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CIO Agenda 2024
Adopt Franchise Best Practices to
Improve Digital Delivery
Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 2
4.5%
5.0%
4.2%
7.4%
Introduction
The 2024 Gartner CIO and Technology
Executive Survey found that CIOs in all regions
of the world are faced with expected budget
increases that are only marginally above
projected inflation, and well below expected
increases in revenue.
In other words, in addition to the increased
demand, there will be an ongoing need for
greater efficiency.
Based on data from that survey, this year’s CIO
Agenda details how to adopt a franchise model
as a design template for CIO-CxO partnerships,
building on three pillars: co-leadership,
co-delivery and co-governance.
+2.7%
North
America
+5.2%
Latin
America
+4.2%
EMEA
+3.8%
APAC
3.4%
4.4%
2.4%
	
Expected Change in Revenue
	
Expected Change in Enterprise IT Budgets
	
2024 Forecast Inflation
3.2%
IT Budget Change, Revenue Change Expectations and Inflation
Average Change
n varies by Region: North America (n = 683); Latin America (n = 259); EMEA (n = 797); APAC (n = 412) CIOs and Technology Executives Answering
Q. By what percentage do you expect your enterprise’s IT budget to increase or decrease from 2023 to 2024?
Q. By what percentage do you expect your enterprise’s revenue to increase or decrease from 2023 to 2024?
Source: 2024 Gartner CIO and Technology Executive Survey
Inflation (CPI) Total Annual Growth Rate (%), August 2023 or Latest Available​Organization for Economic Co-operation and Development (OECD)
Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 3
Source: Gartner
The Gartner Priorities Navigator™
for CIOs
CIO Impact on Digital Business Strategy  Execution
CIO Technology  Innovation Leadership Technology Finance, Value  Risk Management
Digital
Performance
CIO Executive Leadership
Development
CIO Leadership of
Culture  People
Embed Information
 Technology in
Business Strategy
Fostering
Tech-Enabled
Innovation
Track  Assess
Disruptive Trends
Build Software
 Deliver
Applications
Deploy DA,
AI  Digital
Platforms
Lead Enterprise IT
Governance
Evolve Operating
Models
Enable Digital
Products 
Services
Advance
Business
Operations
Assess 
Improve Digital
Performance
Modernize IO
 Cloud
Demonstrate
the Business
Value of IT
Manage
Technology
Financials
Contract With
External Parties
Manage Risk 
Cybersecurity
Lead Org
Change 
Shape Culture
Advance
Technology
Talent
Evolve IT Org
Structure
Develop
Executive
Leadership
The Gartner Priorities Navigator™ represents critical areas where Gartner
provides supportive expert advice and tools to CIOs and their teams.
The 2024 Gartner CIO Agenda outlines how CIOs can foster and harness
the enthusiasm of their CxO peers to overcome technology talent
shortages and budget constraints, and ultimately, meet the expected
value from their enterprise’s technology investments.
Develop
Executive
Leadership
Distribute
Technology
Leadership
Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 4
Redesign CIO-CxO
partnerships
CIOs who co-lead and resource digital delivery teams end-to-end with their CxOs are more
than twice as likely to meet or exceed the outcomes from their digital technology investments
compared to CIOs who leave the delivery of digital capabilities to their IT departments.
To capitalize and foster CxOs’ commitment to digital leadership, CIOs must identify digital
leadership profiles in the executive leadership team and tailor their engagement to help these
partners become more proficient.
Operator
CIO Profiles for Digital Delivery Percentage of digital initiatives that
meet or exceed outcome targets
Explorer
Franchiser
CIOs who remain committed to retain digital delivery within their
IT function. Not surprisingly, they did not consider themselves
competent in sharing digital leadership responsibilities.
These CIOs believe that while IT should do most of the digital
delivery, business areas should contribute. They consider themselves
competent in sharing digital leadership responsibilities with their
CxO peers. They are starting to explore a franchise approach to
digital delivery, but are not yet fully committed.
These CIOs believe CxOs should be equal partners in the delivery
of digital technologies, and consider themselves competent in
sharing digital leadership responsibilities. They use a franchise
model for designing partnerships with other CxOs.
12%
of CIOs Co-lead
digital delivery with CxOs
33%
of CIOs begin
to involve CxOs
55%
of CIOs retain digital
delivery in IT
43%
53%
63%
Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 5
Franchised digital delivery:
3 pillars to success
Gartner research found that CIOs who are most effective
at delivering business outcomes from digital initiatives
co-own the responsibility with their CxO peers by adopting
a franchise approach to digital delivery.
