Transforming Leadership for the Digital Age: A Conceptual Model of Algorithmic Leadership and Human Capital Management

Abstract

Digital transformation is reshaping the foundations of organizational decision making, work design, and leadership. Traditional leadership models, grounded in interpersonal influence and intuition, offer limited guidance in environments where artificial intelligence, automation, and data driven systems increasingly shape strategic and operational outcomes. This conceptual paper develops a comprehensive model of algorithmic leadership, a leadership capability that integrates human judgment with algorithmic intelligence to enhance decision quality, learning processes, and organizational adaptability. Drawing on the resource-based view, dynamic capabilities theory, socio technical systems theory, and human capital theory, the paper explains how algorithmic leadership reconfigures human capital, supports hybrid intelligence, and strengthens performance in technology intensive contexts. The proposed framework advances leadership theory and highlights essential implications for governance, workforce development, and responsible AI adoption. Future research directions are outlined to guide empirical validation and further conceptual refinement.