Chapter 1
Chapter 1
Chapter 1
Sattar Bawany
Leadership in Disruptive Times
Copyright © Business Expert Press, LLC, 2020.
10 9 8 7 6 5 4 3 2 1
Keywords
disruption; creative innovation; creative disruption; disruptive leader-
ship; disruptive leader; digital leader; disruptive digital leader; disruptive
innovation; crisis leadership; VUCA; Fourth Industrial Revolution; In-
dustry 4.0; digitalization; digital transformation; digital transformation
culture; COVID-19; coronavirus; 2019-nCoV; novel coronavirus; cogni-
tive readiness; critical thinking; next-generation leaders; next-gen leader-
ship; future leaders; high potentials; leadership pipeline; leading for the
future; future of work
Early Praise for the Book
“Leaders in organizations are continually confronted with increased
competition, globalization, demand for social responsibilities, and a
stream of technological advances that disrupt the marketplace. For
those looking to navigate the turbulent and complex landscape of the
digital evolution, Leadership in Disruptive Times is the perfect blue-
print for future-proofing their organization. Prof. Bawany provides
insights into the role of ‘disruptive digital leaders’ that transform the
organization into a more agile, innovative, and adaptive workplace
in times of disruption and successfully lead the digital transformation
efforts. A must-read.”
—YBhg Prof. Dato’ Ts. Dr. Noor Azizi Bin Ismail, Vice-Chancellor
of Universiti Malaysia Kelantan (UMK), Malaysia
The survival and progress of the business will also depend on their
leaders who can thrive in navigating the challenges of disruptive
events and crises. This book also covers the current wave of disruption,
including the recent coronavirus (COVID-19) pandemic, the revolu-
tion of Industry 4.0 (including artificial intelligence, robotics, and
blockchain technologies), globalization, and demographic change.
This book also is an excellent follow-up to Prof. Bawany’s previous
publication Transforming the Next Generation of Leaders.”
“The greatest leap forward for digitalization and Industry 4.0 may
not be extraordinary leadership by CEOs, CIOs, or Govt but the coro-
navirus pandemic that has brought the realities of the new normal
front and center. With digitalization, COVID-19 has also exposed
huge paper chasms or ‘cracks’ where we suddenly realize that to be
truly digital the whole value chain needs to accept digital. We are
not there yet. Sattar’s book and advice for leadership are timely in
these unprecedented times. It is no longer doing the same things but
to embrace change and being agile enough to respond to ambiguity.”
“I have had the pleasure of working with Prof. Sattar quite extensively
and especially so during this unprecedented disruption that we are all
experiencing. I know I speak on behalf of my fellow peers who have
worked with him in acknowledging that his guidance, thought lead-
ership, and experience have truly enabled us to come out as stronger
leaders. Disruptive leadership has to be the norm for us all going
forward and one that we should all thrive on. I fully endorse Prof.
EARLY PRAISE FOR THE BOOK xv
Sattar’s second book and look forward to many more. I wish him all
the very best.”
“This book cannot come at a better time. It is both practical and rel-
evant, helping leaders navigate through unprecedented VUCA events
like the one we are experiencing now. It is packed with case studies
and best practices to make the techniques and frameworks come to life.
A disruptive book for disruptive times.”
In his latest book, Prof. Bawany recognizes the need for organiza-
tions to include digital leadership competencies for them to successfully
implement transformative initiatives in a highly disruptive environ-
ment. He also examines the attributes and competencies of disrup-
tive leadership as they maneuver through the disruptions caused by
COVID‐19 and the post-pandemic digital transformation in meeting
the needs of the new normal. In developing successful organizational
leadership in the new world order, this book provides valuable guid-
ance and direction on the future way forward.”
“The word ‘disruption’ sends chills down the spine of many business
leaders since growth is hard and disruptive growth is even harder if
one does not possess the knowledge, mindset and competencies to oper-
ate in today’s ‘new normal.’ Prof. Sattar Bawany, a dynamic mas-
ter executive coach, provides practical leadership and a management
toolkit using real-life cases for business leaders and organizations to
understand, navigate, and harness the disruptive forces of our times
for growth with people and digital transformation at the center.
“It has been quite a revelatory journey going through this work. It
is insightful with practical pathways toward achieving meaningful
results that are innovative for these times. Prof. Sattar Bawany has
developed from this publication a more critical understanding of all
the various critical variables that contribute toward success or failure
in these times. The perfect resource to have for all leaders who are
EARLY PRAISE FOR THE BOOK xix
“Prof. Sattar Bawany has once again produced a timely resource for
business leaders and managers alike in navigating through these dis-
ruptive times. Prof. Sattar takes a hard look at the real challenges that
business leaders and managers would have to face in today’s business
environment, which includes navigating through a post-COVID-19
and increasingly digitized world.
