Digitalization has necessitated change in every aspect of business, including leadership.
Innovative and varied approaches to leadership are required in the digital era to effectively address changes in organizational structures and operating models. In other words, the evolution of culture within a business must be a priority.
Authorities in contemporary leadership believe that this cultural change starts with CEOs making digitalization the corporate goal.
This digital transformation fundamentally changes the accepted working practices within many operations. For example, to the extent that decision-making can be automated, the existing workforce now shares ownership of processes with technology and machines – a cultural change that will only mushroom with the advent of artificial intelligence (AI) and machine learning (ML).
While everyone benefits from a more agile and faster-moving organization, there will always be some that see change as being driven by the need to fix a process they are managing. They won’t necessarily associate the change with the fact that the process is in need of an upgrade.
Leadership in the energy sector, for example, is all about understanding how to layer new technologies and how to drive a cultural transformation that builds on existing foundations. IT (information technology) operations did it when transforming to the cloud, and now OT (operational technology) must do it to become digital and thrive.
Today’s leaders also need to show that they are not afraid to take a calculated risk and are willing to invest for success. Digitalization can build a competitive advantage to connect more deeply with customers. Companies that do not allow their leaders to embrace digitalization will find themselves disproportionately disadvantaged very quickly.
Analysts say it’s also crucial to layer on new levels of learning and technology throughout the cultural evolution. That is a very new mindset within most process industries. But it’s inevitable that the collision of traditional operational technology (OT) and information technology (IT) will bring challenges as well as opportunities.
Want to learn more? Tonex offers Effective Leadership Skills, a 1-day course that emphasizes what it takes to be the kind of leader who effectively and efficiently guides team members into a plan for success in the digital era.
Additionally, Tonex also offers dozens of other contemporary Leadership Training courses. Please see our Leadership (for the Digital Era) page.
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