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What forms of leadership does the world need in the era of the fourth industrial revolution? In a time of unprecedented change, leaders— in both the public and private sectors— must enhance their adaptive capacity in order to lead their organizations and countries through times of uncertainty. The most pressing challenges facing organizations today have to do with their capacity to adapt policies, processes, regulations and products to constantly changing realities. Learning to distinguish between adaptive challenges and technical problems is essential for dealing with disruptive changes and external pressures. Developing and nurturing adaptability requires a new kind of leadership or at least a new emphasis on certain leadership behaviors. Tackling adaptive challenges requires exercising leadership as opposed to authority, mobilizing discovery, tolerating losses, and generating innovations and new capacity to thrive.