Gartner Survey Confirms the Changing Role of the CIO

Gartner, Inc.'s annual global survey of CIOs showed that the CIO role is transitioning from delivery executive to business executive, from controlling cost and engineering processes, to driving revenue and exploiting data.

The 2018 Gartner CIO Agenda Survey gathered data from 3,160 CIO respondents in 98 countries and all major industries, representing approximately $US13 trillion in revenue/public sector budgets and $US277 billion in IT spending. For the purposes of the survey, respondents were categorised as top, typical and trailing performers in digitalisation.

The survey results show that 95 percent of CIOs expect their jobs to change or be remixed due to digitalisation. While world-class IT delivery management is a given, it will take up less and less of the CIO's time. Respondents believe that the two biggest transformations in the CIO role will be becoming a change leader, followed by assuming increased and broader responsibilities and capabilities. Inevitably, the job of CIO will extend beyond the traditional delivery roles to other areas of the business, such as innovation management and talent development.

"The CIO's role must grow and develop as digital business spreads, and disruptive technologies, including intelligent machines and advanced analytics, reach the masses," said Andy Rowsell-Jones, vice president and distinguished analyst at Gartner. "While delivery is still a part of the job, much greater emphasis is being placed on attaining a far broader set of business objectives."

The survey showed that a majority of CIOs say that technology trends, specifically cybersecurity and artificial intelligence (AI), will significantly change how they do their jobs in the near future. Cybersecurity continues to threaten the global landscape in 2018, and 95 percent of CIOs surveyed said they expect cybersecurity threats to increase and impact their organization.

"In response to these concerns, the survey found that digital security ranks high on the CIO agenda as 35 percent of respondents said they have already invested and deployed some aspect of digital security, and 36 percent are in the process of planning to implement some form of digital security," said Mr. Rowsell-Jones. "CIOs are also increasingly adopting AI in their organisations . Predominantly, AI is being used initially, either to boost the customer experience or to fight fraud.

CIOs surveyed rank AI, followed by digital security and the Internet of Things (IoT), as the most problematic technologies to implement. Survey respondents agree that the most common pain point is the fact that these technologies, particularly AI, demand new skills, some of which can be hard to find.

Seventy-nine percent of CIOs report that digital business is making their IT organizations more "change-ready," which suggests that now is a good time to implement change to the IT organizations, and, in turn, should make the transition to the new job of the CIO easier.

The first part of the new job of the CIO is to build the required bench strength to scale the enterprise's digital business through support for the digital ecosystem. This means hiring new resources to put in place the right digital team structures. Some CIOs favour a separate digital team while others make digitalisation part of the day job of IT and the enterprise. However, 71 percent of the top performers have a separate digital team to help them scale their digitalisation efforts. The most common structure for these teams is to report to the CIO, although the biggest difference between the top performers and their peers is in the CEO reporting relationship of these teams.

"The effects of digitalisation are profound. The impact on the job of CIO and on the IT organisation itself should not be underestimated," said Mr. Rowsell-Jones. "In this new world, CIO success is not based on what they build, but the services that they integrate. The IT organisation will move from manufacturer to buyer, and the CIO will become an expert orchestrator of services. The real finding though is that this is happening now, today. CIOs must start scaling their digital business and changing their own jobs with it now.

The Gartner Symposium/ITxpo will take place from October 30-November 2, Gold Coast, Australia