The new face of engineering leadership: Why technical experts must become business strategists

The precise problem solving skillset that forms a great engineer is increasingly being utilised in a broader business perspective by organisations seeking to gain a competitive advantage. Those who once focused solely on system design, compliance and delivery are now being asked to take a seat at the executive table, contribute to commercial strategy and lead organisations through transformation, writes Paul Carmignani.

Technical prowess is no longer the only hallmark of successful engineering leaders.

At such a critical juncture in Australia’s energy transition and infrastructure boom, this evolution is necessary. From major transport projects and renewables expansion to defence capability upgrades and grid investment, the scope and complexity of what is being built has never been seen before, and needs an adjustment in strategy. The requirement for these projects comes at a time of a shifting regulatory environment, skills shortages across major disciplines and necessary sustainability expectations.

All this to say, technical engineering knowledge alone will no longer guarantee success. The new engineering leader must adapt deep technical capability with a commercial mindset and thinking towards the needs of an array of stakeholders.

A seat at the table

This shift is well underway, with more and more engineers being brought into boardroom discussions, long-term planning exercises and investment decisions. These businesses understand that aligning technical expertise with business objectives will help them to avoid costly missteps. There is a growing expectation that engineering leaders can translate technical realities into business strategy, whether that’s identifying scalable innovations, navigating regulatory risk, or meeting ESG benchmarks.

For engineering leaders, communication and influence are becoming necessary skillsets, just as the calculation and modeling expertise that serves as the foundation of their role. This, then, requires a shift in how engineers are trained and developed.

Universities and employers, alike, must think beyond traditional pathways and equip future leaders with business, finance and communication capabilities alongside their core technical training. Mentorship and leadership development programs within industry can help close the gap, but only if organisations recognise the value of this evolution and invest accordingly.

Business benefits

As projects become more complex, outcomes and success should be reexamined as well. The best outcomes often come not from technical perfection but from the ability to adapt, prioritise and manage competing demands effectively. Those who can balance all the hats in the ring, from managing cost, quality, sustainability and external expectations, are truly worth their weight in gold and serve as the archetype for the modern-day engineering leader.

It’s important to understand that this is about broadening the scope of what engineering leadership entails and valuing their role into a broader business vision.

Organisations that succeed in this will benefit not just from better projects, but from stronger alignment between infrastructure goals and business outcomes. They’ll be more resilient in the face of disruption, more innovative in their approach, and more effective in delivering  lasting value.

The early integration of technical expertise can ensure multimillion-dollar overruns are avoided, and a collaboration across disciplines can turn compliance challenges into competitive advantages.

Next steps

As we look to the future, we must ensure that the engineering profession is seen not just as a technical discipline, but as a valuable seat at the table for the nation’s most pressing challenges. That means giving engineers a voice from the beginning to the end of projects and strategic conversations that shape our economy, our infrastructure, and our future.

This isn’t a matter of replacing the traditional skills that define great engineers, it's placing their value at the heart of strategy and harnessing their skills for holistic business success.

Paul Carmignani is Managing Director of Powertech, an engineering and technical services business whose work includes in projects for mining, oil and gas, renewables, infrastructure and defence sectors.