But how does a franchise model for digital
delivery work?
Much like in a franchise business model, CIOs harness
ecosystems and work with CxOs to:
• Overcome budget and talent constraints
• Manage compliance and reduce risk
• Empower and equip business teams to deliver secure
and sound digital capabilities
The 2024 Gartner CIO Agenda identifies three core
behaviors, which we will refer to as the “pillars of the
franchised digital delivery model”: co-lead, co-deliver
and co-govern.
Design and evolve the
Digital Delivery Franchise
Co-Lead Co-Deliver Co-Govern
Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 6
Adopt Franchise Best Practices to Improve Digital Delivery
Commit to co-lead
PILLAR 1
A distinguishing feature of franchiser CIOs is that they encourage their
CxO peers to co-lead digital delivery. Those CIOs have elevated their roles
and that of their IT departments, not by focusing on the proverbial “seat
at the table” or by “shaping demand,” but by encouraging, educating
and equipping business leaders and their teams to co-lead their business
areas’ digital initiatives along with them.
For business leaders to commit their own time, their teams’ time and
their resources to digital delivery, they first need to view it as a shared
responsibility. Herein lies the initial challenge to overcome. Not all
CxOs are equally prepared to lead a digital delivery team, so you must
be creative in how you prepare your CxO peers to take on this digital
leadership role.
Take these actions
Surface pain points that require
more business ownership
Identify franchise-
minded CxOs
Intentionally engage CxOs in
new, agile ways of working

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2024-cio-agenda-ebook.pdf

  • 1. CIO Agenda 2024 Adopt Franchise Best Practices to Improve Digital Delivery
  • 2. Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 2 4.5% 5.0% 4.2% 7.4% Introduction The 2024 Gartner CIO and Technology Executive Survey found that CIOs in all regions of the world are faced with expected budget increases that are only marginally above projected inflation, and well below expected increases in revenue. In other words, in addition to the increased demand, there will be an ongoing need for greater efficiency. Based on data from that survey, this year’s CIO Agenda details how to adopt a franchise model as a design template for CIO-CxO partnerships, building on three pillars: co-leadership, co-delivery and co-governance. +2.7% North America +5.2% Latin America +4.2% EMEA +3.8% APAC 3.4% 4.4% 2.4% Expected Change in Revenue Expected Change in Enterprise IT Budgets 2024 Forecast Inflation 3.2% IT Budget Change, Revenue Change Expectations and Inflation Average Change n varies by Region: North America (n = 683); Latin America (n = 259); EMEA (n = 797); APAC (n = 412) CIOs and Technology Executives Answering Q. By what percentage do you expect your enterprise’s IT budget to increase or decrease from 2023 to 2024? Q. By what percentage do you expect your enterprise’s revenue to increase or decrease from 2023 to 2024? Source: 2024 Gartner CIO and Technology Executive Survey Inflation (CPI) Total Annual Growth Rate (%), August 2023 or Latest Available​Organization for Economic Co-operation and Development (OECD)
  • 3. Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 3 Source: Gartner The Gartner Priorities Navigator™ for CIOs CIO Impact on Digital Business Strategy Execution CIO Technology Innovation Leadership Technology Finance, Value Risk Management Digital Performance CIO Executive Leadership Development CIO Leadership of Culture People Embed Information Technology in Business Strategy Fostering Tech-Enabled Innovation Track Assess Disruptive Trends Build Software Deliver Applications Deploy DA, AI Digital Platforms Lead Enterprise IT Governance Evolve Operating Models Enable Digital Products Services Advance Business Operations Assess Improve Digital Performance Modernize IO Cloud Demonstrate the Business Value of IT Manage Technology Financials Contract With External Parties Manage Risk Cybersecurity Lead Org Change Shape Culture Advance Technology Talent Evolve IT Org Structure Develop Executive Leadership The Gartner Priorities Navigator™ represents critical areas where Gartner provides supportive expert advice and tools to CIOs and their teams. The 2024 Gartner CIO Agenda outlines how CIOs can foster and harness the enthusiasm of their CxO peers to overcome technology talent shortages and budget constraints, and ultimately, meet the expected value from their enterprise’s technology investments. Develop Executive Leadership Distribute Technology Leadership
  • 4. Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 4 Redesign CIO-CxO partnerships CIOs who co-lead and resource digital delivery teams end-to-end with their CxOs are more than twice as likely to meet or exceed the outcomes from their digital technology investments compared to CIOs who leave the delivery of digital capabilities to their IT departments. To capitalize and foster CxOs’ commitment to digital leadership, CIOs must identify digital leadership profiles in the executive leadership team and tailor their engagement to help these partners become more proficient. Operator CIO Profiles for Digital Delivery Percentage of digital initiatives that meet or exceed outcome targets Explorer Franchiser CIOs who remain committed to retain digital delivery within their IT function. Not surprisingly, they did not consider themselves competent in sharing digital leadership responsibilities. These CIOs believe that while IT should do most of the digital delivery, business areas should contribute. They consider themselves competent in sharing digital leadership responsibilities with their CxO peers. They are starting to explore a franchise approach to digital delivery, but are not yet fully committed. These CIOs believe CxOs should be equal partners in the delivery of digital technologies, and consider themselves competent in sharing digital leadership responsibilities. They use a franchise model for designing partnerships with other CxOs. 12% of CIOs Co-lead digital delivery with CxOs 33% of CIOs begin to involve CxOs 55% of CIOs retain digital delivery in IT 43% 53% 63%
