Key Insights on Inventing the Future as a Leader
The Beacon Concept of Leadership
- Leaders must act as beacons, seeing the landscape and imagining what comes next.
- Inventing the future involves:
- Recognizing upcoming threats (“I see an oncoming train that others don’t see”)
- Connecting dots to create new possibilities
- This requires understanding today to imagine tomorrow, which means staying exposed to diverse ideas and technologies. This foundational skill aligns with the core principles explored in Understanding Leadership: Power, Influence, and Effective Qualities.
Vision and Direction Are Core
- Inventing the future = setting direction and vision based on imagined future facts, not just current data.
- Innovators (e.g., those who invented telephones, new processes) all relied on the ability to see what didn’t yet exist.
- Leaders must also respond affirmatively to fast-moving trends, especially technology. Different approaches to this are outlined in Leadership Styles and Qualities: How to Be an Effective Leader in Organizations.
The Digital Mindset & The 30% Rule
- Even non-technologists can lead tech-driven change by learning a baseline:
- Common vocabulary and concepts around key technologies (AI, data, automation)
- Enough to shape, steer, and make informed decisions
- This is the 30% Rule: learn just enough to engage meaningfully and guide direction. For more on fostering an environment where such innovation thrives, see Understanding Innovation: Concepts, Types, and Importance in Business.
Why Change Management Is a Leadership Essential
Change = Improvement
- Change is not optional, it’s improvement, whether incremental or transformational.
- Leaders who only preside over existing systems (transactional leadership) fail to meet dynamic conditions.
- Core leadership competency: making change happen, in culture, organizations, people, mindsets. Practical strategies for this are detailed in Seven Strategies for Overcoming Resistance to Change in the Workplace.
Why People Resist Change
- People prefer predictability, certainty, and stability, change threatens all three.
- Common fear: “Will we break things that are working?”
- Change often requires breaking things that work to reach a better future.
Enabling Change in Others
- Leaders must help others become comfortable with change.
- This is part of the leadership journey: enabling people to shift perspectives and adapt.
- Resistance is natural; good leaders anticipate it and guide through it.
Practical Takeaways
- Shift from transactional to transformational leadership, don’t just run trains on time; improve the system.
- Learn enough tech to shape its impact on your organization.
- Embrace discomfort, inventing the future requires letting go of certainty. Common myths about this process are addressed in Unlocking Creativity and Innovation: Busting Common Organizational Myths.
So, also, I often say that one of the things that leaders need to do is invent the future.
Do you agree with that? Is that Is that like How does that fit within your sort of research and practice of leadership?
>> You know, inventing the future, these are such intimidating words, right? Inventing the future. But what it is,
it's really determining and thinking about what's in the present and beginning to anticipate what can be
possible in the future. Sometimes it's to say, "Whoa, I see an oncoming train. I see it, others don't. So, that's part
of the future." Other times it's to say, "Whoa, I see all these dots. Imagine if we connect them.
What new possibilities can we engage in?" And so, part of that is we talk about this in
our leadership work here at the Harvard Business School as leaders as beacons. >> Yes.
>> To be able to see the landscape and to imagine
what may be the very next thing that we all need to think about. So, you're right. In a sense, that is inventing the
future and it comes from understanding the landscape, understanding today in order to imagine what's for tomorrow,
which means we need to be exposed to a lot of things. >> And so And so, this is like setting
direction and a vision, right? Like part of inventing the future is direction and vision.
>> It's absolutely direction and vision. I mean, even if you think about the image of the leader as a beacon,
it's the ability to look far and to set a direction and a vision based on not
facts that are very much in front of you, but the facts that you imagine will be in
the future. So, if you think about all of the innovators of our world, those who've invented telephones,
those who've invented new ways of doing things. And as you know, we're living at a time where there's so much innovation
going going on, but it took leaders to be able to see those things. And sometimes it's also responding to what's
here. >> Yeah. >> Uh in in an affirmative way. So, for
example, we know that technology's moving very fast, and leadership requires us to
understand those technologies, to start shaping those technologies. That's where vision and direction
>> happens if you're not a technologist? >> You learn as much as you need to learn. Often time, there's a baseline. We call
it, in fact, the 30% rule. And you learn a ton of research. My latest book with Paul Leonardi is called the digital
mindset, and you learn the baseline or some basic, some common vocabularies, languages around these technologies, and
you shape it. That's what it means to be a beacon. You shape it, and to shape it, you have to understand it.
