Chief Data And Analytics Officer Role Evolution
As the position of the data and analytics function evolves, so too does its senior-most leadership role. The chief data and analytics officer (CDAO) or equivalent role is primarily responsible for generating value through the organization’s data and analytics assets and ecosystem. What is impacting this role and how is it evolving?
One minute insights:
While the CDAO title is not uncommon, chief data officer (CDO) remains the most widely-used title for the senior data and analytics role
Changing data ecosystems and customer expectations are impacting the CDAO or equivalent role
Most CDAO or equivalent roles have evolved over the past year and gained more influence
The top challenges these leaders face are also evolving, with many pointing to complex data infrastructure and cybersecurity threats in 2023
The actual title of the CDAO or equivalent role varies, as does the reporting structure
For most, the title of the senior data and analytics leadership role is the CDO (45%), but 20% are using the CDAO title.
What is the title of the senior data and analytics leadership role at your organization?†
*Other titles: Director Comms Planning; Chief Accountability Officer; CTO - Data; IT Director; Director, Information Systems; Director of Finance; Chief Data Science Officer; Head IS; SVP data products; Chief data technology officer; Director of institutional research
n = 327
†The senior data and analytics leadership role is defined as “a leadership role primarily responsible for value creation through the organization’s data and analytics assets and ecosystem (i.e., Chief data and analytics officer or equivalent).” Respondents who did not have such a role were eliminated from the survey.
43% of respondents say their senior data and analytics leader reports to the CIO, while 22% say they report to the CEO.
Who does the senior data and analytics leader report to at your organization?
*Other titles: CHRO, VP of applications, Chief Medical Officer (CMO), CDO, Chief Product Officer, General Manager, president
n = 327
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I think the CDO role is still evolving[.] Management also does not really know the worth [and] expectations from the role.
Data and Analytics role is becoming an integrated part of the business over [the] few past years. Earlier, it was used to just [do] reporting, fancy dashboards. There was resistance in budget for new tools. Now business has started unlocking the true value of analytics.
The data ecosystem and customer expectations have significant impacts on the CDAO role
25% of respondents believe that the changing data ecosystem has had the biggest impact on the senior data and analytics leadership role over the past year. 23% attribute the greatest impact on this role to customer expectations.
What had the biggest impact on the senior data and analytics leader’s role over the past year?
Political landscape (e.g., compliance, mandates) 6%, Business and board pressure for innovation 2%, Business and board pressure for project delivery 1%, Supply chain disruptions 1%, None of these 1%, Other 0%
n = 327
More than two-thirds (64%) of respondents believe that their senior data and analytics leader should use the next year to focus on the organization’s data architecture and ecosystem.
What should your senior data and analytics leader focus on for the next year?
Data and analytics tools 26%, Business needs 21%, Managing costs 15%, None of these <1%, Other 0%
n = 327
The need for better decision support and actionable insights at the customer level is driving the need for more maturity in the data analytics function.
Data management and analytics tools are evolving rapidly. Especially when organizations are moving data from on-premise to cloud servers, there [is a] lack of expertise in the teams managing data.
Most say the CDAO or equivalent role at their organization has evolved over the last year and gained more influence on business decisions
81% of respondents agree that the role of their senior data and analytics leader has evolved over the past year.
To what extent do you agree with the following: “The role of our senior data and analytics leader has evolved over the past year.”
82% say their senior data and analytics leader has more influence on business decisions compared to a year ago.
Has your senior data and analytics leader’s degree of influence on business decisions changed compared to a year ago?
They have significantly less influence 0%
n = 327
Information is more critical to the decision makers so the role should expand and be allocated more resources.
The role is constantly evolving and requires both leadership and peer support to be successful.
Complex data infrastructure and cybersecurity threats are top challenges in 2023, which have changed compared to a year ago
61% of respondents think that complex data infrastructure is one of the top challenges for their senior data and analytics leader in 2023. 50% believe that cybersecurity threats will pose a major challenge.
What are the top challenges for your senior data and analytics leader in 2023?
Business still views data and analytics as a cost center 17%, Lack of buy-in from business leaders 10%, Poor data quality 8%, Limited talent pool 8%, Complex or changing data regulations 7%, Budget limitations 6%, Business still views data and analytics as a service provider 6%, None of these 1%, Other 1%
n = 327
86% say the top challenges their data and analytics leadership role faces have changed compared to a year ago, with 14% saying they are significantly different.
To what extent are these challenges different compared to a year ago?
The focus has been shifting toward security/privacy of data.
The senior data and analytics leadership role is evolving to become more strategic, collaborative, tech-savvy, and focused on ethics and governance.
Data and the technology for leveraging the value of data are exploding in importance and complexity, particularly with the potential of AI.
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Respondent Breakdown
