You don't need to negate your engineering skills, just acquire leadership skills over them. You will need:
-Skills about people, phycology types, influence, procrastination, deals and negotiation skills.
-Knowledge about the "Forrest" perspective of your business, in engineering you will have deep knowledge about the trees. It doesn't matter if you do a perfect job if you do the wrong job. If you do you will fail, and your best people will leave soon.
-You need caring about your people(the people on your team). Isolate the blame on yourself(and your system, change your system when things go wrong) for all errors of your people. Give credit to them when things go well.
People know when you care about them, they sense it. This overpowers anything you say.
In today's business it is all words about how the most important things in the business is its people, and they they trow their people under the bus. You can even joke and say all day you don't care about your team that if they know you care it doesn't matter.
This is very easy to state and say, but it requires years of practice and lots of mistakes before you are good at this. Focus on improving one skill at a time and log improvements on a notebook or something.