AWS has launched a collaborative analysis report on the position of the up to date Chief Knowledge Officer that displays on how the place and its priorities have advanced. “CDO Agenda 2023: Prioritizing Enterprise Worth Creation,” explores how CDOs are at a crossroads between specializing in enhancing knowledge infrastructure and governance or delivering enterprise worth by analytics and AI.
Along with analytics professional Tom Davenport and MIT Chief Knowledge Officer and Data High quality Symposium (CDOIQ), AWS started analysis on the position of CDOs earlier this 12 months relating to what makes them profitable, what retains them up at night time, and, finally, what they understand their long-term worth to be, in response to AWS enterprise strategist and evangelist Phil Le-Brun.
Key findings of the report embrace how 50% of CDOs serving right now are first time CDOs, and there are challenges related to this comparatively new position. The precise parameters of the job are in query for some, with 19% of respondents reporting having an unclear job definition and 16% revealing their job definition is overly broad. Moreover, 62% of respondents acknowledged they really feel the CDO position is much less understood than different C-level roles. This hazy aura surrounding the job might have one thing to do with evolving expectations of what CDOs are supposed to accomplish.
To begin with, the report reveals that knowledge governance is the very best precedence for CDOs, with 45% responding that “establishing clear and efficient knowledge governance” is their prime accountability. Knowledge governance initiatives had been the second highest process the CDOs listed as occupying at the very least 20% of their time. “In our view, knowledge governance initiatives require a extra strategic focus throughout the group, as governance is a shared accountability and a troublesome means so as to add worth as a CDO. Governance entails altering the habits of knowledge customers and getting enterprise capabilities and models to take extra accountability for knowledge administration,” acknowledged the report.
As proof for this extra strategic focus, some CDOs are emphasizing “governance by design” and enhancing the convenience of knowledge consumption quite than the standard exhortation approaches to vary person habits, says AWS. The report revealed that almost all of a CDOs time is spent on data-driven tradition initiatives and altering habits round knowledge, in response to 69% of the responding CDOs. Organizational habits and attitudes had been cited as an issue by 62%, and 55% say the shortage of a data-driven tradition is a problem in assembly enterprise aims.
Maybe considerably surprisingly, CDOs aren’t spending as a lot time on fraud prevention, knowledge breaches, or different safety measures. Solely 18.5% reported spending at the very least 20% of their time on cybersecurity points. As an alternative of specializing in “defensive” actions like knowledge safety, prevention, and compliance, many are discovering themselves on the offense: AWS says CDOs are more and more taking over a “knowledge offense” technique so as to shortly exhibit enterprise worth. This technique contains growing revenues and income by enhanced operations, enhancing buyer relationships and advertising, and enabling new merchandise and enterprise processes.
This offensive method shouldn’t be as shocking if one considers how the position has advanced. The position is newer within the C-suite, as Capital One is alleged to have invented it in 2002. Within the early days, danger administration was a spotlight for CDOs as they had been accountable for safety, privateness, and accuracy of the information. Nonetheless, as Datanami’s Alex Woodie has reported, as extra corporations have added CDOs and the tech panorama has progressed, CDOs are more and more utilizing superior analytics and AI methods for offensive functions to show the worth of knowledge to stakeholders.
Whether or not on the defensive or offensive, CDOs appear to measure their very own success based mostly on getting extra completed with the information. AWS says the survey and interview responses present that CDOs are primarily centered on enterprise aims quite than purely technical elements. Solely 2% outline their success as based mostly on stopping knowledge issues, however 42% outline their success when it comes to enterprise aims achieved. Even these CDOs with primarily technical backgrounds are about seven instances extra more likely to outline their success when it comes to enterprise or organizational aims achieved than when it comes to technical aims achieved, the report acknowledged.
The crossroads between governance and enterprise worth appear to be converging and are maybe extra parallel than crossed. The report concludes with the concept that a hybrid method of specializing in enterprise worth by analytics and AI tasks whereas growing knowledge infrastructure and governance by the context of these tasks is more likely to persist, “There is just too a lot knowledge to be managed and consumed, and organizational knowledge is turning into too priceless a enterprise asset for a senior govt to not be in control of knowledge and the way it’s utilized to enterprise issues and alternatives,” the report mentioned.
For the analysis, Tom Davenport, creator of books equivalent to “Competing on Analytics” and “The AI Benefit,” surveyed over 350 knowledge executives in CDO and comparable roles and straight interviewed 25. Obtain and browse the report at this hyperlink.