Health and Tech Transformation
research & strategy institute
Joaquim Cardoso MSc
Chief Research and Strategy Officer (CRSO),
Chief Editor and Senior Advisor
May 30, 2023
EXECUTIVE SUMMARY
Adapted from “State of the CIO, 2023: Building business strategy”, published by “CIO”, authored by Beth Stackpole, on May 27, 2023.
State of the CIO, 2023: Building business strategy
The 2023 State of the CIO report reveals that CIOs are increasingly taking on strategic leadership roles that extend beyond IT.
Despite focusing on core modernization and transformation work, CIOs are now seen as valuable strategic partners who actively contribute to shaping business strategies and driving digital transformation.
The report highlights several key findings.
First, CIOs are involved in both functional and transformational tasks.
Functional tasks such as security management, IT operations improvement, and cost control still occupy a significant portion of their time.
However, CIOs are equally committed to transformation work, including modernizing infrastructure and applications, aligning IT initiatives with business goals, and fostering the IT/business partnership.
While business strategist responsibilities were not cited as the primary focus for most CIOs, many are already established as sought-after strategy leaders.
Moreover, a majority of respondents anticipate greater involvement in business strategy over the next three years.
With technology at the core of modern business, CIOs expect their roles to encompass driving business innovation, refining business strategy, and identifying opportunities for competitive differentiation.
The report also highlights the growing stature of CIOs as leaders.
Over half of the respondents proactively identify business opportunities and make recommendations on technology and provider selections.
CIOs are considered more likely than their business counterparts to lead digital transformation efforts.
They are viewed as changemakers, leading business and technology initiatives.
CIOs are building strong relationships with other executive influencers.
Most respondents have cultivated educational partnerships with CEOs and boards of directors.
Many CIOs report directly to the CEO, overseeing new C-level positions such as chief data officers and chief digital officers.
IT departments retain control over a significant portion of the IT budget and expect this control to increase further.
The report emphasizes the vital role of CIOs in business strategy due to ongoing economic uncertainty, the potential of emerging technologies, and their successful performance during the pandemic.
CIOs are responsible for maintaining the edge gained through digital transformation, promoting broad adoption of foundational platforms, and overseeing continuous improvement.
Case studies from various industries demonstrate how CIOs are shaping business strategies.
Examples include partnering with the healthcare sector to reimagine patient experience and care, implementing agile practices to deliver capabilities faster, and consolidating data and analytics teams for better decision-making.
As CIOs focus on data and analytics, they are leading initiatives in areas such as data/business analytics, security and risk management, and machine learning/AI.
CIOs are also expanding their roles beyond IT, taking on revenue responsibilities, automating processes, creating new products and services, and making data more available.
Overall, the State of the CIO report highlights the evolving role of CIOs as strategic leaders …
… who drive digital transformation, shape business strategies, and leverage technology for innovation and competitive advantage.
CIOs’ influence and credibility continue to grow, positioning them as crucial contributors to organizational success.
Selected Chart(s):
- David Reis: CIO at the University of Miami Health System and the Miller School of Medicine.
- Kevin Gray: CIO for the City of Burbank, California.
- JP Saini: Chief Digital & Technology Officer at Sunbelt Rentals.
- Deepa Soni: CIO at The Hartford.
- Chris Bruman: Chief Data and Analytics Officer at Dow.
- Melanie Kalmar: Corporate Vice President, CIO, and Chief Digital Officer at Dow.
- Andrew Ho: Senior Vice President and Head of Technology and Office Services at Global Strategy Group (GSG).
- Sastry Durvasula: CIO and Client Service Officer at TIAA.
