Introduction: Digital transformation era calls for effective leadership competencies in the information technology sector. The need, significance, purpose and scope of the study will reiterate the Statement of the problem and research statement - that there is no coherent link in most studies between effectiveness of innovation as a leadership competency and organizational excellence, since there is still a scarcity of research, based on the Review of Literature. This study assesses the significant relationship between effectiveness of innovation as a leadership competency and organizational excellence drivers like employee value proposition, competitive advantage, organizational agility and organizational culture. Team Leaders, project leaders, project managers and senior leaders of select IT Companies in Chennai city were the universe of the study. Objectives: (i) Examine the effectiveness of innovation as a leadership competency on drivers of organizational excellence namely - employee value proposition, competitive advantage, organizational agility and organizational culture. (ii) Examine differences in the impact of demographic factors like gender, age, educational qualification, total years of experience, and years of experience in current company, on innovation, as a leadership competency. (iii) Examine differences in the impact of demographic factors like gender, age, educational qualification, total years of experience, and years of experience in current company, on drivers of organizational excellence namely - employee value proposition, competitive advantage, organizational agility and organizational culture. Methods: For this study, quantitative research design and approach, structured questionnaire as research tool, simple random sampling method, and standard data analysis process for interpretation of the collected data has been used. Results: The rise in knowledge work, beckons leadership for an innovation mindset, risk-taking, change management for work, workforce and workplace. Human capital development for innovation, improves product, service, process, technological and business model innovation for growth. Enhanced employee value proposition, nimble-organizational agility and an enticing organizational culture creates sustained competitive advantage. Conclusion: It was found that effectiveness of innovation as a leadership competency, impacts the drivers of organizational excellence and paves way for long-term strategic success, to build a thriving workforce that in turn helps to build successful business organizations with sustainable competitive advantage.
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