FOUR EXCHANGES OF TRANSACTIONAL DIGITAL LEADERSHIP

In general terms the Transactional Leadership is a leadership style that focuses on structure, order, and achieving specific goals. Digital leadership is the discipline of guiding an organization through digital transformation process.?

Transactional Leadership is Characterized by:

• Clear Roles and Business Expectations.
• Rewards and punishments considering the achievement of results and value delivered at each of its levels.
• Emphasis on performance of a deterministic type, and which results from the combination of efforts of all economic interest groups.

Digital Leadership is Characterized by:

• Data-driven Decisions: Leaders make decisions based on data and use technology to enhance customer and employee experiences.?
• Digital Agility: Leaders prioritize agility, collaboration, and continuous learning.?
• Investment in People: Leaders invest in people with training in new emerging technologies.?
• Information Security: Leaders prioritize securing and protecting technology as well as the responsiveness it has in intimacy with operational processes.

Digital leadership is important for helping organizations stay competitive and agile in a rapidly evolving digital landscape facing the dynamic and permanent change of supply and market demand in their respective cycles and contractions.

The most significant advantage of the Digital Operational Excellence DOE? framework developed by Adolfo Huamán Díaz lies in its integration of cutting-edge technologies with operational strategies to achieve maximum efficiency, capability, effectiveness, productivity, stability and sustainability.

Specifically, the framework emphasizes:

1. Technology-Driven Transformation: DOE? incorporates tools like Artificial Intelligence (AI), Internet of Things (IoT), and Big Data analytics to streamline operations and decision-making processes.

2. Customizable Implementation: It adapts to various industries and operational scales, offering tailored solutions for both large corporations and SMEs.

3. Value Creation and Resilience: The framework focuses on creating long-term economic value while increasing organizational resilience to disruptions and market changes.

4. Employee Empowerment: DOE? integrates workforce training and technological adoption, ensuring employees are skilled and aligned with digital tools and strategies. People must represent as the centric and non-digitalizable component of this process.

5. Sustainability and Efficiency: The framework aligns digital advancements with environmental goals, making operations more resource-efficient and sustainable.

Overall, the DOE? framework positions organizations to thrive in digital transformation while maintaining a balance between technological adoption, operational efficiency, and human-centric processes.

According with the TECH EVA? Foundations, the Digital Operational Excellence Framework highlights the following key aspects of Transactional Digital Leadership:

1. Value Driven Effectiveness:

? Focuses on activities or digital capabilities that enhance profitability, mitigate risks, and support strategic growth.

? These are aligned with achieving organizational goals within a digital ecosystem.

2. Operational Performance Stabilization:

? Entails predicting and optimizing future outcomes by stabilizing operations at their respective levels of work.

? Ensures that the business achieves predictable and expected results.

3. Digital Capability Responsiveness:

? Involves assessing and improving the organization’s current capabilities at various levels such as: Technical, Operational, Tactical, Economic including the Financial.

? This is achieved through exploratory, recursive methodologies and performance metrics tied to digital ecosystems.

4. Driven Sustainable Value:

? Centers on creating value by enhancing returns on resources while promoting eco-efficiency.

? Emphasizes the integration of sustainability with economic value creation, aligning with the ecosystem paradigm.

These components are part of the Digital Transactional Leadership Cycle, which integrates processes, adaptability, and value creation within the context of a digital environment.

To articulate and maximize each exchange within the framework for the digital economy, you can follow these detailed steps:

1. Value Driven Effectiveness

? Identify Core Value Drivers: Pinpoint activities and digital tools that directly impact profitability, reduce risks, and align with strategic goals.

? Integrate Digital Solutions: Use technologies like AI, analytics, and automation to create agile, efficient processes.

? Focus on Outcome Alignment: Ensure that digital initiatives are tightly linked to measurable business objectives (e.g., revenue growth, customer satisfaction).

Maximization Approach:

Invest in technologies and training that enhance operational efficiency and scalability while maintaining alignment with long-term goals.

2. Operational Performance Stabilization

? Develop Predictive Capabilities: Use data analytics to forecast potential disruptions and identify optimization opportunities.

? Standardize Processes: Implement process control systems and benchmarks to ensure stable and repeatable performance.

? Monitor in Real-Time: Leverage IoT and digital dashboards for continuous performance tracking and issue resolution.

Maximization Approach:

Establish a proactive rather than reactive operational strategy, enabling the business to handle future challenges and maintain consistency in delivering results.

3. Digital Capability Responsiveness

? Assess Current Capabilities: Conduct periodic audits of digital resources, skillsets, and technological infrastructure.

? Implement Continuous Improvement: Use iterative methods (like agile frameworks) to refine processes and address gaps.

? Adopt Scalable Solutions: Introduce platforms and systems that can adapt to business growth and emerging technologies.

Maximization Approach:

Create a feedback loop where digital performance metrics drive improvements, ensuring the organization remains competitive in a fast-evolving digital economy.

4. Driven Sustainable Value

? Prioritize Eco-Efficiency: Design processes and solutions that optimize resource usage while minimizing environmental impact.

? Focus on Long-Term Impact: Develop initiatives that provide sustained economic returns and align with global sustainability trends.

? Leverage Collaborative Ecosystems: Partner with stakeholders (e.g., suppliers, communities) to co-create value and enhance returns.

Maximization Approach:

Integrate sustainability into all levels of the value chain, ensuring that economic value is generated responsibly and consistently.

Digital Economy Maximization Strategy

To fully leverage the exchanges:

1. Link all Four Exchanges: Use the Digital Transactional Leadership Cycle to integrate effectiveness, stabilization, responsiveness, and sustainability seamlessly.

2. Embrace Data-Driven Decision Making: Centralize data collection and analysis to inform each exchange.

3. Adopt a Holistic Approach: Align organizational culture, technology, and strategy with digital transformation goals.

By interconnecting these components, organizations can unlock new opportunities, drive innovation, and solidify their position in the digital economy.

Welcome to an economy of the future, in a digital and advanced environment...