Ginni Rometty introduces “Good Power” as a leadership philosophy rooted in three principles: integrity, accountability, and stewardship. Integrity means acting according to strong moral values; accountability ensures leaders take full responsibility for decisions and outcomes; stewardship refers to using power as a trust to be managed for long-term benefit rather than short-term personal gain. These principles stem from Rometty’s own life and rise through IBM. Her story illustrates how ethical leadership isn't idealistic—it’s practical and effective. She describes navigating IBM through complex transitions while upholding values, showing that Good Power equips leaders to make difficult decisions with clarity and conscience. This chapter lays the philosophical foundation for ethical influence that can drive innovation, trust, and cultural transformation.
Rometty expands on the power of values like honesty, fairness, and responsibility in guiding leadership. She describes how, upon becoming IBM’s CEO, she made restoring integrity a top priority. A standout example is her stance on data privacy and AI ethics, where she prioritized individual rights even when it meant forgoing business advantages. Rometty also institutionalized values through actions like the "Think Policy," which encouraged ethical decision-making at every level. Ethical leadership, she argues, requires structures (like ethics committees and training) and role modeling from the top. She highlights that values are not constraints but enablers—fostering trust, innovation, and long-term growth. Transparency, accountability, and stakeholder fairness are presented not as ideals, but as business imperatives.
This chapter explores how leaders can navigate and guide transformation responsibly. Rometty recalls how IBM moved away from legacy systems to lead in cloud computing and AI. It required bold choices—selling off hardware divisions and investing in emerging tech. These decisions were guided by ethical considerations and open communication with employees and stakeholders. Rometty emphasizes that innovation must be aligned with purpose and communicated transparently. By cultivating curiosity, managing fear of change, and embedding values into strategy, she turned disruption into opportunity. She also emphasizes the human side of innovation: supporting workforce transitions through reskilling and long-term vision. Innovation through Good Power means progress that uplifts—not discards—people along the way.
Rometty presents diversity and inclusion not just as values, but as strategic assets. She redefines inclusion as more than representation—it’s about creating systems where diverse thought, background, and voice are welcomed, heard, and acted on. At IBM, she led initiatives like bias training, diverse hiring slates, and the Diversity & Inclusion Council. Rometty also pioneered P-TECH, an educational model aimed at closing equity gaps in tech. These efforts made inclusion part of IBM’s DNA. She explains how inclusive cultures lead to better decision-making, stronger engagement, and greater innovation. Leaders, she says, must champion inclusion actively, from policy design to executive hiring. Inclusion isn’t just moral—it’s essential for long-term relevance.
Rometty views skills as the currency of the future and stresses the urgency of preparing workers for a rapidly changing digital economy. She highlights the creation of P-TECH schools, which provide underserved students with high school, college, and workplace training in one model. She also champions New Collar Jobs—roles that don’t require a four-year degree but demand practical, tech-oriented skills. At IBM, she fostered a culture of lifelong learning, with internal training platforms and encouragement for experimentation. Rometty insists that upskilling must be continuous, inclusive, and responsive to change. She urges partnerships between corporations, governments, and education systems to future-proof the workforce and create inclusive economic opportunity.
Technology, especially AI and data, is a powerful force—but without ethical leadership, it can harm trust and equality. Rometty outlines IBM’s efforts to build responsible AI, including the creation of an AI ethics board and data transparency initiatives. She argues that leaders must ensure fairness, accountability, and explainability in their tech systems. Privacy, data consent, and bias mitigation are not optional—they’re central to public trust. She also discusses how digital transformation can displace workers and increase inequality. That’s why ethical tech deployment must include reskilling and inclusion efforts. The message is clear: innovation without values is dangerous; innovation with values changes the world for the better.