In times of digital transformation, digital leadership is becoming increasingly important. Regardless of the type of change in the company and regardless of its size, management must adapt and face up to the new challenges. But if there is still a need for optimization, according to a study by Human Resources, CLBO, DGFP and Groß & Cie., the surveyed entrepreneurs in Germany still recognize some deficits in this area.

The digital transformation at a glance

To understand what digital leadership is all about, managers need to understand the current changes in the market and in working life. The so-called digital transformation is fundamentally changing business models, whether through the Internet, data or innovation technologies. Data-supported business management has long become part of everyday life in most industries. Disruptive business models are also part of this change. Disruptive business models are developments such as Netflix or Airbnb that are fundamentally revolutionizing a traditional industry. Management must therefore keep an overview of the changes in the market and in technology. Accompanying change, developing strategies for it and motivating employees are basic tasks of every digital leader.

 

Basics of Digital Leadership

Something that is often misinterpreted is the understanding of digital leadership. It is not about understanding as many technologies as possible and putting them in the focus of digital transformation. Rather, it is about taking people with you as you change. Managers in the digital age are sometimes more coaches than leaders. They must live a culture of openness and trust and have an open ear for their employees. Humanity thus becomes one of the most important tools in management.

Especially models of participation and agility, even if one can hardly hear these words anymore, are part of Digital Leadership. But there must also be a rethink in the way work is done. For this reason, many companies are currently experimenting with flexible working hours, mobile offices and free work design. Classical structural principles must be reconsidered. But not everything traditional is bad here. Depending on the company and the industry, the optimum mix of tradition and modernity is important.

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