Karen Dahut, president of  Booz Allen’s Defense Sector, joined Aileen Black on this week’s Leaders and Legends  to share her thoughts on leadership, and the need for strong leaders to be passionate and inspire their teams.

Dahut leads Booz Allen’s $4 billion global defense sector, which represents half of the firm’s annual revenue. Under her leadership, the company has become the premier digital integrator helping the Defense Department prepare for the new digital battlespace by using advanced technologies to enrich data for operational decisions.

Dahut previously served as Booz Allen’s chief innovation officer, where she led the firm’s innovation business. Her team imagined and built a dynamic innovation agenda that transformed the firm with new capabilities in cyber, data science, and digital technologies.

Prior to joining Booz Allen, Dahut was an officer in the U.S. Navy and served as the controller for the Navy’s premier biomedical research institute.

Dahut joined the Navy after graduating from college. She said it was in the military where she first learned how to be a leader.

“The Navy taught me leadership in a way that you would never get at that age anywhere else. I was 21 years old, leading people much older and more mature than me,” she said. “The Navy thrust me into leadership and I had to find my way. That’s something I continue to rely on today.”

She said one of the keys to being an effective leader is building a strong team around you and giving its members the tools they need to solve complex problems in innovative ways.

But to be truly innovative, she said leaders need to encourage risk.

“We have to take risks to accelerate innovation. I gave laminated “Get Out of Jail Free” cards to my leadership team, just like in Monopoly. If they try something and it fails, I tell them they can bring that to me to “get out of jail free,” she said. “It was a way of encouraging them to take risks and try new things.”

She added that, “It is more important to be lucky than good when it comes to success. This may sound like a cliché, but it comes down to hard work.”

Dahut offered some advice for the next generation of leaders saying they need to eagerly take on new challenges and be open to learning. Maintaining one’s intellectual curiosity throughout their career, seeking advice and counsel, are key. Dahut also believes it is important for companies to “accelerate the next generation”.

“Strong mentorship programs matter. Make sure that you’re building those kinds of programs across your institution,” she said.

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