In today’s volatile and uncertain world, public policy education equips leaders with systemic thinking and adaptive skills

By Dr. Tarun Arora, Dr. Reasa Syal

The 21st century is characterised by a VUCA world — Volatility, Uncertainty, Complexity, and Ambiguity. Economic conditions can change overnight due to geopolitical decisions, health crises, or environmental shocks. For example, when the Trump administration suddenly increased tariffs on Indian imports, trade flows were disrupted within weeks, forcing industries to adjust their strategies.

The pandemic also significantly altered economies and public health systems globally in just a few months, compelling governments and businesses to make rapid, high-stakes decisions based on incomplete information. Climate change continually impacts livelihoods through extreme weather events, and technologies like artificial intelligence are advancing faster than laws can be established.

In this environment, policies on trade, technology, climate, and health are not mere abstract documents; they are rules that dictate how societies function and businesses operate. Leaders who do not grasp these frameworks risk having their best strategies undermined by changing regulations, unexpected crises, or public backlash.

This highlights why education in public policy is gaining prominence as the new MBA. This qualification equips leaders to navigate not only markets but also the governance systems that shape them. In a Vuca world, where uncertainty is the norm, policy literacy is becoming as crucial as financial expertise.

World’s Wicked Problems

For decades, the MBA has been the credential for ambitious professionals seeking leadership roles in corporate settings. It has honed skills in finance, marketing, operations, and strategy, ideal for relatively stable, growth-oriented markets. The traditional focus on competition, efficiency, and profitability remains valuable, but is no longer sufficient.

The VUCA reality has redefined what leadership requires: the ability to operate at the intersection of government, business, and society, and to solve problems that cannot be tackled by market logic alone. The defining challenges of our time — climate change, digital privacyglobal inequality, and public health crises — are not “problems” in the conventional sense; they are wicked problems. They have no single cause, no straightforward solution, and often no endpoint. They are multi-layered, interconnected, and politically charged. Addressing them requires balancing conflicting interests, integrating diverse perspectives, and adapting solutions as new information emerges.

Public policy education is designed for such an environment. It trains leaders to think systemically, anticipate unintended consequences, and design interventions that work across political, social, and economic dimensions. The skills it cultivates — negotiation, coalition-building, ethical reasoning, and evidence-based decision-making — are exactly what wicked problems demand.

Where competition and efficiency reward speed and optimisation, solving wicked problems requires patience, adaptability, and the ability to hold multiple, sometimes contradictory, perspectives in mind. This represents a fundamental shift in leadership mindset, one that public policy programmes embrace and MBAs are only beginning to incorporate into their curricula.

The VUCA Era

A VUCA world does not reward leaders who cling to linear thinking or predictable models. Decision-making today often happens with incomplete information, shifting stakeholder demands, and rapidly evolving circumstances. Public policy programmes embrace this complexity, training leaders to operate in spaces where uncertainty is the rule rather than the exception. This involves building comfort with ambiguity, crafting strategies that can pivot when external conditions change, and using data as a guide for adaptive experimentation rather than a final answer.

Complex challenges rarely exist in isolation. A public health crisis like COVID-19 is not just a medical emergency; it disrupts economies, education, transportation, and international relations. Similarly, technological disruptions, such as AI, are not purely engineering problems; they have ethical implications, labour market consequences, and regulatory dimensions. Public policy education prepares leaders to navigate these interconnections rather than treating them as separate silos.

In such an environment, leadership also requires the ability to broker agreements among actors with competing interests. Public policy graduates are trained in stakeholder analysis and consensus-building, understanding that durable solutions are rarely the product of unilateral action. The emphasis on ethics and legitimacy ensures that decisions are not only technically sound but also socially accepted, a critical factor in politically charged or highly scrutinised environments.

From Boardroom to Policy Room

The gap between corporate strategy and public governance is narrowing. CEOs are often called to testify before legislative committees to explain their business practices or respond to regulatory changes. Governments are increasingly collaborating with private firms to develop infrastructure, expand renewable energy capacities, and create digital service platforms. Nonprofits and businesses collaborate to tackle social issues such as hunger, healthcare access, and urban sustainability.

The defining challenges of our time are wicked problems, requiring leaders to balance conflicting interests, integrate diverse perspectives adapt as new information emerges

Most major corporations now have a dedicated Government Relations and Public Policy department to track regulations, engage policymakers, and adapt strategies. Leaders who can communicate in both the language of markets and the language of governance possess a significant advantage.

Public policy graduates are particularly suited for this translator role. They understand how decisions are made in the public sector, the challenges policymakers face, and the strategies that can influence outcomes. This expertise enables them to design corporate strategies that are not only market-oriented but also politically sustainable. In a volatile worldthis dual fluency is a vital survival skill.

Policy Literacy

Policy shapes every sector. Trade policy can determine market access and competitiveness, while environmental regulations impact investment decisions. Data governance laws dictate how companies collect, store, and use consumer information. Leaders who are well-versed in policy can anticipate regulatory changes, engage constructively with policymakers, and adjust proactively rather than reactively.

In today’s world of instant communication, policy literacy also enhances reputational resilience. Decisions once internal can be scrutinised on social media within hours. Therefore, leaders must justify their decisions in ways that resonate with both regulators and the public. Public policy education equips leaders to contextualise their decisions within broader social and policy frameworks, helping them maintain trust under pressure. Managing legitimacy has become as crucial as managing operations and profit.

Designing the Future

Three trends explain the rising appeal of public policy education. First, the pandemic demonstrated how government decisions can determine economic stability, public safety, and the resilience of supply chains. Second, technological innovation is outpacing regulation, demanding leaders who can bridge the gap between what is possible and what is permissible. Third, younger generations entering the workforce are motivated by purpose as much as profit, seeking careers where they can contribute to systemic change.

Public policy will not replace the MBA but is emerging as its equal in prestige and influence. Many universities now offer joint degrees in business and public policy, acknowledging that future leaders must be fluent in both operational excellence and systemic transformation. The MBA’s focus on efficiency, profitability, and competitive advantage complements public policy’s emphasis on ethics, equity, and long-term resilience. Together, they form the skill set needed for leaders who must design adaptive strategies in an unpredictable and interconnected world.

In a VUCA environment, leadership is no longer about managing within existing systems; it is about redesigning those systems to be more equitable, sustainable, and resilient. Public policy education equips leaders with the vision and tools to make this shift. For those determined to shape the future rather than merely react to it, public policy is the new MBA. It is the qualification for leaders who want not just to succeed in the world as it is, but to design the world as it should be, and in today’s world, that is the ultimate leadership advantage.

(Dr Tarun Arora is Associate Professor and Associate Dean, Jindal School of Government and Public Policy, OP Jindal Global University, Sonipat, Haryana. Dr Reetika Syal is Assistant Professor, Department of International Studies, Political Science, and History, Christ University, Bengaluru)