4 min read
The leadership gap in digital
Too many boards still see digital as executional - a support function rather than a strategic driver. It is often discussed too late, once direction is already set, rather than shaping the conversation from the start.
Yet digital plays a central role in how organisations grow, communicate and earn trust. When leadership treats it as peripheral, visibility and agility suffer.
The impact of this gap is clear. Gartner’s 2024 CMO Spend and Strategy Survey found that 61% of CMOs say their digital initiatives are hindered by a lack of cross-functional collaboration. That is not a technical challenge but a leadership one.
McKinsey’s research into digital maturity reinforces the same point. Companies that embed digital within corporate strategy, rather than limiting it to operations, are 1.8 times more likely to outperform on revenue growth.
Those findings point to a simple conclusion: closing the gap requires intent.
A forward-looking digital approach starts with clarity of purpose. Leaders need to define what digital is meant to achieve - whether that’s deeper stakeholder engagement, faster delivery, or measurable growth - and align investment and capability to that intent.
When leaders view digital in that context, it becomes a driver of strategy, growth and reputation.
When ownership is too low, performance suffers
In many organisations, digital is still delegated too far down the structure. It is treated as an implementation task for IT teams to take care of, rather than a strategic pillar. The result is predictable: mixed messages, fragmented campaigns and investment that fails to translate into impact.
Deloitte’s 2023 Digital Transformation report found that more than 70% of executives believe their digital projects fail to align with business goals. Most cited lack of senior ownership as the reason.
Progress depends less on technical skill and more on clarity of direction. Without that leadership link, even the best digital initiatives struggle to make a difference.
What does digital first leadership look like in practice?
Being digital first isn’t a technology checklist. It means bringing digital perspective into strategic discussions - understanding how technology, data and platforms can work together to uncover insights, accelerate decisions, strengthen relationships and improve performance.
In sectors like energy, where transformation pressures from decarbonisation to decentralisation demand speed and transparency, digital leadership has become a necessity.
Digital first means:
- Making digital part of key decision making - using insight and data to shape where and how the organisation competes
- Leading with real-time awareness - ensuring leaders have the information and agility to respond to markets, stakeholders and reputation issues as they evolve
- Connecting people, process and technology - aligning how the organisation shows up digitally with how it thinks, acts and delivers value
It is about creating a culture where digital insight informs decisions rather than simply executing them
When it works - and when it doesn’t
Let’s take two contrasting examples from the energy industry.
BP: A strategic embrace of digital communication
In recent years, BP has invested heavily in digital storytelling, ESG transparency, and customer-facing technology. From its interactive annual energy outlook platform to real-time emissions tracking and social media engagement during key announcements, BP has recognised that digital is the battleground for reputation and stakeholder trust. Their digital initiatives are not the preserve of IT – they are a collaboration between marketing, comms, investor relations, and leadership.
PG&E: When communication lagged behind transformation
Contrast that with Pacific Gas & Electric (PG&E), whose digital communications lagged significantly during its wildfire and liability crises. Stakeholders - including regulators, customers and the concerned public - struggled to access accurate information in real time. The company’s website went down, press releases lacked clarity, and social channels were underutilised. In a digital-first crisis environment, PG&E’s shortcomings weren’t just technical - they were strategic. And they eroded trust at scale.
The cost of “digital last”
In a world where 64% of B2B buyers say their purchase journey is now entirely or mostly digital (Forrester), treating digital as an afterthought is costly.
If digital deliverables are still added after a decision is made, or if creative and technical teams work separately from strategy, the brand experience becomes fragmented.
The gap between leaders and laggards often comes down to a single factor: who takes ownership of the digital agenda.
From afterthought to advantage: five shifts for leaders
- Elevate digital on the board agenda. Treat it as a core lens for growth, risk and transformation alongside finance and strategy.
- Bring the right voices together. Involve marketing, communications and stakeholder leaders early, not just technical or operational teams.
- Treat digital assets as investments. Platforms, content and data capabilities should be managed as long-term drivers of brand and business value.
- Ask better questions. Move the conversation from technical feasibility to strategic value and measurable outcomes.
- Insist on integration. Ensure digital thinking connects marketing, communications, business development and customer experience into a cohesive whole.
Final word: strategy first, digital by design
For most organisations, digital has already reshaped how people connect, how trust is built and how performance is measured. The next step is to bring that reality into the centre of strategic planning.
When digital is part of how strategy is developed, not just how it is executed, the organisation moves with greater focus, transparency and pace.
Ready to strengthen your digital leadership? Let's talk.