Leadership mindset is very vital in the digital age and is a contributing factor to business development. But more than 80% of businesses today have not yet applied digital transformation and missed many development opportunities. This is influenced by a leader’s mindset because they are not ready to change.
Let’s find out with BEMO the role of leadership thinking in the 4.0 era as well as how to innovate that mindset accordingly.
1. The role of leaders in digital transformation
For businesses in the digital transformation period, leaders have a vital role because they must have an overall vision to achieve success. Their leadership mindset needs to change to launch a business innovation campaign to keep up with the trends of the times.
However, in Vietnam, leaders all want to change the digital model in business administration when actively participating in many seminars and courses, but in the end, they still ignore “technology” because they think that it does not fit enough. This is a sign of an old leadership mindset and their business cannot grow any further.
Therefore, the leader needs to have an “innovative mindset” and be the one who initiates the change strategy. At the same time, the necessary condition for digital transformation is that departments must closely connect to provide information, exchange business, and difficulties to choose the right solution.
In this situation, the leadership mindset must be flexible, responsive, and knowledgeable about the technology market to lead a successful digital transformation business.
2. How to change leadership mindset in the 4.0 era?
Changing the mindset of leaders is very necessary because businesses will be able to take high risks if they do not catch up with the trend. Therefore, they must be flexible to row their “boat” daily with the following factors:
2.1 Presenting your vision and goals as clearly as possible
In the digital transformation strategy, the leader’s vision has a significant influence on the business, because it is the guideline that brings the organization to the edge of success.
When business owners have a “digitized” leadership mindset, they will know how to catch up with new trends in society and from other industries to apply to their management apparatus. And they will encourage the staff to work together to develop and at the same time master the game to bring the expected results. But to have a vision and set effective goals for digital transformation, leaders need to have the basic technical knowledge and a team of experts to accompany them to understand the changes in the digital market.
2.2 Encouraging to make a difference
Don’t be afraid to empower employees to motivate them to think of new things for the business. The difference here could be creating a new service that meets customer needs from a quick purchase process to high technology value. Leaders remember, employees are the people who have the most contact with customers and they know the market better than their boss.
Therefore, leaders need to create conditions for employees to give opinions and contribute to creating more value for businesses in the digital age.
2.3 Stimulating cooperation
Technology has undeniably contributed to the successful management process of all departments in the enterprise. And a good leadership mindset will know how to create internal cohesion and motivate them to share and support each other.
Then the technologies applied to the organization will work smoothly and make the digital transformation project a great success.
2.4 Listening to customers
Customers are a valuable source of revenue for businesses, but their needs change constantly. And when businesses cannot meet their experience requirements, they will most likely look to competitors.
Therefore, a leader with a strong digital transformation mindset has to catch up with customer psychology to apply the right technologies, promptly meet their needs, and at the same time improve the brand experience.
2.5 Centralized database management
A digital enterprise and a leader with a 4.0 mindset will not let departmental data be fragmented and lack security. Because employee performance won’t be accurate, it’s also up to management to spend hours looking at individual reports.
Therefore, business leaders must drastically put a digital management system into the process to connect data as well as combine employee performance measurement through advanced software such as ERP and direct assessment on the Internet.
These are important factors that digital age leaders need to grasp to change, to promote business development further.
In short, leadership thinking in the digital age needs innovation, and determination to apply technologies to the management process to bring about business and management efficiency. Besides, businesses should also focus on employees and customers, because they contribute to making the digital revolution more successful.