Digital doesn't matter!

People remain people - leadership decides

Barbara Liebermeister, Head of the Institute for Leadership Culture in the Digital Age
Published in: DiALOG - THE MAGAZINE FOR ENTERPRISE INFORMATION MANAGEMENT | MARCH 2018

Is leadership still needed in the digital world? This question is currently the subject of lively debate in connection with the digital transformation of companies. This is unsettling for many managers. Don't panic! Leadership is more important than ever in the digital age.

"What's in store for me?" - many managers are currently asking themselves this question. Because whether they are browsing through magazines, attending conferences or listening to their bosses, they always get the feeling: Almost everything in companies will have to change in the coming years. No stone must be left unturned, so to speak - otherwise companies will not be able to survive in the VUCA world (volatility, uncertainty, complexity, ambiquity). And the "digital transformation"? It is the key, so to speak, for companies to be successful in the future. "And what will become of me?" Many managers secretly ask themselves this question - because in connection with the discussion on the topic of "digital transformation" and fashionable topics such as "agility" and "Industry 4.0", the question is repeatedly raised: Is leadership still needed at all in the digital age? Or does the future belong to self-managing teams that are constantly re-organising themselves?

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Leadership is becoming increasingly important

There is no doubt that most companies will undergo major changes in the coming years. In addition to their structures and the working relationships within them, their business models will often also change. But one thing will not change: the employee. They will continue to want stability and orientation - especially when everything seems to be in flux within the company itself and in its environment.

But who is supposed to give them this feeling when everything in the company is constantly being put to the test? Ultimately, this can only be the managers. It is therefore not a bold thesis: leadership will become increasingly important in companies in the future - precisely because there is nothing else in the corporate context that employees can rely on and trust.

Leadership must change

So far, so reassuring. However, this in no way means that leadership does not change. On the contrary! The way we lead must change radically in the digital age. The following lines of development are unmistakable in companies.
  • The services relevant to the company's success are increasingly being provided by cross-divisional and often even cross-company teams.
  • The solutions provided for customers require more and more specialised knowledge, which managers often do not have themselves.
  • The strategies, plans, etc. developed by the companies have an ever shorter period of validity. And:
  • Managers and their departments are increasingly faced with challenges for which they do not yet have a solution.

How is successful leadership possible in such an environment - when managers have less and less (disciplinary) access to their employees and - to put it bluntly - are no smarter than them?

Managers must become "brands"

This is not possible according to the classic principle of command and obedience; nor is it possible for managers to try to make a name for themselves as the know-it-all. The only possible solution is for managers to develop into genuine leaders, i.e. personality brands that employees trust.

A brand is characterised by two factors. Firstly, it is recognisable due to its appearance or image. And secondly, it gives customers a clear promise of performance - as Audi and BMW do, for example, with their slogans "Vorsprung durch Technik" and "Freude am Fahren" respectively.

Standing recognisably for certain values

The situation is similar with managers who are a "personality brand". They also stand for specific values and convictions that are recognisable to those around them and are reflected in their behaviour. So one requirement for managers who want to become a personality brand is that they must be aware of their values and convictions: They must become aware of their values and beliefs as well as strengths - in other words, what makes them unique and distinctive as a person. This also includes recognising their own weaknesses. After all, it is only by being aware of our strengths and weaknesses that we can develop the necessary self-image for our potential impact. And this in turn helps us to adopt and demonstrate a confident attitude not only on "fair weather days", but also when it "storms and snows" (in the company or market). And this in turn sends a signal to those around us: you can trust this brand or person.

Presenting and marketing yourself

"As a manager, become a brand and present and market yourself accordingly" - this request is met with reservations by many managers. This is because they associate the term "marketing" with attributes such as "shrill" and "loud". But only a few brands are as shrill and loud as Afri Cola. Far more rely on an unagitated under-statement. The situation is similar with the self-marketing of managers. Here, too, it is not a question of always shouting the loudest, but of constantly showing and articulating to the outside world
  • what you stand for and
  • what is important to you as a person.
This creates credibility and therefore trust. And these factors are becoming increasingly important for leadership success in a VUCA world characterised by change.

Barbara Liebermeister heads the Institute for Leadership Culture in the Digital Age (IFIDZ), Frankfurt, which supports companies in providing their employees with the skills they need in the digital age (www.ifidz.de). Her new book "Digital doesn't matter: people stay people - leadership decides" was published in 2017.

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