There’s no doubt artificial intelligence is doing the heavy lifting in project management software these days, but if you think Aussie buyers are dazzled by shiny new features alone, think again.
According to Capterra’s just-released 2025 Project Management Software Trends report, while AI is the leading trigger for new software investments in Australia, the real action is happening behind the scenes - where security protocols, hybrid methodologies, and emotional intelligence are increasingly pulling rank on core functionality.
AI or die? Not quite, but it’s close
A solid 60% of Australian project managers cite AI as the primary reason for their most recent software spend. That’s no small call in a market still jittery from staffing squeezes, ESG pressures, and digital transformation fatigue. With AI tools promising everything from workflow automation to predictive risk modelling, organisations are betting on software to help do more with fewer hands on deck.
But if the hype cycle is peaking, so too is the reality check. Four in ten buyers say they’re struggling to realise the full value of these tools - hampered by poor integration, clunky onboarding, and a workforce not yet fluent in AI feature-speak.
“Just because something can be automated doesn’t mean it should,” says Patrick Albina, director at Quintessential Consulting and a veteran of strategic transformation. His advice? Match tech with capability, not just ambition.
Security: the new make-or-break feature
Functionality used to top the PM software shopping list. Not anymore. Today, 70% of Aussie buyers rank security as their number one concern - a sobering shift that reflects both the power and the peril of integrating AI with sensitive business data.
And no wonder. After Trello’s headline-grabbing breach in July 2024 - which saw 15 million email addresses exposed thanks to an unsecured API endpoint - buyers are more alert than ever to the risks lurking behind weak access controls and overexposed data pipelines.
In Albina’s view, it’s not just about ticking the ISO27001 box. “Security has to be cultural, not procedural,” he says. “If your people are circumventing systems to get things done, you’ve already lost.”
Emotional intelligence: the new AI enabler
As AI handles the grunt work, human skills are making a comeback. Some 58% of project managers say their use of emotional intelligence has increased since adopting AI - think conflict resolution, stakeholder alignment, and that ever-elusive skill of reading the room.
“AI is fantastic at the ‘what’ and the ‘how’, but only humans can answer the ‘why’,” Albina explains. “Emotional intelligence helps teams navigate change, build trust, and make better decisions under pressure.”
It’s a timely reminder that the best tools in the world won’t fix a misaligned team or a project suffering from soft-skill deficits.
Hybrid methods trump orthodoxy
Gone are the days of religious debates between Waterfall and Agile purists. Thirty-five per cent of Aussie organisations now favour hybrid project management frameworks—mixing methodologies to suit regulatory environments, ESG imperatives, or just plain practicalities.
It’s a nod to the growing complexity of modern projects. As Albina notes, “Projects are no longer just about time, scope, and budget - they’re messy systems of people, shifting expectations, and regulatory change.”
The software is following suit. Tools that support flexible workflows and methodology mash-ups are rising in popularity, often bolstered by AI that recommends best-fit approaches based on project risk or resourcing levels.
Why some AI tools underdeliver
Despite AI’s appeal, 40% of respondents say integration issues, training gaps, and poor feature adoption are holding them back. That’s not just an onboarding gripe - it’s a sign of systemic friction between new tech and existing workflows.
Albina warns that without proper onboarding, “even the most advanced features go unused.” His fix? Start with pilot programs, invest in scenario-based training, and prioritise software that’s as intuitive as it is intelligent.
Final thoughts: tech with a human touch
If the report makes one thing clear, it’s this: AI isn’t replacing project managers - it’s redefining their role. The future belongs to teams who can combine the precision of automation with the nuance of human leadership.
Capterra analyst Laura Burgess sums it up: “The most effective teams will be those that balance innovation with a strong security culture and a commitment to ongoing learning.”
In short, project management software is no longer just about managing projects - it’s about empowering people. And in the age of AI, that’s a job no algorithm can automate.
Read the full report HERE