AI puts CIOs in the spotlight, right next to the CEO
Artificial intelligence is pushing chief information officers closer to the corner office than ever before. More CIOs are reporting directly to their chief executives, rather than chief financial officers, a reflection of the role’s increased importance in helping set corporate AI strategies to keep up with the competition. CIOs have traditionally managed information-technology systems like data centers, cloud computing and business software, but must also now modernize IT and data systems to take advantage of generative AI—or even set the AI game plan.
That’s giving them a bigger share of responsibility for business leadership. “They’re putting more and more on the shoulders of that human being," said Rob Zelinka, CIO of financial technology firm Jack Henry & Associates. “That person is probably responsible for their data strategy, their AI strategy, the technology strategy." About 63% of U.S.-based technology leaders surveyed by consulting firm Deloitte in February say they report directly to their chief executives.
That reporting relationship has been on the rise for U.S. CIOs in recent years, growing from 41% in 2015 to 52% in 2023. At the same time, fewer CIOs are reporting to chief financial officers: falling from 26% in 2015 to 12% in 2023, Deloitte found.
Deloitte is a sponsor of CIO Journal. The change is significant, analysts and CIOs say, because it signals recognition of technology’s strategic importance. In reporting structures where CIOs report to CFOs or chief operating officers, IT is typically viewed as a cost and support function, not a profit driver.
Read more on livemint.com
