Who Does The CIO Report To? Should They Report To Someone?

19 Nov

In recent blogs we’ve seen that the CIO is one of the most important employees to an organisation and even though they are not there yet in a few years could well be sitting at the top table management advising and working alone side the CEO and CFO. But at the moment, are they reporting to potential business partners and if so, is it bad this is happening?

Both Brian Watson online editor with CIO.com and Kim Nash columnist with CIO Insight say that it depends on the company’s strategy. Nash claims the CIO must report to the CEO otherwise they will risk losing authority and stature. Reporting to the CFO is a different, because will they are concerned with saving money and CFO’s view IT as a nonstrategic operation. However by reporting to the CFO, the CFO must understand IT and doing this IT may gain another supporter. Tom Nealon who spent years leading IT in organisations such as JC Penney an online retailer and Southwest Airlines a budget airline, both based in America says he reported to many executives throughout his working life and that it didn’t diminish his position or IT within an organisation, the important aspect of reporting to them was building relationships. Tim Theriault, CIO of Walgreens, an online pharmacy has a similar opinion as Tom Nealon, as he states “it’s a mistake” if a CIO doesn’t report to the CEO.

For organisations that have a narrow mind-set or measure the success of their technologies, Watson states that we normally hear reports that it’s best if CIO’s do report to the CEO. The next issue for management to overcome according to Watson is not to find innovative ways to deliver value to their customers, rather to find ways of delivering value at a lower cost. The technologies that allow for this aren’t cutting edge or experimental, however they are proven at cutting out waste and increasing efficiency.

So to conclude, I found it’s important for a CIO to report to the CEO as creating and maintaining a healthy relationship between  both is very important to the organisation, rather than the CIO feeling less important by not reporting.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: