The Role of Digitalazation for Leadership Efectiveness: A Case of Heineken Brewery Share Company in Ethiopia
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Date
2025-10
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Addis Ababa University
Abstract
This study explains how digitization affects leadership at Heineken Brewery Share Company (HBSC) in Ethiopia. The research uses a mixed-methods approach, which means it uses both
quantitative data from structured questionnaires sent to 58 members of the HBSC leadership team and qualitative insights from studies of internal documents. The study looks at four main
aspects of digitalization: leaders use digital tools to make decisions, the organization is prepared for IT, communicates and coordinates digitally, and has digital leadership skills. The results
show that respondents gave marks to digital communication and coordination, as well as digital leadership skills. This shows that HBSC leaders are well-prepared to handle the challenges of
digital transformation. However, organizational IT preparedness got a lower score, which means there are problems with infrastructure, integration, and support systems. Digital
communication (β = 0.390, p = 0.005) and organizational IT readiness (β = 0.447, p < 0.001) are the two important factors predict digital leadership. The usage of digital technologies alone
was not a statistically significant factor. The qualitative results corroborate the quantitative results even more. They stress how important it is to create leaders, communicate across
departments, and use inclusive techniques to get people to accept technological change. HBSC has done a great job of using digital tools and improving its leadership skills, but the results
show that successful digital transformation needs more than technology. It needs ongoing investment in people, processes, and a culture that supports it. The study's finding is
digitalization makes leaders effective if it is combined with good communication, developing digital skills, and being open to change at both the individual and organizational levels.
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Keywords
Digitalization, Leadership Effectiveness, and Digital Leadership