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The role of chief digital officer

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This presentation explains the importance and the description of the role of a Chief Digital Officer in any organization. This was presented by me at DQ Live 2015 event organized by Cyber Media Group on 11th March 2015 at The Grand New Delhi in front of 400+ business and technology leaders. Post which i was interviewed by ET Now TV Channel as well and event highlights along with key people's bytes were broadcasted by ET Now.

Published in: Leadership & Management
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The role of chief digital officer

  1. 1. The Role of Chief Digital Officer @ DQ Live 2015 Event by Cyber Media Group – Publishers of Dataquest Magazine Ajay Chhabra Ajay.Chhabra@A3RDigital.com 0091-8130940808
  2. 2. Agenda - The role of Chief Digital Officer The Chief Digital Officer is tasked with providing the brainpower behind designing a digital enterprise and the horsepower to pull together various digital initiatives. In many cases, the CIO has a chance to step into the role of a CDO and in others, the CIO has to be the closest ally of the CDO. The session would highlight the role of the CDO and its criticality in the success of creating a digital enterprise. Some tentative points to be discussed include: * The need for a CDO * Skillsets needed for a CIO to step into a CDO role * How do you see the CDO role panning out in different sectors * Future - Will CDO role merge into CIO, the CIO merging into CDO or will they remain distinct?
  3. 3. Meet Few Chief Digital Officers
  4. 4. Rachel Haot Chief Digital Officer and Deputy Secretary of Technology New York State. http://www.theverge.com/2013/12/18/5225700/new-york-chief-digital-officer-rachel-haot-joins-state-governor
  5. 5. Teddy Goff Digital Director Obama for President 2012 Campaign http://ideas.time.com/2013/12/06/these-are-the-30-people-under-30-changing-the-world/slide/teddy-goff/
  6. 6. Stephen Gillett COO, Symantec Past: President Digital, Marketing & Operations, Best Buy Chief Information Officer, GM Digital Ventures, Starbucks http://www.forbes.com/sites/peterhigh/2013/07/15/stephen-gilletts-rise-from-cio-of-starbucks-to-coo-of-symantec/
  7. 7. Atif Rafiq Senior Vice President and Global Digital Officer McDonald’s http://adage.com/article/news/mcdonald-s-names-atif-rafiq-chief-digital-officer/244556/
  8. 8. Arvind Gupta National Head IT & Digital BJP IIT BHU Alumunus Digital Man behind Modi’s Campaign
  9. 9. The need for a CDO
  10. 10. The need for Digital MIT Digital Transformation Study, 2013 as quoted by Adjuvi LLC…
  11. 11. The need for CDO – Trends worth watching • Industrial age model of the enterprise is in decline • Speed at which the enterprise data doubles is reducing • Digital natives have increased in the work-force • Technology is destroying companies in most industries • What digital did to print publishing industry everyone is aware of the same • Touch UI, App Stores, Smart mobile / tablet, cloud, social business, consumer IT, Internet of Things & big data • Core focus of IT is moving from systems of record to Systems of Engagement • Whole supply chain would get revamped or transformed with the invent of 3D printing • Investment in design paid apple to have more than $170b in cash surplus • Consumers are going to play a far bigger and better role in Social Economy • Role of intermediaries would be limited or diminish • Technology would enable better industrial productivity • Pressure on IT to become profit generator and not act like a cost center
  12. 12. Gartner predictions: Does your business need a CDO?- Gartner by 2015 25% Enterprises would have a CDO… By 2020 90% of tech budgets will be outside of IT (cloud, BYOD, big data) Russell Reynolds Sirach for CDO is Europe and US have rose by 1/3rd in last two/one year and the average salary for CDOs have doubled in the last three years Wired.com - IS 2014 THE YEAR OF THE CHIEF DIGITAL OFFICER? Some 70 percent of CMOs say they already have a chief marketing technologist who reports to them, and they admit they’d be lost without this kind of support The data points Multiple Sources http://www.gartner.com/newsroom/id/2659215 http://www.russellreynolds.com/content/2014-digital-board-director-study CDOs worldwide in 2012: 225 CDOs worldwide in 2013: 448 CDOs worldwide in 2014: 1000+ Source: The CDO Club CDO Average Salary: USD 250K to USD750K Starts as low as from USD 89K
  13. 13. A recent survey from Accenture reports that CMOs don’t think much of their technology counterparts, with 38 percent of CMOs saying that IT deliberately keeps them out of the loop, and 35 percent grousing that marketing concerns aren’t a high enough priority. 31 percent of CIOs saying their marketing peers are ill- informed about tech, and 36 percent steamed because marketing routinely bypasses them for solutions, going to outside vendors and ad agencies without first checking for internal solutions. The Debate Position of Power Budget Distribution
