What’s the biggest risk for the CIO in 2015?

What’s the biggest risk for the CIO in 2015?

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CIO’s have a lot on their plate with digital capability, big data, disruptive technology and growing consumer expectations all driving a radical rethink of IT delivery across the government and business landscape.

The biggest risk for CIO’s however is not external, it is internal. Over the last few years, with the increasing availability of cloud–based solutions business has, in many organisations, taken on the role of provisioning its own IT. After all, there are an enormous range of software, apps and services that are cloud –based for example Microsoft 365, Dropbox, as well as recruitment and marketing services. All it takes these days is a corporate credit card. According to Cloudability, 86 per cent of companies (3200 were surveyed worldwide) use multiple cloud services, with the average being 4.2 services.[1]

Of course, unwitting use of the cloud doesn’t mean appropriate or safe use of the cloud either, so there are a whole range of policy and security issues that are enough to keep any CIO awake at night.

In many cases, this role for business is the unintended consequence of a growing drive within the business for greater agility. Often, central IT is seen as a blocker or too slow in meeting emerging business needs. A recent survey of 930 executives suggests they are moving quickly to adopt cloud-based solutions, regardless of whether their CIO and central IT are on board or not.[2]

The risk for CIO’s is that they are unable to demonstrate the continuing value of central IT in the digital age. They need to change the view that they are ‘no’ people, to a view that they are ‘yes’ people, who are ready and willing to work with business to enable them to meet their business outcomes. Without a value proposition that meets the business need there is the potential for IT decision-making, and more importantly the budget, to be driven by business without the strategic, specialist input a CIO and central IT capability can bring to the decision-making process.

The RightScale survey does also suggest that CIO’s are becoming more comfortable with cloud solutions and more confident in their ability to provide solutions that meet organisational security and other policy requirements. It is however critical, that CIO’s are not reactive to the opportunities that cloud solutioning offers for infrastructure, software, analytics, storage and DevOps. Rather they need to be leading the strategic conversation within their organisation on the future IT requirements to empower business.

[1] www.cloudability.com

[2] RightScale 2015 State of the Cloud Report

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Michael Bretton