The Next-Generation CIO

By Courtney Macavinta

What do the CIOs of corporations such as Audi, Dupont and Viacom have in common? They have already seen their role shift from tech expert to business strategist and, in the next 10 years, will see their job descriptions evolve even further to include “global visionary,” according to a new report by Forrester Research.

The report, “Next Up: The 21st Century CIO,” by Forrester Vice President and Principal Analyst Bobby Cameron, details the changing role of the CIO over the past decade and projects the roles, responsibilities and challenges that these executives will face as of 2017.

Among the assertions: Technology is becoming more populist and adaptable, and CIOs need to as well.

“Their world is changing radically from what it was even a decade ago,” says Cameron. “The bottom line is that technology has become pervasive, so companies can't operate without it. At the same time, the world as a marketplace is becoming incredibly complicated and moving very fast. Globalization is a reality.”

So CIOs need to be able to take advantage of this landscape to connect with customers more readily and change relationships more rapidly, he adds. “That's the environment.”

To start thinking like a 21^st century CIO, here’s what CIOs need to focus on now, according to analysts:

• Move way beyond tech-talk It’s clear: The CIO role is no longer about just being a tech expert. Currently, 39% of CIOs come from non-technical backgrounds, Forrester reports -- and that number will only climb.

“It's a role that requires a very strong general manager and executive and not just a technologist,” says Paul Groce, partner head of global CIO practice for Christian & Timbers. “The No. 1 thing is to identify business needs, develop plans to support those needs, and successfully execute those initiatives. They need to articulate what they've done to make their company more successful.”

Cameron adds that CIOs must shift the focus from tech operations to the enterprise’s long-term business.

“A CIO who walks into the boardroom with a list of technology and timelines and projects -- the business executives just go to sleep,” he says. “If CIOs are running their business like a portfolio -- knowing what resources were requested, the business impact expected, and where the resources are being applied, then they've got it nailed.”

• Innovation is key As companies try to differentiate themselves in the 21^st century marketplace, innovating on the supply and business process management sides becomes even more mission critical. CIOs not only need to help drive their company’s tactics but to stay alert to the fact that all employees will be driving the internal use of Web 2.0 technologies.

  “IT’s job is to synchronize business utilization of technology to optimize business results,” Cameron says. “They need the ability to help drive business innovation and to help motivate new technology-based opportunities.”

  This could mean re-educating staff to help them focus on business plans and processes, not just IT projects and uptime. Moreover, IT staff will become more like business technology (BT) “super users,” Forrester’s report predicts. “They will include simplification czars, targeting complexities that will come with BT’s technology proliferation; innovation process managers, supporting business R&D experimentation; or customer-experience execs, applying scenario design to help business execs envision and create mash-ups to enable new partnerships or market models.”

• Focus on your development Cameron’s report adds that CIOs should join advisory boards and hone their political and social skills to create solid relationships with other executives. Groce suggests that CIOs should do job rotations to better understand the business. And when CIOs find themselves with the opportunity to participate in executive skills development programs, they need to think “that's something I want to raise my hand for,” Groce says.

  Properly primed CIOs of the future will have more influence over strategic decision-making and will find themselves more often sharing costs with other business unit leaders, which they can take the lead in spearheading cost savings, Forrester predicts. In addition, they will likely get more involved in sales and marketing by creating more technology-based relationships with partners.

The bottom line for the CIOs of today and tomorrow, says Cameron: "It's now about learning the business."

Courtney Macavinta is a Silicon Valley-based business and technology writer. Her articles have appeared on Web sites including CNET News and Inc., as well as print publications such as Business 2.0, Red Herring, Wired News, and The Washington Post. She is also the managing editor of the online program The Online Family.