**3. Innovation leadership in a digital environment**

The days of brainstorming on whiteboards and sticky notes are long gone. Innovation in leadership looks slightly different in this century, especially when we talk about digitalization. But what exactly is digital transformation? "It is the integration of digital technology into all areas of a business, fundamentally changing how you operate and deliver value to the customer ". This transformation has also come about as a cultural change that requires companies to constantly challenge the present state of affairs, and observe and gracefully accept failure. Since users are now at the center of every digital experience, it has now become all the more important to develop leaders that cultivate a work culture that rewards innovation which in turn drives efficiency and thus better delivery of services to the users. Rapid growth in mobile connectivity and remarkable strides in the cloud has reduced the costs incurred in establishing global platforms since it has become simpler to dismantle technological barriers. In fact, as research by the MIT Sloan School of Management shows, 14 out of the top 30 brands by market capitalization in 2013 were platform-oriented companies. These organizations thrive on digitalization in innovation leadership [24].

Also, businesses are now being measured by the outcomes of the services they deliver which has increased the importance of selling results that appeal to the customer. A rising enterprising culture means that hundreds of start-ups have emerged that have overshadowed the traditional markets that could not keep up with digitalization [25]. Include a list of Uber, Twitch, Tesla, Hired, Clinkle, Beyond Verbal, Vayable, GitHub, WhatsApp, Airbnb, Matternet, Snapchat, Homejoy, Waze, and more. These startups can scale much faster than traditional analog companies. It took 20 years for Fortune 500 company to reach an average market capitalization of \$ 1 billion, but Google achieved that in 8 years, and companies such as Uber, Snapchat, and Xiaomi achieved it within 3 years [26]. What is the reason behind this tremendous growth? Maybe because these enterprises have the foundational stability and the 360-degree vision to enter and dominate as-yet unidentified niche markets which will forever remain shut to the slower moving, more traditional stalwarts of the industry.

To put this concept into perspective, as Zeike et al. (2019) mention, we measure the holistic vision of digital leadership as an overlap between digital literacy (i.e., computer literacy, ICT literacy, digital competence, etc.) and digital leadership itself. In simpler terms, leadership capabilities are the ways in which managers are driving change [27].

I will end this on a case study of the leading aerospace company in the world and how it was transformed for the digital age. Boeing is sitting in the gold mine of the data. A single trip on one of the company's 787 Dreamliners can generate up to 1 terabyte of data. It takes hundreds of planes and tens of thousands of trips a year ... well, you understand what's important. However, to use all this data to improve features such as product development and value-added services for customers, a 102-year-old company needed to redefine its an approach to software [28]. Bill Boeing created the company in 1916 with the clear philosophy "build something better ". Niki Allen, a 14-year veteran of the aerospace company lead the effort to transform Boeing's approach towards digitalization. To execute this, Allen developed a "master plan"

that was based on the Three Es: Engagement, Excellence, and Enablement. Her approach is illuminating to other organizational executives embarking on digital transformation journeys at their enterprises and sheds light on how innovation leadership in a digital world looks like [29].

## **4. Innovation leadership- best practice recommendations**

The radical transformation of 21st century organizations is nothing less than a modern-day industrial revolution wherein innovation now plays a critical role in determining organizational success (Cascio & Aguinis, 2008, 2019). Disney's animation studio Pixar uses cutting-edge technology and creative collaboration to create a competitive advantage. Pixar movies (Finding Nemo, Finding Dory, Toy Story 3, etc.) are one of the top 50 movies to date, with Toy Story 3 recording \$ 1.06 billion in 2010 sales (Mendelson, 2017), as it became the third-highest animated film in history. The secret to Pixar's success is the founder's innovation leadership. Edwin Catmull and Alvy Ray Smith inculcated an environment where creative ideas could be turned into innovations by following certain best practices [30].

So how do you become an innovator if you are not already that? Do these innovation leaders follow certain practices or show certain behaviors that make them different from their counterparts? Well yes, they do. To begin with, these leaders create a safe space for innovation by developing an environment that allows for the respectful sharing of ideas. If the subordinates are not afraid of being reprimanded for presenting their thoughts, they would be more open to sharing them. For instance, Toyota encourages innovation by removing some of the pressure for short-term returns. Toyota's decade-long investment in its Prius sub-brand ultimately succeeded in strengthening the company's reputation as a respected product innovator while allowing Toyota to capture a first-mover advantage in the fast-growing hybrid category [31]. Secondly, these leaders observe the world like an anthropologist and learn from their setbacks. They are not afraid of pushing their boundaries. An example of an employee's performance assessment is "productive failure" if an employee tries something and fails, but learns valuable lessons or can adapt from what did not work to what worked [McKinsey Global Institute, 2014]. At Dow Chemical's risk-taking is not only accepted, it is encouraged, which helps the company to stay agile and innovative. Dow sources said: "Empowerment really helps to stay agile. We encourage you to take the courage to lead and keep asking "what if" and "why?". We recognize opportunities for our employees and challenge them to push the boundaries."

Thirdly, innovation leaders are known to be persuasive. They present their ideas with such eloquence that the team is forced to follow them at the drop of a hat. On top of that, they display their vision for the future with excellence and alacrity. Finally, innovation leaders are courageous and trust themselves enough to trust others in the team. They have full faith in their ideology and the expectations they have from their organizations. Along with being courageous, they exhibit intellectual humility which is the ability to listen to others and admit your own mistakes. In a recent op-ed piece, [for example, Thomas Friedman 2014] recounts the five attributes internet giant Google looks for in new employees. They include intellectual humility – an ability to recognize and admit mistakes to others. Gardner recognizes the environment and potential for change in the future and believes that there are five minds that must be cultivated for the success of the 21st century. These five spirits are a disciplined mind, a synthetic mind, a creative mind, a respectful mind, and an ethical mind. Gardner acknowledges that he could have broadened the use of the word mind and perhaps used more accurate perspectives and skills, but the

word mind is an individual action, thought, emotion, or action. It reminds me that it is created in my mind. Gardner pays no special attention to any one of these minds, emphasizing that their development is equally important.
