill gap in the global workforce.

Why is that?

New tools and technologies require new skills, and many employees have yet to catch up.

For example, many lack experience with AI and automation tools due to their newness, which is an issue many companies are facing. Even employees with computer science degrees are struggling to keep up with the changes, which is why there’s predicted to be a 50% hiring gap for AI-related positions this year.

Also, a survey discovered that 81% of IT professionals believe they know how to use AI when, in actuality, only about 12% do.

Approximately 70% of IT workers need to sharpen their AI skills, accounting for over half of the available talent.

For these reasons, employers are placing so much importance on soft skills.

Many positions are changing in their hard skill requirements. This means employers now rely on core soft skills like problem-solving, effective communication, and teamwork.

Soft skills are also great because they help you succeed in any employment role, even if you first lack the necessary technical skills.

Soft skills from the POV of a hiring manager

As a hypothetical, pretend you’re a hiring manager trying to find a candidate for a computer programmer position at your organization.

The catch is that this role is now AI-heavy and requires the programmer to prompt and train an AI chatbot, which is still pretty new.

Consequently, finding someone with those skills will take a lot of work.

Of the top two candidates who applied, Candidate A has a tiny bit of experience with AI, but they could have communicated better during the interview and seemed unorganized.

Candidate B, on the other hand, has zero experience with AI but makes eye contact, communicates well, and has an immaculate CV. They also mention that they’re adept problem solvers and critical thinkers.

Of the two candidates, who do you think is better for the role?

Candidate A may possess one of the technical skills necessary for the position, but the soft skills still need to be there. They need to communicate more effectively, and they’re generally unorganized.

Candidate B clearly lacks digital skills but knocks it out of the park when it comes to soft skills. They’re great communicators, and they excel at problem-solving and critical thinking—two soft skills necessary for learning new abilities quickly.

This means Candidate B is perfectly capable of taking on a complex challenge, like learning how your AI chatbot works.

While you may have to provide some AI training for Candidate B (or provide them with a mentor), they’ll likely learn fast and perform well.

That’s a simple example of how important strong soft skills are in the digital landscape. They can be a real differentiator in the job market.

The top 5 soft skills to possess in the digital age

There are dozens of soft skills, some better suited for working with digital platforms than others.

Teamwork is an essential soft skill for many tech jobs. However, other soft skills better suit programmers who work in isolation, (aside from occasional meetings.)

More desirable soft skills for them include creativity, critical thinking, and problem-solving.

Here’s a look at the top soft skills that come in handy in digital work environments.

#1: Adaptability

By far, the most important soft skill for the digital age right now is adaptability.

Since the future of work is uncertain (and the average half-life for skills is shrinking), the best thing an employee can be is adaptable.

Roughly 40 years ago, a skill had an average half-life of at least ten years before it became obsolete.

In today’s age, a skill becomes obsolete (or at least needs a refresher) after only four years.

Theoretically, a college student could spend four years learning skills that become outdated the second they graduate.

AI is largely to blame for the acceleration, but it’s not the only cause.

Sure, AI may be the big thing right now, but what about five years into the future?

It’s unclear what will stick and what will go by the wayside, which is why employees need to remain as adaptable as possible.

#2: Effective communication

One of the most essential soft skills is communication, and it’s imperative for employees to communicate effectively in the digital age.

Workplace communication has changed dramatically in ten years. Most conversations now occur over email, SMS, and instant messaging apps like Slack. Virtual meetings also skyrocketed in popularity after the pandemic.

Modern employees must be able to successfully interpret static messages sent through email and text. Strong writing skills are also a must, especially instead of face-to-face interactions.

Lastly, managers must make their preferred communication channels clear to employees.

The best way to do this is to create a list of each channel plus its accepted uses.

For example, you could use Slack for informal conversations, while emails are reserved for more serious issues.

The last thing you want is for employees to leave vital messages on a platform no one else uses, which can lead to costly mistakes.

#3: Project management

If there’s one thing that’s grown in complexity along with AI and remote work, it’s workflows.

Most managers work with teams that are at least partly split between the office and working remotely, which presents its own challenges.

That’s why project management is such a useful soft skill to have. Any manager who is able to successfully keep track of in-person and remote teams is a keeper. Project management software like Asana is also a big help in this regard, too.

#4: Analytical skills

The world is becoming increasingly driven by data, which is why analytical skills make the list.

More and more roles involve analyzing some data, whether diving into sales performance metrics or calculating your average order value on Amazon.

Sharp analytical skills are desired in virtually every industry today, so it’s worth developing them.

#5: Customer service

Last but not least, AI customer service bots have certainly shown us the value of human representatives.

From getting McDonald’s orders wrong to selling Chevy trucks for just $1, AI technology needs some work in the customer service arena.

Customer service is an accumulation of a few other soft skills, including:

• Patience
• Empathy
• Organization
• Communication skills
• Problem-solving

Strong customer service skills benefit you in any position or industry. Don’t hesitate to cultivate them.

Final thoughts: Essential soft skills in the digital age workplace

To summarize, soft skills have become increasingly important for employers due to the rapid pace of technological advances.

Employers are on the lookout for candidates who are excellent communicators, critical thinkers, and problem-solvers due to their unanimous appeal.

Managers, focus on soft skills to fill your open positions with excellent employees eager to learn.

Employees, cultivate soft skills to thrive in this volatile job market, regardless of your industry.

More Resources:
4 ways hiring managers can assess a candidate’s soft skills
Act your wage: How young workers are responding to stagnant pay
The top technical and soft skills that look good on a resume