The amalgamation of the CIO (Chief Information Officer) and CTO (Chief Technology Officer) roles is a viable option for some companies, and there have been successful cases of this approach. By merging the roles, a more cohesive and integrated technology strategy can be established, leading to streamlined decision-making and efficient resource utilisation.
This method also enhances the company’s ability to remain flexible and adaptable in response to the constantly evolving technology landscape. Furthermore, having one executive responsible for both information technology and broader technology strategy allows for a more comprehensive approach to technology management. Such an executive can take a broader view of the company’s technology needs, aligning decisions with the company’s overall business goals and achieving better business outcomes.
It is imperative to acknowledge that merging these roles is not without its potential difficulties. Finding a candidate with the necessary skills and expertise across both areas can be challenging. The CIO typically focuses on managing the company’s information technology strategy, including technology infrastructure, software development, and data management. The CTO, on the other hand, typically focuses on managing the company’s technology strategy, including research and development, product development, and technology partnerships. Managing both areas effectively and balancing demands may present a challenge that could significantly impact the company’s performance.
The decision to combine the CIO and CTO roles will be dependent on the company’s specific needs and priorities. If the company values a more integrated approach to technology management and perceives a significant overlap between the responsibilities of these roles, combining them may be an astute move. On the other hand, if the company values specialisation and has distinct needs in each area, it may be preferable to maintain the roles separately.
Many large enterprises have already chosen this option, the leaders in the Automotive, Airline, Banking, Utilities, Car Rental, Consumer, Retail and Energy to name a few (Deutsche Bank (CDO), United Airlines (CDO), Liberty Mutual (CDO), Ford (CITO), Johnson & Johnson (CIDO). The major challenges once the Board and Executive committee agree on this new position is to be able to identify the correct individual for this new leading-edge position.
The debate of whether the CIO and CTO need to be consolidated or kept separate has been going on for some time. Unlike other more established C-suite roles, technology leadership is particularly nuanced and is proving to be a challenging task for organisations across the market to identify those executives to effectively lead technology, define new business models, governance, organisations, processes, business strategy and a slew of other elements.
Blenheim Partners’ Technology and Digital Practice was established with the combination of Partners with search experience, as well as Industry executive experience to represent and articulate the client’s specific requirements to secure the relevant individuals to meet their current challenges and opportunities whatever they may be.
Barry Lerner
Partner, 5G, Telecommunications, Technology and Digital Transformation