“This book has refreshed my understanding of the VUCA era and how
to counter it with VUCA behavior. It is about how leaders could opti-
mize their vision, understanding, clarity, and agility. For HR leaders,
our top priority is to create and nurture a high-performing digital
organization; this book provides some case studies/examples of disrup-
tive digital companies, giving insights and encouragement for us to
continuously innovate and implement new ways of doing things. My
best wishes to you, Prof. Sattar. Many thanks for sharing your know-
ledge and insights.”
Prof. Sattar Bawany’s work is very timely and I would ask business
leaders to make it mandatory reading. He asserts that leadership
strength, openness, and confidence are critical in navigating their
companies through stormy weather. He reiterates that old business
models will collapse and leaders must reinvent and that too must be
done quickly to avoid suffocation and ultimate demise.”
“A very timely leadership book by Prof. Sattar for our current and fu-
ture leaders. They will face multiple challenges shortly due to digitali-
zation, disruptive events, and crisis. Prof. Sattar has done a masterful
job of providing practical advice to navigate the disruptions and pre-
pare our leaders to compete and thrive in a business environment that
is dynamic and evolving by the day. He has been brilliant in mapping
EARLY PRAISE FOR THE BOOK xxiii
the new competencies that are required of our leaders to manage and
drive businesses in a disruptive market. Leadership in Disruptive
Times is informative and enlightening.”
“Prof. Sattar Bawany’s latest title is timely and much needed. The
clarity and insights are concisely offered and provided through tools,
frameworks, and best practices. The unprecedented challenges that
corporate leaders face post-COVID-19 will know no bounds and will
be exacerbated by the speed of change, digital adoption, and the new
normal ‘ways of human interaction and doing businesses’. All of these
challenges present a frightening scenario. Leadership in Disruptive
Times will be a good read and handy guide to help corporate lead-
ers make sense, address and navigate these challenges with reasonable
confidence, and, more importantly, overcome them and thrive.”
This book will be a good reference for leaders who want a good over-
view of the post-COVID-19 times. The new world clearly values those
that can deliver disruptive innovation.”
“This is truly a relevant book for all C-suite executives and aspiring
leaders who desire to understand the underlying issues facing big cor-
porations and small and medium enterprises (SMEs) in today’s world.
It contains plenty of much-needed materials for all business strategists
to draw learning points and rechart their directions as to avoid all
the pitfalls that have been previously made. The case studies would
empower every forward-looking person to explore new possibilities to
stay ahead of competition after post-COVID-19. More importantly,
this book is a must-read for all current leaders and future leaders who
aspire to innovate, grow, and build new legacies by adopting the right
leadership framework in their business or workplace.
EARLY PRAISE FOR THE BOOK xxv
It’s certainly not a book for those who just want to look for survivor-
ship; it is dedicated to the brave executives who want to make it BIG
in the VUCA world.”
“The main driver of economic progress in the 19th century was the
railroad; in the 20th century, it was oil and the automobile; but in
the 21st century, economic and social progress will be marked by dis-
ruption, data, and digitalization. This will require future-ready lead-
ers who can navigate this epochal change.
look in the future and the action leaders must take to ensure success in
what will be a continually changing landscape.”
“‘When the winds of change blow, some people build walls, others
build windmills’— Chinese Proverb.
References............................................................................................243
About the Author.................................................................................261
Index..................................................................................................263
List of Figures
Figure 1.1 E-hailing ride services pioneer “Uber” disrupting taxi
industry.............................................................................4
Figure 1.2 Netflix online video streaming service..............................10
Figure 2.1 The four elements of the VUCA business
environment....................................................................17
Figure 2.2 The VUCA prime model..................................................26
Figure 4.1 The evolution of the Industrial Revolution.......................55
Figure 5.1 The elements of digital-driven organizational culture.......72
Figure 5.2 Key success factors for DX implementation......................86
Figure 6.1 The five basic management functions...............................98
Figure 6.2 Competencies of the “disruptive digital leader”..............105
Figure 7.1 The HPO framework.....................................................125
Figure 7.2 The RBL framework.......................................................127
Figure 7.3 Paragon7 cognitive readiness competencies.....................139
Figure 7.4 The Goleman ESI framework.........................................143
Figure 8.1 The leadership pipeline framework.................................153
Figure 8.2 The GROW coaching model..........................................178
Figure 8.3 The transition coaching framework................................190
Figure 8.4 The “ADAM” coaching methodology.............................191
Figure 9.1 Lencioni’s framework of five dysfunctions of teams........208
Figure 9.2 The SCORE™ framework for developing high-
performing teams...........................................................212
Figure 9.3 The “AGREE” framework to achieve team
collaboration..................................................................217
Figure 10.1 The crisis leadership model.............................................226
