Data Insights and Analytics Webinar: CDO vs. CAO - What’s the Difference?

The First Step in Information Management
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CDO vs. CAO – What’s the Difference?
July 5, 2018

Welcome to Today’s Discussion
 Digital and data-driven evolution of the C-suite
 Chief Data Officer (CDO) role and responsibilities
 Chief Analytics Officer (CAO) role and responsibilities
 Managing areas of gap and overlap
 Organizational success with a CDO or CAO
 Organizational success without a CDO or CAO
 Best practices and key takeaways
 Q&A
pg 2© 2018 First San Francisco Partners www.firstsanfranciscopartners.com

Digital and Data-Driven Evolution of the C-Suite
 Leading organizations are rapidly adapting to
meet the disruptive pace of evolving data,
technology and digital transformation.
 To become more data- and digitally-driven, the
C-suite boardroom has expanded to include
new roles beyond the traditional and often
overburdened CIO (Chief Information Officer).
 Rising data-focused executive roles include:
− Chief Data Officer (CDO)
− Chief Analytics Officer (CAO)
− Chief Digital Officer (CDO), Chief Information
Security Officer (CISO), etc.

Chief Data Officer (CDO) Roles and Responsibilities
 Focused on harnessing business value from
enterprise data assets
 Owns or oversees primary data capabilities,
including data governance, master data
management and data quality
 Evangelizes data vision and strategy for current and
future growth
 Poised for innovating existing business processes
and identifying opportunities for competitive
advantage, data monetization and future growth
 May be responsible for business intelligence, data
science and analytics-driven insights
 Typically leads own dedicated group

What to Look for in a Chief Data Officer
 Baseline skills
− High level of data literacy and optimizing the data supply chain
− Understanding of data value and monetization concepts
− Business orientation
 Critical skills
− Communication
− Organization development and change leadership
− Collaboration
 Awesome if they got ‘em
− Prior success as a leader within data management (MDM, Analytics, Data quality,
or Data Governance)
− Prior success implementing cross-functional programs

Chief Analytics Officer (CAO) Roles and Responsibilities
 Focused on data analytics operations to enable
analytics-driven decision-making and business
transformation
 Evangelizes data analytics vision and strategy for
bridging the capabilities gap between data-driven
insights to data-driven actions
 Responsible for business intelligence, data science
and analysis of business insights
 Drive investigation into opportunities for
competitive advantage, data monetization and
future growth, especially outside the organization

What to Look for in a Chief Analytics Officer
 Baseline skills
− High level of data literacy and understanding the data supply chain
− Business orientation
− Deep understanding of statistics and analytics
 Critical skills
− Communication
− Collaboration
 Awesome if they got ‘em
− Prior success as a leader within data analysis
− Prior success implementing a data warehouse or Analytics
− Understanding of data value and monetization concepts

Data Discussions in the Boardroom – Data Monetization
CEOCFO
CIO
CAO
CDO
What kind of
technology
support is
required?
Let’s define what
that means and
align the strategy
with the various
ways we can
monetize data
We develop advanced
analytics to look for new
products or streamline
operations
Howdowemonetize
data?
Howmuchis this
goingtocost?
pg 8

Data Discussions in the Boardroom – Acquisition
CEOCFO
CIO
CAO
CDO
Weoptimizedour
datacapabilitiesand
ourdatasupplychain
caningestand
leverageanew
organization’sdata
Ourgoalis togrow25%
thisyearthrough
acquisition.What’sour
strategy?
Whatisthecostof
acquisitionand
anticipatedbenefit?
Throughourprevious
analysis,we
understandthegaps
inourproductand
whereanacquisition
couldaddvalue
Becauseweupgraded
ourinfrastructureand
havecleararchitectural
standards,wecan
assesstheeconomies
ofscaleexpectedfrom
theintegrationofa
newcompany’sIT
pg 9

Common Organization
CEO
CDO
EDM EDG
CAO CIO
Aligned at the C-Level to
effectively create and sustain a
data-driven organization
CDO and CAO must effectively
collaborate to minimize overlap
and maximize execution

Common Organization
CEO
CDO
CAO EDG
CIO
Another common and effective
model when Analytics is still
developing
CDO must be capable of
running an Analytics
organization

Common Organization
CIO
CDO
EDM EDG
CAO CTO
Occurs when the CIO is truly a
Chief Information Officer and
accountabilities are well-defined
Potentially inadequate
alignment with business goals
and operational execution