  • 5. Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 5 Franchised digital delivery: 3 pillars to success Gartner research found that CIOs who are most effective at delivering business outcomes from digital initiatives co-own the responsibility with their CxO peers by adopting a franchise approach to digital delivery. But how does a franchise model for digital delivery work? Much like in a franchise business model, CIOs harness ecosystems and work with CxOs to: • Overcome budget and talent constraints • Manage compliance and reduce risk • Empower and equip business teams to deliver secure and sound digital capabilities The 2024 Gartner CIO Agenda identifies three core behaviors, which we will refer to as the “pillars of the franchised digital delivery model”: co-lead, co-deliver and co-govern. Design and evolve the Digital Delivery Franchise Co-Lead Co-Deliver Co-Govern
  • 6. Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 6 Adopt Franchise Best Practices to Improve Digital Delivery Commit to co-lead PILLAR 1 A distinguishing feature of franchiser CIOs is that they encourage their CxO peers to co-lead digital delivery. Those CIOs have elevated their roles and that of their IT departments, not by focusing on the proverbial “seat at the table” or by “shaping demand,” but by encouraging, educating and equipping business leaders and their teams to co-lead their business areas’ digital initiatives along with them. For business leaders to commit their own time, their teams’ time and their resources to digital delivery, they first need to view it as a shared responsibility. Herein lies the initial challenge to overcome. Not all CxOs are equally prepared to lead a digital delivery team, so you must be creative in how you prepare your CxO peers to take on this digital leadership role. Take these actions Surface pain points that require more business ownership Identify franchise- minded CxOs Intentionally engage CxOs in new, agile ways of working
  • 7. Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 7 Adopt Franchise Best Practices to Improve Digital Delivery PILLAR 2 To cultivate shared accountability, franchisers should build trust and transparency with their CxOs and business teams. Trust is earned through purposeful and authentic engagement. Creating fusion teams of IT and business team members creates that engagement and simplifies the process of gaining access to the tooling and technology platforms required to be effective. One of the most impactful ways you can approach this opportunity is by engineering shared, composable technology platforms that provide technologists within and beyond IT with everything they need to build digital capabilities. Take these actions Prepare IT and business teams for co-delivery Jointly commit resources and funding Modernize foundational digital platforms Co-deliver with fusion teams
  • 8. Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 8 Adopt Franchise Best Practices to Improve Digital Delivery Co-govern to minimize risk PILLAR 3 To be effective at managing compliance and risk in a franchise model, you need to find ways to scale governance. Work with your CxOs peers to shift to an orchestration approach that mitigates the risks of franchising digital delivery while also retaining its benefits. Communities of practice (CoPs) are one of the most impactful ways you can overcome the risk of a franchised model leading to the creation of “islands” without coordination or standardization. CoPs also serve as valuable feedback mechanisms that allow you and your peers to collect feedback, and then revisit and update governance policies and standards. To successfully launch CoPs that combine IT and business technologists, we recommend that you work with business area leaders to identify and enlist active technologists who have the knowledge, motivation and domain expertise. You must ensure the CoP objectives and scope are defined by community members. It’s also important to adapt the IT engagement approach to advise on and guide safe and secure development practices. You need to enlist a community leader from within each CoP to act as a liaison with other CoPs, and help set up training, guidance and support. Work with your CxO peers to co-create common metrics across communities to measure engagement, not just outcomes. Take these actions Scale governance and best practices with CoPs Manage risk at the edges — embed risk experts Automate controls in digital platforms
