Transformational and Digital Leadership for Digital Transformation in the Digital Age

Transformational and Digital Leadership for Digital Transformation in the Digital Age

Emine Banu Bilgiseven
DOI: 10.4018/979-8-3693-3466-9.ch004
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Abstract

The 21st century is characterized as the digital century. Technology is developing at a great pace and this development leads to radical changes in many areas of life. One of the most important results of technological progress is undoubtedly digitalization and digital transformation. Today, companies achieve success to the extent that they can realize this transformation. Companies that cannot realize digital transformation and apply it to their business methods and processes cannot survive. In today's business world, the basic condition for companies to survive and engage in sustainable activities is to have an innovative perspective and a flexible structure, to closely follow the developments in the field of technology and to realize digital transformation through digitalization. Organizations need successful, visionary, innovative, courageous, talented, and impressive leaders to realize digital transformation. This leadership model is defined as transformative leadership in the postmodern world order.
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Organizational Behavior and Human Resource Management for Complex Work Environments

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Introduction

In today's digitalized world, rapid changes in many areas significantly affect organizations and force them to change. This impact is observed in various areas, such as human resources, organizational structures, management styles, models, and methods of doing business (Belias et al., 2024; Belias et al., 2023b,c; Ntalakos et al., 2023; Belias & Trihas, 2023, 2022; Kriemadis et al., 2023). It is also possible to see this effect in leadership and leadership models. The concept of leadership, which has been shaped by the Great Man Theory, Behavioral, Situational, Contingency, and Operant theories in the historical process, has gained a different dimension with the effect of the post-modern approach of the 21st century. Post-modern life has led to the emergence of new types and models of leadership. Charismatic leadership, strategic leadership, servant leadership, transactional leadership, and transformational leadership are the best examples of these types of leadership. It is possible to define the leadership model expressed as transformational leadership as the post-modern leadership model with the greatest importance. In this study, first of all, digitalization and the digital transformation process, which are among the requirements of the digital age we are in, will be discussed. Then, the concepts of digital leadership, digital transformation leadership, and transformational leadership needed to realize digital transformation, the sub-dimensions of the concepts, their importance, and their connections with each other and with the digital transformation process will be explained together with examples and practices (Belias et al., 2023). The aim is to evaluate the process of change and digital transformation with a holistic approach together with the leadership model that realizes the process. In this transformation process, the concepts of digital leadership, digital transformation leadership, and transformational leadership are intertwined. In order to make a healthy evaluation, it is important to consider the concepts together. Today, the customer-oriented management approach has brought customer relations, customer management, business processes, and business models to the forefront. Digitalization and digital transformation are essentially the change and transformation of all processes related to the business and the ability to respond to customer demands and needs. At this stage, a flexible organizational structure, management approach, and leadership style are needed. Because it is undoubtedly the leaders who can transform the system and realize strategic change, at this stage, leaders have important duties. It can be defined as the century we live in as a century of change and transformation. The 21st century, referred to as the “information age” or the “digital age,” is a period of time in which technological innovations emerge, develop, and dominate all areas of life. Keeping pace with this rapid change and transformation is only possible through transformational leaders. One of the most important characteristics of transformational leaders is their motivational power. Inspirational motivation” is one of the sub-dimensions of transformational leadership and is the driving force of change also. Today's business world is characterized by leaders who change, transform, innovate, and are visionary. Because this is the need of our time. Digital transformation, digital companies, technology-oriented start-up companies, and enterprises that emerged with Industry 4.0 and developed rapidly have become important factors in the economic system. These technology- and competition-oriented structures shape today's economic structure and lead to the emergence of new leadership models. This is exemplified by the new leadership models that we have frequently encountered in the literature recently, which are defined with names such as digital leadership, e-leadership, and technology leadership. These new leadership models are linked to transformational leadership. It is even possible to associate the infrastructure of digital leadership with transformational leadership.

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