List of Tables
Table 7.1 Competencies for the next generation of leaders.............139
Table 7.2 Descriptors of Paragon7 cognitive readiness
competencies..................................................................140
Table 8.1 Factors in identifying high potentials.............................160
Table 8.2 McCall’s five leadership demands...................................164
Table 9.1 “SCORE™” characteristics of high-performing teams
for a digital transformation............................................213
Preface
Today’s businesses face unprecedented challenges operating in a global
environment that is highly disruptive and increasingly volatile, uncer-
tain, complex, and ambiguous (VUCA). Disruption has significantly im-
pacted the way the world works, as many of us have experienced today
and in recent years. Today’s businesses, government, and individuals are
responding to shifts that would have seemed unimaginable even a few
years ago. The current wave of disruption, including the recent corona-
virus (COVID-19) pandemic, the known forces of Industry 4.0 (such as
artificial intelligence (AI) and robotics), globalization, and demographic
change, is reinventing the workforce. Internet technologies have enabled
drones and driverless cars, which are transforming supply chains, logis-
tics, health care and even defense and security, such as the war against
terrorism. These disruptive forces have significantly impacted businesses,
economies, industries, societies, families, and individual lives. Undoubt-
edly, the COVID-19 pandemic has been highly disruptive for business
across all industries, irrespective of whether it is airline business, retail,
restaurant, or manufacturing. The coronavirus has and will continue to
impact many businesses’ sustainability because of their inability to gen-
erate revenue in 2020, which could very likely result in their demise.
Many leaders have commented that they had déjà vu—the feeling that
they are experiencing and doing what has already happened, referring to
another past disruptive activity of the Global Financial Crisis (GFC) of
2008 through 2009.
Advanced technologies have impacted virtually every industry and
organization on many levels, from strategic planning and marketing to
supply chain management and customer service. Today, many individuals
and organizations across the globe are exploiting this change to disrupt
every industry. Uber, Alibaba, Airbnb, Netflix, and Tesla are just a few
famous examples of companies that have transformed lifestyles, including
the way people travel, shop, and stay, and there are many more. Leaders
xxxvi PREFACE
The taxi industry has been significantly disrupted as Uber (Figure 1.1)
and other ride services providers offer rides “e-hailed” directly from a
smartphone app (Pullen 2014).
private car networks will vary according to the nature of taxi regulations
stipulated by the city or local governments. Still, the data suggest the taxi
industry everywhere has cause for concern when such disruptors, such as
Uber, make their presence felt in the market.
To appreciate how the industry has evolved, consider the pre-Uber taxi
market (2009–2010) in the United States. Burdensome regulations and
consumer dissatisfaction long characterized the taxi industry. Although
transport regulations were managed at a local level, as mentioned earlier,
inefficiencies and reported problems were found industrywide. For example,
a 1984 Federal Trade Commission report found that “there is no persuasive
economic rationale for some of the most important regulations.” (Franken
and Pautler 1984). The report cites limits on the number of participating
firms and vehicles, as well as minimum fares, as a waste of resources and
a burden on the lower-income population. A much later study by Henry
Farber, a Princeton University Professor, found that inadequate pricing
incentives led to a scarcity of taxis under unpleasant or dangerous weather
conditions when taxis are most in-demand (Farber 2014).
The U.S. taxi industry has traditionally used a medallion system that
has remained mostly unchanged since the 1930s. Medallions are legal
certifications issued by local authorities that verify that the taxi driver is
allowed to operate commercially and pick up passengers from street hails.
Uber identified idle town cars in the adjacent “for-hire” market as
viable substitutes to provide short-range transportation to dissatisfied
taxi customers. Although regulations prohibited any vehicle without a
medallion from picking up street hails—“for-hire vehicles” had to rely
on call-ahead reservations—the increasing use of location-aware smart-
phones made it possible to request and dispatch rides without hailing it
on the road, allowing the town cars to compete directly with taxis.
Leveraging digital technology and delivery has always been part of the
company strategy. Netflix’s positioning is that it is a great place to find
movies that their members love. That’s a customer proposition that’s
delivery agnostic. What this means is that members can stream Netflix
from any Internet-connected device that offers a Netflix app, such as
gaming consoles, DVD and Blu-ray players, smart TVs, set-top boxes,
home theater systems, and mobile phones and tablets.
Leading in the Age of Disruption 13
Conclusion
Disruption is everywhere and in every aspect of our lives. In whichever part
of the world we live, the radical changes affecting social, political, techno-
logical, digital, or corporate entities can be profound in many instances.
One of the roles of leaders is to anticipate these disruptions and
develop the capabilities to navigate in today’s increasingly volatile,
uncertain, complex, ambiguous (VUCA)-driven and digital-driven busi-
ness environment and workplace. To do so, it will require some radical
rethinking on the part of the leaders by leveraging on a suite of cognitive
readiness competencies, including metacognition, “connecting the dots,”
critical thinking skills, resilience, and emotional and social intelligence,
among others (Bawany 2019a).
