Which leadership capability is linked to creating a compelling vision for digital transformation?

• A. Competitive edge
• B. Establish a strategic direction
• C. Influence external parties
• D. Inspirational leadership

Answer: (D)

Creating a compelling vision for digital transformation relies on inspirational leadership. This leadership style conveys a vivid future and connects it to people’s values and aspirations, which is crucial for getting teams to embrace and drive large-scale change. In a digital shift, the vision helps align efforts across technology, processes, and culture, energizing effort, reducing resistance, and sustaining momentum as the organization moves toward that future. Leaders who inspire use storytelling, consistent messaging, and role modeling to translate a lofty idea into everyday actions and commitments.

Other options describe outcomes or supporting activities rather than the core ability to spark and sustain a shared, motivating picture of the future. Competitive edge is the result of transformation, establishing strategic direction is about setting the course, and influencing external parties is about stakeholder engagement, not the internal motivational force behind a compelling vision.