  14. 14. • One who does like to work in a cabin but prefers war rooms • One who has got the respect of the board room • One who is authentic and Trusted advisor • One who leads digital transformation in the organization • Decoding the complexity in digital and explaining to the company board and taking them on board • Who builds Overall digital strategy for the brand and the corporate • He should be able to make best use of free and paid content for consumers and clients and provide unique customer experience • One who can establish balance between creativity and data • CIO need to re-invent or else their job has been outsourced • Majority of CDOs are not CIOs in their careers – David Mathison - Chief Digital Officer Talent Map: David Mathison at the CDO Summit (NYC Feb 2013) • He who has the capabilities to reinvent the technology platform • Creating disruptive apps on mobile and other screens for building new revenue sources • A CDO needs, among other things, a background that includes legal and compliance or risk management responsibilities, • an understanding of “data as an asset,” a solid background in the industry they work in, • and knowledge of the tools and techniques of data modelling. • Might have communications, creativity, innovation and not necessarily technology as the degree Key Traits of a CDO
  15. 15. http://blogs.gartner.com/mark_mcdonald/2013/03/12/chief-digital-officer-what-type-does-the-organization-need/ Different Type of Chief Digital Officers
  16. 16. CDO Key Role Chief Digital Officer Buids Digital Marketing Strategy Introduces Digital Business Models Owns Digital Assets and data Creates Digital User experience Ensures Multi Channel delivery of content Transform Business Digitally Recruits Digital Talent Reports in to boardrooms
  17. 17. Organization's Expectations from CDO Beyond the CIO/CMO partnership, The Rise of Chief Digital Officer – Dion Hinchcliffe – Adjuvi LLC
  18. 18. Skillsets needed for a CIO to step into a CDO role
  19. 19. “60% of CIOs believe they should be driving growth and productivity.” Source: Deloitte Global CIO Survey
  20. 20. “Digital leadership is not a replacement or substitute for IT leadership, however: it is an adaptation of business leadership to a digital context. “CIOs do not own the CDO’s responsibilities. CIOs and CDOs should have distinct and separate roles in the digital era, and they will need different skills and capabilities.” said Debra Logan, vice president and Gartner Fellow.”
  21. 21. How do you see the CDO role panning out in different sectors?
  22. 22. CDO’s have been hired in multiple industries
  23. 23. CDO Characteristics in General • What makes a Super-star CDO • Strategic – focused but change • Executors – deliver results • Committed - thinking long term • Relationship builders - Gets buy-ins • Leaders – respect from board, juniors, seniors, CEO & Customers • Managers - bring in quality talent • Entrepreneurial – deliver new business and revenues • Innovators – has transformative, disruptive vision Technology Last Customers First Chief Digital Officer Talent Map: David Mathison at the CDO Summit (NYC Feb 2013) – YouTube
  24. 24. Future - Will CDO role merge into CIO, the CIO merging into CDO or will they remain distinct?
  25. 25. The word of caution “CDOs Replace CIOs? I'm Not Buying It - Marketing-minded chief digital officers aren't technical enough to lead the changes that companies need to make. By 2020, chief digital officers will be yesterday's fad, joining the ranks of chief innovation, learning, and culture officers. Sure, a handful of them will still exist, but the CIO -- customer-focused and product- savvy -- will drive the corporate digital agenda in partnership with CEOs, CMOs, CFOs, and other business leaders. Rob Preston - VP and editor in chief of InformationWeek” http://www.informationweek.com/strategic-cio/digital-business/cdos-replace-cios-im-not-buying-it/a/d-id/1317196
  26. 26. “The CDO is the CMO of the future,” says the Group CMO at a global financial institution. “Marketing will be digitally-led and classical second,” he says, “requiring agility, inclusiveness and the ability to be cross-functional.” The word of Optimism “Digital is becoming such an integral part of marketing,” adds the VP of marketing for an outdoor apparel and equipment company. “I could see a Chief Customer Experience Officer owning the entire brand/customer experience 5 years from now.” Chan Suh @ http://www.wired.com/2014/01/2014-year-chief-digital-officer/
  27. 27. The word of Optimism – CDO is CEO of future Chief Digital Officer Talent Map: David Mathison at the CDO Summit (NYC Feb 2013) – YouTube
  28. 28. The Journey to Boardrooms http://www.russellreynolds.com/content/2014-digital-board-director-study
  29. 29. Contact Us Ajay Chhabra Founder & Chief Digital Officer A3R Digital Private Limited 0091-8130940808 Ajay.Chhabra@A3RDigital.com DQ Live 2015 – Highlights on ET Now https://www.youtube.com/watch?v=kmNwYBt3R7U Fireside chat with Walmart India CIO https://www.youtube.com/watch?v=bu13kFIVxBA

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