Leadership Leverage: The Key to AI Transformation

Aristotle once said, "Give me a firm place to stand and a lever, and I can move the Earth." While few chief executives harbour quite such lofty ambitions, the relentless pace of AI innovation is compelling them to contemplate wholesale organisational transformation. For large, complex enterprises, this is a formidable undertaking that necessitates the right lever—the right leadership.

It is unsurprising, then, that demand for Chief AI Officers has surged, with a third of organisations now employing one. In other cases, CIOs, CTOs, or CDOs are shouldering the responsibility for AI initiatives. Despite these efforts, few have—as of yet—achieved the desired pace, scale, or impact of transformation. While myriad factors contribute to this shortfall, including a dearth of well-defined industry solutions, the how this AI leadership role is defined is a critical issue.

The most essential quality for enterprise AI leaders is not technical acumen or industry expertise, but the ability to build great leadership teams. Due to the multifaceted nature of AI transformations—creating, changing, and obviating processes, products, and roles—robust leadership at all levels is paramount.

While it is too early to call the winners and losers of these transformations, we can reflect on the leadership aspects that will correlate with successful outcomes. Therefore, when assessing candidates for AI leadership roles, hiring managers should probe their candidates with these incisive questions:

Talent Attraction

"Of the people you have managed, who would follow you, and why?" The ability to inspire, motivate, and retain top talent is the foundation for delivering lasting impact. Success is determined by the legacy you leave.

"What weaknesses are you offsetting with your leadership hires?" Successful leaders construct teams that complement their skills, not replicate them. Given AI pentathletes are rare, this is of critical importance to delivering lasting change.

Recruitment requires more than a checklist approach. Photo by Glenn Carstens-Peters.

Executive Presence and Delegation

"Which of your leadership team's achievements are you most proud of?" Exceptional leaders give credit where it is due and champion their team's successes. Being aware of and promoting their work signals hard work pays off.

"How familiar was the executive committee with your leadership team?" In large organisations, effective leaders delegate tasks and relationships, ensuring their team is visible and empowered. This enables them to scale.

Culture and Diversity

"When your leadership team disagreed with you, how did you address it?" The most impactful teams embrace diversity of thought. Read the excellent Team of Rivals to see how president Lincoln managed to achieve this with great results.

"What three values defined your leadership team's culture, and why these?" Every organisation is different, and so is every leadership team. Being deliberate in defining and living the right values creates a shared sense of purpose.

Cultivating strong leadership teams extends beyond the C-suite. The most effective AI leaders foster a culture of empowered leadership at all levels, from functional heads to individual contributors. By cascading this model throughout the organisation, they create a multiplier effect on their capacity to drive change.

Warning signs that an organisation's leadership bench is ill-prepared for AI transformation include high turnover, ambiguous roles, and limited visibility of junior leaders to senior executives. To strengthen leadership leverage, companies should invest in employee development, foster cross-functional collaboration, and regularly assess the state of their leadership pipeline.

As organisations embark on AI transformation, the calibre of their leadership teams will be a defining factor in their success. Those that build empowered, aligned leadership at all levels will be best positioned to navigate the challenges ahead and realise the full potential of AI. The next time concerns arise about who will champion and deliver AI efforts, look one level down from the nominal AI leader to their reports—therein lies the leverage to move the organisation.

— Ryan

Cover image by DALL·E