MARS CIO Notes Technology Shift
Deloitte's "2016-2017 Global CIO Survey" has uncovered a shift in business priorities as it pertains to CIOs. The survey shows that non-CIO leaders are often focused on some aspect of what it calls the digital 'iceberg:' the CMO centers on the customer, the chief operating officer may center on IoT or supply chain, while the chief financial officer perhaps focuses on analytics. What many business leaders currently regard as 'digital' is predominantly the part of the iceberg that shows above the water.
Meanwhile, legacy systems, rigid organizational structure, and antiquated processes encumbering the shift to digital often lies below, according to Deloite. Therefore, the CIO is well positioned to influence and support the whole 'digital iceberg' and to help create the right strategy, platforms, and services to realize the holistic digital enterprise.
Vittorio Cretella, CIO, Mars Inc. agrees. "In the midst of digital disruption, I see a tectonic shift in the importance of technology to the business value proposition,” he said. “Timely and effective access to data is no longer about IT – it is central to the business agenda. As a result, CIOs need to be strategic co-pilots, shaping business plans alongside their peers to ensure success."
The survey results show that three-quarters of CIOs say aligning IT to business strategy and performance goals is the top IT capability essential to success. CIOs overwhelmingly chose strategic alignment as the top IT capability essential to their successes, followed by execution of technology projects coming in second at 55 percent, and vision and strategy third (nearly 50 percent).
Additionally, this year's survey found substantial gaps exist between business expectations and IT capabilities, in key areas including innovation and cybersecurity. Fifty-seven percent of CIOs report that the business expects them to assist in business innovation and developing new products and services, but over half state that innovation and disruption priorities currently do not exist or are in the process of being built. Similarly, 61 percent identify cybersecurity as a core expectation, but only 10 percent of CIOs report cybersecurity and IT risk management are a top business priority.
Additional findings of the survey include:
•Eighty-two percent of CIOs say spend in legacy systems and core modernization will increase or hold steady over the next two years, signaling the enormous back-end transformation underway to support the front-end customer demands
•Sixty-four percent of CIOs expect technology spend in cybersecurity will increase over the next two years, but only 37 percent picked cybersecurity as an IT capability key to their success.
•CIOs report strongest relationships with CEOs and CFOs (62 percent each). Thirty-five percent of respondents said they report to the CEO and 20 percent to the CFO.
To read the Deloitte full report, click here.
Meanwhile, legacy systems, rigid organizational structure, and antiquated processes encumbering the shift to digital often lies below, according to Deloite. Therefore, the CIO is well positioned to influence and support the whole 'digital iceberg' and to help create the right strategy, platforms, and services to realize the holistic digital enterprise.
Vittorio Cretella, CIO, Mars Inc. agrees. "In the midst of digital disruption, I see a tectonic shift in the importance of technology to the business value proposition,” he said. “Timely and effective access to data is no longer about IT – it is central to the business agenda. As a result, CIOs need to be strategic co-pilots, shaping business plans alongside their peers to ensure success."
The survey results show that three-quarters of CIOs say aligning IT to business strategy and performance goals is the top IT capability essential to success. CIOs overwhelmingly chose strategic alignment as the top IT capability essential to their successes, followed by execution of technology projects coming in second at 55 percent, and vision and strategy third (nearly 50 percent).
Additionally, this year's survey found substantial gaps exist between business expectations and IT capabilities, in key areas including innovation and cybersecurity. Fifty-seven percent of CIOs report that the business expects them to assist in business innovation and developing new products and services, but over half state that innovation and disruption priorities currently do not exist or are in the process of being built. Similarly, 61 percent identify cybersecurity as a core expectation, but only 10 percent of CIOs report cybersecurity and IT risk management are a top business priority.
Additional findings of the survey include:
•Eighty-two percent of CIOs say spend in legacy systems and core modernization will increase or hold steady over the next two years, signaling the enormous back-end transformation underway to support the front-end customer demands
•Sixty-four percent of CIOs expect technology spend in cybersecurity will increase over the next two years, but only 37 percent picked cybersecurity as an IT capability key to their success.
•CIOs report strongest relationships with CEOs and CFOs (62 percent each). Thirty-five percent of respondents said they report to the CEO and 20 percent to the CFO.
To read the Deloitte full report, click here.