For decades, "product" was a function. Increasingly, it's becoming a way of leading.
The executives gaining influence today aren't simply asking, How do we deliver? They're asking, Who are we designing this for? That shift may sound subtle, but it represents one of the biggest changes in modern leadership.
McKinsey's long-running research on design-led organizations found that companies with strong design capabilities outperform industry peers on both revenue growth and shareholder returns, yet roughly 90 percent of organizations still fail to fully capitalize on design as a strategic advantage. The issue isn't creativity. It's leadership. Too few executives think like product builders.
That mindset is beginning to spread well beyond product teams.
Marketing leaders are redesigning customer journeys rather than campaigns. HR executives are rethinking employee experiences with the same rigor product managers apply to user flows. Finance leaders are simplifying approval processes instead of adding new controls. Across functions, executives are replacing annual planning cycles with faster experimentation, customer feedback, and continuous iteration.
You can see the shift in some of today's most admired companies.
At Canva, product teams work alongside marketers, educators, researchers, and designers from the earliest stages of development, treating every customer interaction as an opportunity to learn rather than simply launch. Microsoft's transformation under Satya Nadella similarly prioritized curiosity, experimentation, and customer obsession over hierarchy, reshaping not only its products but its culture.
Former PepsiCo CEO Indra Nooyi once described design as "the soul of innovation." Under her leadership, PepsiCo invested heavily in design capabilities, not because the company wanted prettier packaging, but because she believed design helped organizations better understand human behavior.
That may be the defining leadership skill of the next decade.
The best executives increasingly think like product leaders. They obsess over the experience they're creating, invite constant feedback, test assumptions early, and recognize that almost every business challenge can be redesigned.
Leadership is becoming less about managing systems and more about improving them.