Proceed with Caution – Not “Chief” Anythings
CIO
CDO
EDM EDG
CAO CTO

Managing Areas of Gap and Overlap
 CDO
− May oversee all three capabilities areas
− Dominate “Govern” and “Manage”
 CAO
− Primarily “Use Data”
− May have, or believe they need,
oversight across aspects of more than
one capability area
 Highly collaborative
 Clear definition of accountability and
roles across EIM capabilities is
mandatory
• Measure Data Quality
• Develop Data Systems
• Publish Metadata and Model Data
• Ensure Data Privacy and Security
• Ensure Data Compliance and Data Controls
• Provide Data Access
• Manage Master Data
• Implement Data Directives
• Set Data Strategy
• Design Data Governance
Function /Accountability
• Execute Data Governance
• Set Data Directives
• Oversee measurements
• Communicate Data
Governance expectations
and accomplishments
• Ensure supporting
technology and process
• Manage Change
Manage Data
• Measure data quality
• Develop data Systems
• Publish metadata
• Model data
• Ensure data privacy
• Ensure data security
• Ensure data compliance
• Ensure data controls
• Provide data access
• Manage master data
• Implement data directives
Govern Data
• Set data strategy
• Design Data Governance function
• Assign accountability
• Execute Data Governance work
• Set data directives
• Communicate Data Governance
expectations/accomplishments
• Ensure supporting technology
and process
• Manage change
Use Data
• Manages the use of data
within organization (from
SQL queries to advanced
analytics)
• Execute planning and
strategy activity for Analytics
• Execute BI and Analytics
• Publish and subscribe
reports and data files

Common Scenarios of Gap and Overlap
 CDO brought in to lead
everything BUT analytics (CAO
was already there)
 CDO is hired but they are really a
good CAO, but lack the skills of a
full CDO. The CIO takes over BI
and Data Quality.
 CAO and CDO brought in with
nearly identical job descriptions
 Chief Digital Officer
Manage Data
• Measure data quality
• Develop data systems
• Publish metadata
• Model data
• Ensure data privacy
• Ensure data security
• Ensure data compliance
• Ensure data controls
• Provide data access
• Manage master data
• Implement data directives
• Set data strategy
• Design Data Governance function
• Assign accountability
• Execute Data Governance work
• Set data directives
• Communicate Data Governance
expectations/accomplishments
• Ensure supporting technology
and process
• Manage change
• Manages the use of data
within organization (from
SQL queries to advanced
analytics)
• Execute planning and
strategy activity for Analytics
• Execute BI and Analytics
• Publish and subscribe
reports and data files
Govern Data
Use Data

Organizational Success With a CDO or CAO
 To be effective organizational change agents, CDOs and CAOs should report to a
C-level executive, typically the CEO.
 To create an analytics-driven and data-literate culture, CDOs and CAOs should be
fanatical about aligning the enterprise to a single data vision and strategy for
meeting business objectives for current and future growth:
− Bridging the business and technology divide
− Instituting the value of data as an asset
 The CEO needs to understand these positions, or other C-levels will be able to
distort the messages
 The CDO or CAO, by definition, has authority. If not, they will fail.
 In general, data literacy needs to be raised across upper- and mid-management.

Organizational Success Without a CDO or CAO
 Uber sponsor
 Effective Chief Information Officer
 Some other “top data job”
− Jobs where data is a key business element already
 Chief Medical Officer
 Chief Customer Officer
− Historically data-intensive jobs, pre-CDO
 EVP of Data Management
 Head of Business Intelligence
 MDM Program Lead

Best Practices and Key Takeaways
 Install the CDO or CAO at a level where they can
exercise authority
 Define clear accountability based on a well-understood
and approved functional or capability model
 Avoid confusion
− Develop clear job descriptions
− Develop and communicate a clear reporting structure
 Interview candidates carefully, CAO and CDO
candidates may be coming from a background that is
inconsistent with accepted definitions

Please Share Your Questions and Comments
MONTHLY SERIES

Thank you for joining us today!
Our Thursday, August 2 #DIAnaltyics webinar is:
The Missed Promise of Hadoop and
New and Emerging Technologies.
John Ladley @jladley
john@firstsanfranciscopartners.com
Kelle O’Neal @kellezoneal
kelle@firstsanfranciscopartners.com

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