There is great interest within the water sector regarding the prospect of sustainable operations. Water utilities tend to be conservative entities characterized by organizational inertia, making achievement of sustainable operations a challenge of cultural transformation. We suggest that the construct of "wicked" problems provides a useful heuristic for leaders and other champions attempting to transform water utility culture to achieve sustainable operations. We observe that the cultural transformation toward sustainable water operations seems to be facilitated through the exercise of particular leadership traits, including the ability to craft and communicate a sustainability narrative, willingness and ability to diffuse authority, and an adaptive or learning-oriented outlook. Based on literature review and case research with US water utilities, we identify factors that can act either to enable or constrain efforts to transform utility culture so as to be more amenable to sustainable operations. We explain how each of these factors pertains to the circumstances of water utilities and provide a matrix with which utility leaders and sustainability champions can enact a plan of organizational transformation. We conclude by outlining research topics that flow from our arguments and observations. KEYWORDS organizational culture, organizational transformation, sustainability, transformative leadership, wicked problem Nature and Culture 7(3), Winter 2012: 285-313 © Berghahn Journals