In recent times, we have seen or experienced several of these power-
ful global forces that are changing how we live and work. They include,
14 LEADERSHIP IN DISRUPTIVE TIMES
but are not limited to, the devastating and disruptive impact of the
COVID-19 pandemic in 2020 (see Chapter 3) and the digital disruption
of Industry 4.0 through the rapid spread of digital technologies at the
workplace and industry.
These disruptive trends offer considerable new opportunities to com-
panies, industries, countries, and individuals that embrace them success-
fully. They are bringing forth dynamic and innovative new players on the
world stage and could provide a much-needed boost to productivity and
prosperity in many countries.
Advances in technology, from artificial intelligence, robotics, quantum-
based technologies, and so forth, are enabling disruption. But disruption
requires more than technology. Everyone needs to be aware of the trans-
formational changes coming their way; they need to understand what it
means for them, and the impact on their careers and businesses.
There are two things we can say with certainty about the future: it will
be different, and it will surprise. As digital disruption continues to trans-
form the workplace, organizations need to develop a sustainable leader-
ship pipeline of future leaders so that new, capable leaders are ready and
in place just as and when the situation arises.
Now, more than ever, these leaders have to navigate unfamiliar, chal-
lenging times, a quickening pace of change, increasing expectations, and a
rising tide of rapidly evolving conditions. This new and different environ-
ment (highly disruptive, digital, and VUCA-driven) is challenging leaders
to find new ways to lead their organizations and achieve sustained success.
Conventional leadership development practices are no longer adequate.
Organizations globally need to incorporate the next generation leadership
competencies to address the development needs of their rising leaders
(Bawany 2019a).
Index
ADAM coaching methodology, CEE. See Centre for Executive
190–193 Education (CEE)
Agile, 77, 80, 81, 93, 94, 99, 109, Centre for Executive Education
110, 117 (CEE), 44, 54, 76, 125
AI. See Artificial intelligence (AI) Challenges, 81–83
Alibaba, 9, 88, 89, 91 Chamorro-Premuzic, Adler, 104
Amazon, 12, 81, 91, 92, 148 Charan, Ram, 104
Amazon Prime Video, 12 Christensen, Clayton, 2, 3, 4, 58
Antioco, John, 11 Church, A. H., 103
Apple Inc., 13, 53, 92, 100, 148 Cloud computing, 49, 53, 70, 76,
Artificial intelligence (AI), 49, 53, 54, 135, 227
57, 59, 60–62, 65, 66, 70, Coaching culture, 173–176
76, 112, 134, 135, 145, 227 Coaching for Performance, 177
Attracting/retaining right talent, Cognitive readiness and critical
74–75 thinking, 107–108
Attributes, disruptive digital leader, Cognitive systems, 112
105–114 Cold War, 16
Automation, 60, 62–63, 65, 66 Collaboration
Aviation industry, 39 cross-functional teamwork, 72, 83
Azevêdo, Roberto, 36, 37 decision making, 73–74
learning, 117
Baculard, Laurent-Pierre, 77 Collins, Jim, 201–202
BCPs. See Business continuity plans Communication skills, 114–116
(BCPs) Competencies, 135–137
Best-practice toolkit, 216–218 Compound annual growth rate
Bezos, Jeff, 148 (CAGR), 88
Big data, 57, 69, 74, 112, 226, 230 Conger, J. A., 103
Bill & Melinda Gates Foundation, 32 Cook, Tim, 148
Bitcoin, 53, 133 Coronavirus. See COVID-19
Black swan, 43 Corporate leadership council,
Blockchain technology, 53, 135, 228 103, 152
Boyatzis, R. E., 163 Corporatewide coaching culture,
Branded customer experience, 81 172–173
Branson, Sir Richard, 99 Cost efficiency/revenue
Built to Last, 119 optimization, 74
Business continuity plans (BCPs), COVID-19
43–44, 45 business operations, 43–46
Business operations, 43–46 crisis leadership, 224–227
Business strategy, 165 digital transformation, 233–235
GFC, 3537
CAGR. See Compound annual global economy, 35–36
growth rate (CAGR) global supply chain, 46–49
264 INDEX
• a one-time purchase,
• that is owned forever,
• allows for simultaneous readers,
• has no restrictions on printing, and
• can be downloaded as PDFs from within the library community.
Our digital library collections are a great solution to beat the rising cost of textbooks. E-books
can be loaded into their course management systems or onto students’ e-book readers.
The Business Expert Press digital libraries are very affordable, with no obligation to buy in
future years. For more information, please visit www.businessexpertpress.com/librarians.
To set up a trial in the United States, please email [email protected].