BM565 Digital Business: The Role of Leadership & New Technologies

This report examines the critical role of leadership in the success of new digital businesses. It highlights the importance of aligning people, technology, and processes to achieve organizational goals. The report discusses the development of digital technology in business, emphasizing the use of technologies like AI and cloud computing. It explores various e-commerce platforms and digital software used by organizations such as Tesco and Sainsbury's to enhance customer experience and operational efficiency. The analysis also covers the relationship between digital technology and established business theories, including decision-making, systems, quantitative, and contingency theories, demonstrating how effective leadership is essential for navigating digital transformation and achieving a competitive advantage. Desklib provides students access to past papers and solved assignments.

Leadership for new
digital business

Table of Contents
INTRODUCTION .............................................................................................................................3
Why the chosen topic is important................................................................................................3
How this topic has developed .......................................................................................................3
Define technology used in chosen topic when exhibiting use of it...............................................4
What technology platform and software are used in this topic?...................................................4
Business and organisation uses the technology.............................................................................4
How it is used as business tool and is this effective?....................................................................5
Relationship between the digital technology and both old and new emerging theories on the
business and management structure and practices........................................................................5
CONCLUSION .................................................................................................................................7
REFERENCES...................................................................................................................................8

INTRODUCTION
Digital business is described as process of using the digital technology in order to reinvent
the business models and modify the product and customer experience of an organization-
innovating item to generate the new value when making individual connected with things,
experiences and insights (Benitez and et. al., 2022). Digital technology facilitate several
advantages to a firm such as efficiency, competitive benefit and many more. In this report the
chosen topic is Importance of leadership for new digital business. Main aim of this report is to
understand the concept of digital technology. Importance of the leadership in digital business,
technology used in considered topic, different software and technology platform used ion this
topic, type of business uses the digital technology, how it is used a business tool and relationship
between digital technology both newly and old in organization.
Why the chosen topic is important
A digital business is require that people, technology and process within an organisation or
workplace align with the desired end goal to accomplish a greatest success. This area need to be
set up to continuously improve and also adopt after accomplishing the initial goals of the new
digital business initiative. Leadership play a critical role in the success of a digital business.
Success in digital business require leadership to be more that only philosophically aligned or
speak favourably of common goal of initiative (Biche, and Wolf, 2022). A true success in the
digital transformation in business require that leaders show their support through their actions.
Through digital technology, business facilitate many service including digital payment, digital
marketing and software in order to enhance employee's work efficiency. Therefore, pausing to
ensure that the leadership is aligned allow the business to ensure that all functions an departments
within a firm will cooperate from top to down as it help to prevent issues that mights arise when
misleading the leaders with a contrary motive get involved.
How this topic has developed
The selected topic has been developed with the urgency of the market competition as use
of digital technology become very essential for every business. It is difficult for business to adopt
the digital technology so quickly, and it become important for every organisation whether it is big

or small, therefore, it require an effective leadership so that they it make it easy to establish a
digital business (Bolpagni and et. al., 2022). Nowadays, basic requirements are generating for the
cloud based digital transformation in business that aim is to develop frenzy with a creation of
latest product and services. The digital business support to meet goals or objectives of the digital
transformation when creating various solution for the objectives of a business.
Define technology used in chosen topic when exhibiting use of it
In digital business, many technology are used that act as building block of a digital
business. For instance artificial intelligence help the business across all industries gain an
automated insights form the complex data set (Borah, Iqbal, and Akhtar, 2022). Another
technology is clod computing that allows a business to entirely digitize their company. This
technology will serve as software building platform rather than only server provisioning. In digital
business, company should be familiar with different web technologies in order to meet the
objectives and goals. Leadership is very essential in these type of technology as they taught their
employees that how to uses these technologies to perform better. In this, it is primary
responsibility of a leader to get team to see that the technology can reduce the workload and assist
add more value top the business.
What technology platform and software are used in this topic?
In digital business, e commerce platform is used that help them to promote and sell their
product digitally. It help companies in reaching customers when sell product and services at the e
commerce platform (Duwe, 2022). Digital software are the application software that can be
utilized by a mobile device, tablet and computer to perform the useful tasks. Digital business
platform is considers as multiple hub that hep business in coordinating work and also support the
business interaction between technology and human being.
Business and organisation uses the technology
Nowadays, many organisation are becoming digital business as they are using the digital
technology for instance, Tesco, which is a relating firm has “doubled the size of their online
business and through the Clubcard, they are building a digital customer platform” said by the
Tesco chief executive Ken Murphy (Computerweekly.com, 2022). The respective firm says that
its online business remains the clear market leader. Sainsbury also can be considered as digital
business where customer scan QR code via their smart shop app, that is linked to a debit or credit

card. Therefore, leader need to understand a may-raid of details. And they have deep connection to
and understanding of customers. Therefore, to transform an ordinary company into digital
business, it require leadership that help the respective firm to establish their digital transformation
easily.
How it is used as business tool and is this effective?
A successful digital leader understand significance of the inbound data and process within
a business that support it. Leadership in digital business is an effective toll as it place a high value
on their creativity, communication and willingness to explore ways that new emerging technology
and the digital information can be used to aid business projects ( Flynn and Werhane, 2022).
Digital leadership is discipline of navigating a business towards the digital transformation so that
company can stay competitive and agile in a quickly evolving digital and social media landscape.
Relationship between the digital technology and both old and new emerging theories on the
business and management structure and practices.
The leadership in digital business is connected with the course contents which is digital
business. The leadership and digital technology are related with each other as with the help
technology a leader can view number of the task achieved by their team members in a real time.
Free flowing information and increase connectivity are rapidly breaking down the boundaries and
traditional hierarchies (Jansen and Hinz, 2022). Many business are adopting the project bas
approaches to work which calls for a shared leadership in teams. Digital leadership is strategic use
of the organisational digital assets to accomplish business goals.
There are various forms of the digital technology model or theories on the business management,
structure and practices. These theories include decision making theory, system theory,
quantitative theory and contingency theory which are mentioned below:
 Decision making theory- It is a mental process of selecting from set of the alternatives.
Every decision produce an outcome that might be a recommendation, an action or opinion.
This theory of how rational individuals must behave under uncertainty and risk. To sum
up, decision making means adoption and application for the rational choice for
management of private, governmental or business organisation in efficient manner. This