  • 9. Adopt Franchise Best Practices to Improve Digital Delivery Gartner for Information Technology Executives Follow Us on LinkedIn Become a Client 9 Design and evolve your franchise model Franchises take many forms Just as business franchises can take many different shapes or forms depending on the context, there is not one way to design the digital delivery franchise. Building on the foundational pillars (co-lead, co-deliver and co-govern), you should take a deliberate approach to engaging CxOs as digital delivery franchisees, rather than keeping digital delivery within your IT department. The division of labor between IT and different business units depends on but is not limited to: • Technology proficiency of the business area • The number of business area resources dedicated to technology work • Enterprise culture • Regulations • CEO sponsorship
  • 10. Gartner CIO Agenda Gartner CIO Agenda is based on the 2024 Gartner CIO and Technology Executive Survey. Qualified respondents are the most senior IT executives for the overall organization or their part of the organization. Respondents: 2,457 CIOs/technology executives 84 countries All major industries Representing: $12.5 trillion in revenue/ public sector budgets $163 billion in IT spending
  • 11. Executive Programs V2 Drive value ​across the ​business with ​ expert guidance, tools, peer networking ​and targeted ​events. Expert Guidance ​ On-going Leadership Development CIO leadership insight key areas: • Develop Technical and Executive skills, create peer relationships, nurture talent and culture • Access insights into cross-industry content • Role-exclusive content sharing between CIO and seat holder (CISO, CDAO, etc.) Be a better business partner Cross-functional insights including: • Business value and strategy • Future of Work, Risk Response Strategies, Change management Thrive with Tech Insights • Stay on top of the latest emerging tech trends • Pragmatic advice and decision-making tools Peer Experiences​ Connect one-on-one with other industry leaders through our exclusive CIO network, participate in peer-led discussions, polls, and access to technology ratings and reviews Engaging Events​ Exclusive access to Gartner IT Symposium and CIO Leadership Forum with educational breakouts and more opportunities to connect with peers and Gartner experts.​ Daily Security Briefing​ Stay on top of the most pressing news with a digest of articles from reputable news sources, including a cross-industry, global summary of the most recent threats, and security news of the day. Decisioning Tools Tools to turn strategy into execution by helping accelerate key initiatives and drive better business outcomes • Digital Execution Scorecard​ • Rapid Digital Execution Scorecard​ • Initiative Accelerators​ • Interactive Priorities Navigator ​ • IT Score for CIOs​ • IT Budget Benchmark Featured Tools: Digital Execution Scorecard Digital Execution Scorecard delivers a framework customizable to your industry that evaluates digital execution and measures company-wide progress continually. Initiative Accelerators Deliver on mission-critical priorities and achieve strategic and innovation goals faster using an easy- to-follow step-by-step guided experience including best practices and case studies.
  • 12. Clear step-by-step guidance Comprehensive assets to guide your actions​ Downloadable execution tools​ A thoughtfully curated, self-service experience These thoughtfully curated, self-service tools provide step-by-step guidance on execution, complete with downloadable templates, case studies and quick lessons — all within one unified experience. Gartner CIO Initiative Accelerators Each Initiative Accelerator offers ... Learn More
  • 13. Advance your IT strategy by attending a Gartner conference! In an era of continual disruption, the role of CIO is evolving rapidly. CIOs must amplify their impact to lead IT beyond the function, partnering with C-suite peers to accelerate digital business models, enable the future of work and drive business growth. Join us at our CIO conferences to discover world-class insights to help you drive your mission-critical priorities. Don’t miss out. View the Conference Calendar today and find the conference that’s right for you. Explore the Calendar Gartner conferences by the numbers curated agendas informed by more than 460,000 client interactions per year Research Advisory experts offering exclusive research and individual consultations on-site business and technology professionals in attendance globally each year solution providers at the forefront of technology 460,000+ 60,000+ 1,000+ 2,500+
  • 14. Explore these additional complimentary resources and tools for IT Executives: Tool CIO Initiative Accelerators Step-by-step execution guidance, downloadable templates, case studies and more. Learn More Actionable, objective insight Already a client? Get access to even more resources in your client portal. Log In Tool IT Score for CIOs A maturity assessment tool for measuring the effectiveness of your IT function. Learn More Tool Digital Execution Scorecard Digital strategy benchmarks to accelerate decision- making and execution. Learn More
  • 15. © 2023 Gartner, Inc. and/or its affiliates. All rights reserved. CM_2531519 Connect With Us Get actionable, objective insight to deliver on your most critical priorities. Our expert guidance and tools enable faster, smarter decisions and stronger performance. Contact us to become a client: U.S.: 1 844 637 4432 International: +44 (0) 03301 734 012 Become a Client Learn more about Gartner for IT Leaders gartner.com/en/information-technology Stay connected to the latest insights