Developing strategic leadership adaptability framework for managing digital transformation and AI-driven disruption at Dallaglio Investments Zimbabwe

Abstract

The study looked at strategic leadership and governance adaptability in the digital transformation and disruption brought about by artificial intelligence (AI) at Dallaggio Investments Zimbabwe. The study was driven by the need for greater AI use within investment firms and the risk of poor leadership and governance to drive effective digital transformation. The current literature indicates organisations are still investing in AI technologies but are struggling to make a successful transformation because of leadership, governance and adaptability issues. The study aimed to explore how adaptive leadership practices are perceived, analyse challenges arising from the disruption caused by AI, understand the impact of leadership competencies on digital transformation outcomes, analyse governance and board oversight processes, and create a framework for context-specific strategic leadership and governance adaptability. The research method used was a sequential exploratory mixed-methods research design, while the theories used were Dynamic Capabilities Theory, Transformational Leadership Theory, and Institutional Theory. The instruments used for collecting data were semi-structured interviews and a structured questionnaire, with data type being qualitative. Thematic analysis and descriptive statistical techniques were applied to analyse the data. The results showed that adaptive leadership practices have a positive impact on the agility, innovation ability, and adaptability of employees in the process of digital transformation of the organization. The study also found that AI and its disruption impact governance, tech, and leadership challenges such as lack of AI literacy, inadequate governance structures, and resistance to organisational change. Some of the leadership competencies that had a positive impact on transformation results were strategic foresight, agility, and ethical decision-making. However, the research noted that such flaws as inadequate board oversight, AI governance, and fiduciary accountability structures were noted. The study identified a need for combining adaptive leadership practices and effective governance accountability mechanisms in order to successfully implement digital transformation. Henceforth, a strategic leadership and governance adaptability framework for Dallaglio Investments was designed to be used for the integration of responsible AI and sustainable organisational transformation.