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The Evolving Role of the CIO

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Traditionally, CIOs managed company systems and integrated technologies, led troubleshooting tactics, and drove crucial IT efforts for the company. Today, however, experience with systems is not enough; the role of CIO has become more business-minded.

CIOs have an increasingly important place at the table as a trusted advisor capable of leading his or her company by providing direction on how IT advances the business, drives results and impacts the bottom line.

Why the Shift?

While industry experts agree that CIOs need to take a more active, entrepreneurial approach to their IT departments, the reasons for the shift vary. However, common themes include:

• Dynamic technology and environments. With so many new technologies to translate and sift through, CIOs are becoming more consultative for their companies. “How will new applications impact our business?” and “What compatibility issues may we face when integrating this solution?” are questions CIOs need to understand, and educate CEOs and CFOs about in terms of risks and rewards.
• Value shift from technology to data. Virtualization and cloud computing are systems CIOs can use to transition from managing technology to being able to track that technology and its usage data. Comprehending that information, and the value it can bring to an organization’s overall operational and sales strategies, is where CIOs make a direct and strategic impact on boosting revenues.
• Economic and political changes. In the article CIOs Need Greater ‘Business Focus’, former Australian Computer Society president Kumar Parakala notes that everyday pressures a CIO faces internally are compounded by current outside forces, such as economic challenges and the political rhetoric around outsourcing. What it means for next-generation CIOs is that businesses can change shape overnight, sometimes without any say from within.

What Does the New CIO Look Like?

Today’s CIOs are not only responsible for managing information technology, but also translating it into innovative, cost-reducing technology, connectivity and overall business intelligence.

A CIO with a business strategy is how the Harvard Business Review paints the new look of the CIO, with Four Personas of the Next-Generation CIO including:

• Chief “Infrastructure” Officer – focus on overall cost reduction and technology
• Chief “Integration” Officer – focus on connecting internal and external ecosystems
• Chief “Intelligence” Officer – focus on bringing the business actionable insights, improving access to information and data
• Chief “Innovation” Officer – focus on identifying disruptive technologies for pilot projects through trial and error

How to Achieve It

Defining the best way to achieve a next-generation outlook as CIO depends on your company’s existing IT strategy and business plan or vision. Varying models for a transition to the new roles of CIO can range from a single, business-minded CIO taking all responsibility to an entire “CIO Department.” Some examples:

• A single, business-minded CIO with upgraded skill sets and entrepreneurial thought processes can handle all personas of a next-gen CIO.
• A central CIO that leads “CIO departments” (infrastructure, integration, intelligence and innovation). Advantages of this model include devoted resources for each CIO persona, with one overseeing and guiding the business ties and processes.
• VARs and managed technology organizations can support CIO responsibilities. Cloud computing, virtualization and managed IT services allow CIOs to focus less time on technology or infrastructure management and more on innovation and intelligence.

Once you know what the ideal CIO for your organization looks like, getting there takes commitment from all players within IT and the C-suite.

Measurement, rhetoric, advocating for your role, and the ability to adapt quickly to change are some of the necessary means involved in the transition. InfoWorld also published a helpful article with more tips for bringing IT and the business together.

Your Thoughts?

How have you transitioned the role of CIO within your company, and what challenges or results have you already seen?

Jason Taylor is Senior Vice President of Sales Operations and in the past has served as an IT consultant for several major enterprise-level organizations throughout Northeast Ohio. Connect with Jason on LinkedIn.

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