On the first day Professor Michael Wade presented the newest research results of the IMD. The central issue was which attributes make the difference between a successful leader and a less successful leader (in disruptive/agile environments). In other words which qualities define a “digital leader”?

1024 managers were interviewed for this study and 19 “Digital Leaders”, identified in the time from October 2016 until January 2017, were interviewed in more detail. The study was, by the way, a common project of the DBT Center (initiative by IMD and Cisco) and the management consultancy “metaBeratung”.

Many overlaps between agile and non-agile leaders were found. But 4 qualities (competences) and 3 behaviors emerged, which make for a successful and agile leader.

The following 4 qualities are the difference between agile and non-agile leaders (Source: „Redefining Leadership for a Digital Age”, IMD, 2017):

1.)  â€œHumble”:

“Humble” means the ability to accept feedback and to acknowledge that some people in my surroundings know more than I do (Know-How). You can’t know everything! Especially today where everything develops much faster. People who understand how to build a strong team around them who have the necessary skills, will be more successful. But it also requires trust and the courage to let new things occur. “Humble” does not only refer to the internal ECO-system. It also refers to the external ECO-system outside your own organization.

2.)  â€œAdaptable”:

“Adaptable” means the individual ability to adapt. Change is the only constant - these are not just empty words. To be able to change your opinion based on new well-founded knowledge and information is considered more of a strength than a weakness. This does not mean a certain volatility in the decision-making process (think “gut feeling”). It is about representing and succeeding with a change in direction based on well-founded knowledge (valid data).

3.)  â€œVisionary”:

“Visionary” means acting with foresight. A clear commitment to long-term success rather than focusing on short-term success. Quarterly-based success does not build a future!

Many companies must change their philosophy about this and be ready to make investments. Investments here meaning to give up turnover and profit for a certain period of time. This time will be required to realign the organization, the employees and the processes to the new digital models of society.

4.)  â€œEngaged”:

“Engaged” means the quality to listen to others. To interact with internal as well as external stakeholders and be able to communicate. And it means a strong affinity to deal with new trends.

During the Roundtable someone said: “Digital architects do not always have to be the CEO of the company, they can also be employees who have special skills (affinity to new topics, technologies, creativity, etc.). But the CEOs have to sponsor such employees. Sponsoring means to give them space and listen to them.

The study identified three behaviors which help agile leaders to deal better with disruptive environments.

 1.)  â€œHyperawareness”, means:

to always deal with your environment and occurring changes, internal as well as external. What are opportunities and what are threats? You do not have to make a SWOT-analysis of your environment every day. A first step could be to deal with the topic of “digital disruption” and the possible impact in your own company. The publications of the DBT Center “Digital Vortex” are a good start to build a little “Hyperawareness”.

2.)  â€œInformed Decision Making” means:

deciding issues based on sound data and information, not just on gut feeling. Sometimes it is a good idea to question an idea and make up your own opinion!

3.)  â€œFast execution” means:

to be able to move in a different direction quickly. Possible changes are realized quickly. This sometimes requires new management styles and concepts. 

The full study can be downloaded here: http://bit.ly/2fIvFF0

Related articles:

The IMD and “The Digital Vortex”

Chief Digital Officers (CDO) Roundtable - Navigating the Digital Transformation Journey

CDO Roundtable Day 2– The Digital Orchestra