Leadership

The Expanding Mandate of the CIO

By Natalie Sheffield

Leading with clarity in a complex digital era.

“The illiterate of the 21st century will not be those who cannot read and write, but those who cannot learn, unlearn, and relearn.” – Alvin Toffler

Few quotes better capture the reality that Chief Information Officers (CIOs) face in 2025. Technology is ever changing. Generative AI, predictive analytics, and automation are reshaping entire industries in real time. Customer expectations continue to rise, regulatory landscapes are tightening, and economic uncertainty has become the new normal.

CIOs must continuously adapt. Today’s technology leaders must not only anticipate change, but also continuously learn best practices, unlearn outdated practices, relearn the newest best practices, and build organizations capable of evolving at the speed of business.

Our latest CIO Insights Report 2025: Navigating Greater Responsibility in a New World surveyed hundreds of technology leaders to understand how they’re meeting this challenge head-on. What we found is that CIOs are stepping beyond their traditional roles, becoming enterprise-wide strategists, cultural change agents, and drivers of measurable business outcomes.

CIOs Are Now Enterprise-Wide Strategists

The days when CIOs were confined to “keeping the lights on” are long gone. According to our survey, 85% of CIOs say their teams now play a critical role in overall company performance. That’s because technology has moved from a support function to a core driver of competitive advantage.

Today’s CIOs aren’t just overseeing IT infrastructure. They are responsible for:

  • Leading digital transformation efforts that touch every corner of the organization.
  • Shaping data governance and cybersecurity, ensuring compliance in a volatile regulatory environment.
  • Enabling customer experience initiatives, from personalization engines to omnichannel service.

This expanded mandate means CIOs must build bridges across departments, speaking the language of both business outcomes and technical architecture. It’s a balancing act: pushing innovation forward while maintaining the operational stability that keeps the enterprise running.

Economic Headwinds Are Forcing Harder Tradeoffs

In an ideal world, technology budgets would expand in lockstep with organizational ambition. But we’re not in a perfect world.

  • 74% of CIOs report that the economic environment is more challenging than the previous year.
  • 68% have had to adjust their priorities as a result.

While 39% expect their budgets to grow, 35% anticipate flat funding. That puts tremendous pressure on CIOs to make strategic choices about where to invest.

The takeaway? Technology leaders must ruthlessly prioritize initiatives that drive measurable business outcomes. That often means saying “not now” to promising experiments that don’t tie directly to growth, risk mitigation, or operational efficiency.

Modernization, Security, and Experience

So where are CIOs focusing their energy in the year ahead?

  1. Modernization (47%) – Aging infrastructure hinders speed and scalability. CIOs are upgrading platforms and architectures to support future growth.
  2. Security and Risk Management (44%) – Rising cyber threats make it impossible to treat security as an afterthought. It’s now embedded in every transformation initiative.
  3. Customer Experience (40%) – As digital touchpoints multiply, delivering seamless, personalized experiences has become a strategic differentiator.

These priorities are interdependent. Modern systems are easier to secure and better equipped to power intuitive customer experiences. And customer-facing innovation will falter if it isn’t supported by resilient infrastructure.

Emerging Technologies Are No Longer “Optional”

When asked where they are investing, CIOs overwhelmingly pointed to tools that enable more intelligent, faster decision-making:

  • AI and Machine Learning (48%) – Intelligent automation is now table stakes for efficiency.
  • Data Science and Analytics (36%) – Real-time insights drive both strategic decisions and day-to-day operations.
  • Security Platforms (33%) – Protecting sensitive data and maintaining regulatory compliance remain top-of-mind.

The focus has shifted from experimenting with shiny new tools to building integrated, scalable solutions. It’s about embedding emerging technologies into the business’s core rather than bolting them on as isolated pilots.

Stability, Budgets, and Talent

Digital transformation is no longer a future aspiration; 66% of CIOs say they are actively leading modernization initiatives. But they face no shortage of obstacles:

  • Balancing innovation with stability (76%) – How do you upgrade systems without disrupting mission-critical operations?
  • Delivering business outcomes within budget (41%) – Inflationary pressures make it harder to hit both performance and cost targets.
  • Talent acquisition and retention (34%) – Specialized skills in cloud, AI, and cybersecurity are in high demand and short supply.

This is where many CIOs turn to trusted partners.

Technology Partners Are Key to Accelerating Transformation

Our research shows that 64% of CIOs leverage third-party partners for their digital transformation efforts, and 75% report high satisfaction with those collaborations.

The reason is clear a good partner brings the technical depth, capacity, and outside perspective that internal teams often lack. CIOs told us they look for partners who can deliver:

  • Proven success in complex projects
  • Innovative problem solving that aligns with long-term business goals
  • The right skillsets at the right cost

The best technology partners aren’t just “vendors.” They are strategic allies who help organizations move faster, avoid pitfalls, and maximize the ROI of their technology investments.

CIOs as Leaders of Cultural Transformation

Perhaps the most underappreciated aspect of the CIO role is cultural leadership.

As organizations embed AI and other digital tools deeper into operations, data security, privacy, and compliance become even more critical. CIOs must foster a culture of vigilance while encouraging teams to embrace change.

This is a high-wire act: you can’t transform at the pace of the market if your workforce is paralyzed by fear of making mistakes. CIOs must champion clarity, communication, and upskilling so their teams feel equipped for the future.

Practical Steps for CIOs to Succeed

Based on the findings from our CIO Insights Report, here’s how technology leaders can navigate this period of heightened responsibility:

  1. Align technology investments with top-line business priorities. Start with revenue growth, risk reduction, and operational efficiency. Everything else should ladder up.
  2. Double down on modernization. Legacy systems are often the biggest barrier to speed and security.
  3. Build a resilient security posture. Embed risk management into every initiative—not just as a compliance checkbox, but as a strategic imperative.
  4. Invest in your people. Upskilling existing staff can be just as important as recruiting new talent.
  5. Choose your partners wisely. Look for collaborators who can balance innovation with execution and bring fresh perspectives to your transformation efforts.

Why This Matters Beyond the CIO

For CEOs, CFOs, CMOs, and board members, the message is clear: the CIO’s success is the organization’s success.

Digital transformation has evolved from an “IT project” to a core pillar of business resilience. Companies that underfund or under-support their technology leaders risk falling behind competitors who understand that reality.

As CIOs continue to juggle security, modernization, customer experience, and cultural change, they need organizational alignment more than ever.

Moving Forward with Confidence

In times of uncertainty, it’s tempting to hit pause on big initiatives. But the CIOs we surveyed aren’t standing still. They’re moving forward with a clear-eyed understanding of the stakes and a willingness to make tough choices.

They know that technology is no longer just a cost center. It’s the foundation for growth, agility, and competitive advantage.

If you’re a CIO—or a business leader who works closely with one—now is the time to reframe your approach to digital transformation.

  • Are your technology investments directly tied to your business priorities?
  • Do you have the right partners in place to accelerate progress?
  • Are you balancing innovation with the need for operational stability?

If the answer to any of these questions is “not sure,” you’re not alone.

Get the Full Report

This blog is just a snapshot of what we uncovered. Download the full CIO Insights Report 2025: Navigating Greater Responsibility in a New World for deeper data, real-world examples, and actionable frameworks for leading through uncertainty.

In it, you’ll find:

  • Benchmark data on CIO budgets, priorities, and investments
  • Insights into how peers are addressing talent gaps and security challenges
  • Strategies for building a future-proof technology foundation

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