Since its establishment in 1974, Aalborg University has aimed to deliver cutting-edge research and innovative practices in engineering education. However, increasing complexity related to rapid developments in digitalization and emerging societal challenges offer new opportunities, requirements, and expectations across disciplines for educational institutions and staff to develop and adapt to an unpredictable and ever-changing future. This paper proposes a systemic approach to addressing these challenges in higher education and presents recent initiatives launched at AAU including a coming Institute of Advanced Study in PBL to support the digital transformation of problem- and project-based learning for the future.