The digital leadership imperative: why digital savviness is the new competitive edge

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The digital leadership imperative: why digital savviness is the new competitive edge

Many organisations talk about digital ambition, but few manage to turn it into measurable success. The difference lies not in technology or budgets, but in leadership.

Research from MIT Sloan shows that organisations led by digitally proficient boards outperform their peers by up to 48 per cent in growth and valuation. The gap is widening and it starts at the top.

From digital ambition to digital ability

Digital savviness goes far beyond technical knowledge. It's the capacity to connect business, technology and people and to understand how each influences the other.

Digitally mature leaders integrate digital priorities into their core strategy and foster an environment that values curiosity, experimentation and adaptability. They recognise that transformation is a continuous evolution that depends as much on mindset as on tools.

Organisations that embrace this perspective move faster, make better decisions and embed innovation into their daily operations. They see digitalisation not as a destination, but as a capability that strengthens every part of the business.

Confidence: the missing link in many transformations

For many organisations, the real challenge is not technology itself but leadership confidence.

Executives often find themselves navigating complex, fast-changing landscapes. Without a clear understanding of digital possibilities, decision-making slows and opportunities slip away.

Building confidence begins with asking the right questions:

How does technology advance our long-term goals?
Where can data and AI improve decision-making?
What governance ensures innovation remains focused and responsible?

When these questions become part of the leadership dialogue, digital initiatives can start to shift from fragmented efforts to integrated, future-ready strategies.

Governance, literacy and collaboration: the new leadership essentials

Digital savviness at the top sets the tone for the entire organisation. It signals that technology is not a separate discipline, but a fundamental part of how business operates. When leadership leads with confidence, teams across the organisation follow with energy, purpose and alignment.

At AE, we see this transformation every day. Organisations that invest in digital leadership are better prepared for disruption and far more capable of turning innovation into measurable outcomes. They make faster, more informed decisions, attract digitally minded talent and build the agility needed to adapt to constant change.

Digital excellence starts with leadership, but that is only the beginning.
The AE Digital Excellence Report 2026 explores how digitally savvy leaders translate vision into impact and reveals the other four evolutions shaping tomorrow’s frontrunners.