Adapt or fail: Why human-centric goals can tip the balance towards Industry 5.0 success
Dr Melissa Carr, Director of EDI at the World of Work Institute, explores five key leadership principles to follow.
Industry 5.0 is here but recent reports suggest that the promised business returns in the era of automation and human-machine collaboration are not always forthcoming. With a recent MIT report finding that a staggering 95% of generative AI pilots are failing to deliver measurable business impact, how can businesses close the gap and turn the tables?
As technology innovation and business transformation gathers pace, the way businesses manage and motivate their people is not necessarily following suit. But only by putting people first and adapting approaches can leaders smooth the shift to Industry 5.0 and reap the rewards.
With so much change and uncertainty in the workplace, taking care of your employees needs to be prioritised. This means embracing human-centric goals that go beyond managing technology or processes but put people at their heart, to ensure long-term business success.
Making this happen in practice requires a shift in mindset and approach when it comes to how we think about people and manage their career and wellbeing needs. To help navigate change there are five key leadership principles to follow, which ensure people remain at the centre of Industry 5.0 adoption.
1. Be a ‘network’ leader
Industry 5.0 thrives on interconnected systems and collaborative environments. By moving from a ‘hierarchical’ to a ‘network’ leadership approach, leaders can accelerate innovation and decision-making.
A network leader sees the origination as an ecosystem rather than operating through chains of command. They focus on breaking down silos, creating conditions for collaboration across boundaries, building robust partnerships, and creating agile, cross-functional teams to tackle challenges.
Network leadership is relational: it relies on trust, transparency and the ability to convene people around shared purpose rather the positional authority.
2. Foster symbiosis between humans and AI
Leaders must enable a symbiotic relationship where humans and AI complement each other, amplifying productivity and innovation.
We can observe much of the frustration surrounding new technologies as stemming from a lack of clarity about how they will change the world of work. Tools are introduced without job redesign, adequately preparing teams or engaging employees in shaping the change. Symbiosis between humans and AI requires intentionality.
Leaders need to identify where technology can genuinely enhance work, removing routine tasks or enhancing accuracy of others, and where human judgement, empathy and critical ethical reasoning remains irreplaceable. Rather than asking by default ‘how do we automate this?’, lets ask ‘how can we redesign this so human and AI can support each other and do what they do best?’.
3. Reimagine the legacy systems of leadership
Traditional leadership systems often emphasise control, predictability, and rigid hierarchies. In Industry 5.0, these outdated systems must give way to more adaptive, inclusive, and human-centric approaches.
Reimagining leadership means creating cultures where curiosity is valued, where leaders show humility about what they don’t yet know, and where wellbeing is treated as part of strategic resilience.
It also requires redesigning organisational processes, such as performance management and talent development, so they reward collaboration, learning and ethical decision-making. When organisations modernise their leadership systems, they remove barriers that otherwise stifle innovation.
4. Cultivate cross-generational collaboration
Workforce diversity now spans multiple generations, each with unique strengths and perspectives. Industry 5.0 demands leaders who can harness this diversity to drive innovation and resilience.
Different generations can bring distinct strengths: early-career workers often contribute digital fluency and fresh perspectives, while those with longer tenure hold institutional memory and judgement drawn from experience. Leaders can unlock this richness by designing cross-generational teams, supporting two-way mentoring and setting expectations for inclusive communication.
When employees feel valued for the insight they bring, not stereotyped by the era they were born in, organisations benefit from a broader base of ideas to support decision-making.
5. Commit to long-term employee development
In an era of rapid change, continuous learning is essential for both individuals and organisations. Leaders who prioritise employee development will not only future-proof their workforce but also build loyalty and engagement.
Leaders need to adopt a long-term view of employee development, creating pathways that support continuous learning, career mobility and personal growth. This includes technical capabilities, but also the human skills that become more important as automation expands: emotional intelligence, critical reasoning, ethical awareness and collaboration.
Industry 5.0 is not solely a technological project. It is a human one. Organisations that succeed will be those that align technological advancements with human needs, designing workplaces where people can adapt, grow and thrive. Leaders who embrace these five principles will be better equipped to turn the promise of Industry 5.0 into genuine, long-term impact.
For further insights, download our report Leadership Futures: Building a People-First Future
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