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    CIOs losing business power

Power of chief information officers is falling as businesses are increasingly seeing IT as a support function, its making IT professionals restless, a survey by Harvey Nash has found.

By Nicole Kobie, 2 Oct 2007 at 16:05

Chief information officers (CIOs) are losing power over strategy as their fellow execs see IT as a support function, not a strategic driver, according to recruitment firm Harvey Nash.

Their annual survey of 650 UK high-level IT professionals has revealed that 46 per cent of CIOs are on the board, and just a third report directly to their chief executive.

Of those surveyed, one in ten said their role was becoming less strategic. While 61 per cent said the role of CIO was increasingly strategic, that's down 15 per cent from last year. Troubling, as chief financial officers agree with the sentiment - nearly half said that IT was purely a support function which does not need board representation.

John Whiting, managing director for UK business at Harvey Nash said: "It is a concern that the strategic influence of CIOs has eroded in recent years, but even more worrying is the restlessness this creates in the sector. This year alone has seen a 15 per cent increase in the number of technology leaders occupying their current role for less than a year."

IT professionals want more business involvement, the survey found. Some 28 per cent would quit their current position in order to be more involved in business strategy, and 29 per cent are already looking for such a new job.

But project failure rates aren't helping, the report found. Over three-quarters of respondents said their IT innovations achieved only limited success - not surprising as 65 per cent said they had no structure to their IT projects.

"The most effective and satisfied CIOs will remain those embraced by main boards, and those in environments which fully comprehend the critical influence of IT upon a company's success. In return, senior IT professionals clearly have to continue to prove that their contribution is intrinsic to success and growth," said Whiting.

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