>> Now, one of the things I've heard you say quite a bit when you've been You know, as a doll talks to leaders
everywhere, executives of large companies around the world,
you've often talked about like the importance of becoming good at change. So, why should our audience care about
change change management? Because that seems like a thing that companies do. You know, like your old fart company,
sorry, your old company around for a while, and then the the old line executives say, "We need change
management." Why should they care about change and and becoming good at change?
>> Change is a fundamental core competency of leadership. Because what is change ultimately? It's improvement. It's
either small improvement or big improvement. And change management is actually an entire field.
>> Yeah. >> Uh we can teach a whole a whole module on it. Uh but it's a core leadership
competency. Otherwise, you're presiding over something and you're not anticipating the future and you're not
making any improvements. So, to make improvements, to think about the future, it requires change and change
management. And there um two ways to think about leadership. One is leaders uh as um
or the role of leaders as transactional, which is the presiding over to make sure the trains are running and the
uh buses are running and everything that need to run >> Yeah.
>> on time and adequately. But that's not enough. The world is so dynamic. It changes so much all the time
that we need to be ready to improve and change and meet the moment. And at times, we need to transform. That's why
uh it's a very core competency for leadership, change. >> Yeah, you know and you know like you
have to be able to change cultures, organizations, people, their mindsets, their perspectives. And and
that to me is part of this leadership journey, right? Like how do you actually enable people to change? Because most
people tend to At least what I found in all of my inventing the future activities
>> [laughter] >> that she knows all about uh that I come to her for therapy
uh uh is is that you you've got to be able to
enable others to change, to sort of be comfortable with change because most people resist change.
>> People don't love change. >> Yeah. >> They may say they like change. And you
know >> Change is good for others, not for ourselves.
>> good for others, not for ourselves. And you've heard people say, "I love change. You know, I change my hair all the
time." And change change change. That's not true. People like predictability. >> Yeah.
>> They like certainty and they like um stability. >> Yeah.
>> Change by definition is not about certainty, is not about predictability, is not about stability. So, they resist
and there's always this belief of if we enact any of these changes, are we actually going to break things
that are working? >> Mhm. >> Change is also breaking things that are
working. >> Yeah. >> You're very familiar with that, aren't
you? >> Uh a little bit. >> [laughter]
A leader acts as a beacon by seeing the current landscape and imagining what comes next, recognizing upcoming threats or opportunities that others might miss. This involves connecting disparate dots to create new possibilities, which requires staying exposed to diverse ideas and technologies to understand today deeply enough to envision tomorrow.
Non-technologists can lead tech-driven change by developing a 'digital mindset' through the 30% Rule: learning just enough baseline knowledge—common vocabulary and concepts around key technologies like AI, data, and automation—to engage meaningfully, shape direction, and make informed decisions. This enables them to steer and guide technological impact without needing to become technical experts.
Change management is essential because change equals improvement—whether incremental or transformational—and leaders who only maintain existing systems fail to meet dynamic conditions. A core leadership competency is making change happen in culture, organizations, and mindsets, rather than just presiding over stability.
People resist change primarily because they prefer predictability, certainty, and stability, which change threatens. A common fear is breaking things that are currently working, even though change often requires breaking functional systems to reach a better future.
Leaders must anticipate natural resistance and guide people through it as part of the leadership journey, helping them shift perspectives and adapt. This involves communicating the vision clearly, addressing fears, and creating a supportive environment for embracing discomfort and uncertainty.
The 30% Rule suggests that leaders who are not technical experts should learn just enough—about 30%—of the foundational concepts and vocabulary in key technologies like AI and automation. This baseline knowledge allows them to engage meaningfully, ask the right questions, and steer organizational direction without needing deep technical expertise.
To shift from transactional to transformational leadership, leaders must move beyond merely running existing systems efficiently and instead focus on improving the system through innovation and change. Practical steps include learning enough tech to shape its impact, embracing discomfort, and actively guiding their teams through uncertainty to invent a better future.
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