theory help the company to understand logics behind the choices consumer and
professional. Manger uses the leadership abilities to guide team members and also improve
the organisation. To make effective decision, it is essential for a leader to understand that
how their decision making skill can help the, to make a tough choice. By a better
understanding, different type of businesses and customers can be better equipped to
develop and even voter make.
 System theory- This theory offer alternative approaches to the organisational planning and
management. This theory purpose that business like human body, consist of the multiple
elements that work harmoniously so that larger system can function optimally. System
theory of management is a theory which organisations are composed of several subsystems
that are not necessarily related to one another and yet work together for form whole
( Landeta Echeberria, 2022). Leadership in system theory is considers as a set of the skills
and capacities that an organisation can utilize to catalyse, support and enable the process of
a system level changes. System theory is helpful to understand things like organisational
changes, organisational behaviour and organisational development.
 Quantitative theory- This theory considers solving complex business issues in inventory
valuation, financial management, production scheduling, inventory control, human
resources planning and the other areas where quantifiable data can be obtained. This
approach applies optimization models, computer simulations, statistics, information model
and other quantitative techniques to the management process (Ouyang and et. al., 2022).
This theory establish a relationship amongst the quantifiable variables of the decision
making situation and also facilitates disciplined thinking. This approach is useful in the
area of control and planning where data are available in a quantitative terms. The decision
are based on logic and data rather than judgement and intuition.
 Contingency Theory- This approaches is based on the theory that effectiveness of
management is contingent and depend on interplay between application of management
behaviour and the specific situations. This theory claim that there is not best way to
organize a corporation, to lead a business and making decisions. Instead, optimal course of
an action is dependent or contingent upon external and internal situations (Prabhu and
Srivastava, 2022). In this it is supposes that leader's effectiveness are contingent or depend
on whether or not their leadership style suit any particular situation. As per this theory, a

personal can become an effective leader in one circumstance or situation and an ineffective
leader in another one. The contingent leader are very flexible when adopting and choosing
to succinct strategies to suit the changes in situation at a specific time period in running of
the organisation.
Main aim of the digital technology is to support the organisation for enchaining their efficiency
when attaining benefits in marketplace. It help business to analyse the diverse market trends when
implementing in their business. Digital business uses the technology in order to crate new value in
the business models, internal capabilities and customer experience that support core operation of a
business. Path to the successful digital transformation is paved by the brave decision which are
made by leaders. In organisation, leaders need to demonstrate the key behaviour like playfulness
and bravery when it comes to encouraging the changes an organisation. Without their
involvement, business will not be successful in their transformation.
CONCLUSION
From the above report it is concluded that the digital technology play very essential role in
modern business era. Many organisations are attracted and focused to utilize the digital technology
in their business that facilitate competitive advantages for business. As nowadays moistly
organisation are practising to make their business a digital business. But it require leadership to
implement the initiatives in business. Leadership play vital role in the digital business as it make
enable the entire organisation to adopt digital transformation. In digital business, many technology
and software are used for example nowadays e commerce technological platform is very popular
in business industry. There are various theory that help firms to adopt digital transformation
effectively. Therefore, form the above discussion, it is analysed that every organisation need to
transform into digital business as it help hem to get success with a better outcome effectively and
efficiently.

REFERENCES
Books and Journals
Benitez, J. and et. al., 2022. Impact of digital leadership capability on innovation performance:
The role of platform digitization capability. Information & Management, p.103590.
Biche, L. and Wolf, C., 2022. Exploring Leadership Competences in Informal Savings Groups in
Sub-Saharan Africa. In Transforming Africa. Emerald Publishing Limited.
Bolpagni, M. and et. al., 2022. Shaping the Future of Construction Professionals. In Industry 4.0
for the Built Environment (pp. 1-26). Springer, Cham.
Borah, P.S., Iqbal, S. and Akhtar, S., 2022. Linking social media usage and SME's sustainable
performance: The role of digital leadership and innovation capabilities. Technology in
Society, 68, p.101900.
Duwe, J., 2022. How to Take Action. In Ambidextrous Leadership (pp. 211-225). Springer, Berlin,
Heidelberg.
Flynn, G. and Werhane, P.H., 2022. A Framework for Leadership and Ethics in Business and
Society. In Leadership and Business Ethics (pp. 1-18). Springer, Dordrecht.
Jansen, N. and Hinz, O., 2022. Inferring opinion leadership from digital footprints. Journal of
Business Research, 139, pp.1123-1137.
Landeta Echeberria, A., 2022. AI Integration in the Digital Transformation Strategy. In Artificial
Intelligence for Business (pp. 115-140). Palgrave Macmillan, Cham.
Ouyang, Y. and et. al., 2022. Moral attentiveness as a boundary condition: Servant leadership and
the impact of supervisor affiliation on pro‐group unethical behavior. Business Ethics, the
Environment & Responsibility.
Prabhu, M. and Srivastava, A.K., 2022. Leadership and supply chain management: a systematic
literature review. Journal of Modelling in Management.
Online sources
Computerweekly.com,2022 [online] available through
<https://www.computerweekly.com/news/252499325/Tesco-reports-online-sales-surge-
advances-digital-platform>