LONDON, UK, 10 September 2024 – The latest report published by Data Leaders reveals that Chief Data Officers (CDOs) are at a pivotal moment in the evolution of their role, transitioning from data management leaders to business transformers by implementing AI at scale within their organisations.

The report, Voice of the Chief Data Officer 2024, is produced in partnership with Databricks, the data and AI company, and is based on the insights shared by 40 leading CDOs and technology leaders during the two-day Guild CDO think tank. Among the contributors are CDOs from FrieslandCampina, Syngenta, BAE Systems, and Macmillan Cancer Support.

The insights reveal:

CDOs have reached a tipping point in scaling AI, transitioning from proof-of-concept to tangible business impact.

CDOs with leadership and organisational buy-in are increasingly executing value-driven data initiatives in partnership with stakeholders, embedding data in strategic projects, securing incremental investment, and delivering financial and societal outcomes.

Strategies leading them to this critical point include investing in high-quality, wide-reaching data engagement programmes, maintaining a disciplined focus on rapid delivery, and using “data therapy” to deeply understand organisational needs.

However, Data Leaders benchmarking data highlights the ongoing challenge in fully leveraging data in organisations, with 57% of data teams saying decision making is not backed up by data and 58% saying there is not a good level of data literacy among their Executive Committees.

Lack of data readiness among key challenges blocking AI deployment despite pressure on CDOs to deliver at pace.

CDOs cite lack of data readiness as the biggest hurdle to scaling AI and, more recently, generative AI, alongside other challenges such as cost, lack of explainability in LLM models, talent recruitment, and cultural resistance.

Data Leaders benchmarking data supports this, revealing that just 31% of organisations have an established global data architecture, 30% have global data governance in place and just 25% have a global data quality programme in place. When polled, only 38% of think tank contributors have assumed responsibility for generative AI integration, despite pressure from their leadership teams to do so, highlighting a gap between expectation and practical application.

CDO role expected to diverge as AI integration increases.

Data Leaders data shows that just 11% of CDOs report into the CEO. However, as AI integration becomes central to corporate strategy, CDOs will either lead company-wide transformation or focus their technical strengths on maintaining and enhancing critical data capabilities. This divergence underscores the need for organisations to clearly define the responsibilities of their CDOs and to ensure they hire the right profile.

“Voice of the CDO 2024 demonstrates that organisations are finally recognising that strategic AI integration is the future of their business and are rightfully supporting CDOs to lead this transformation, investing in robust data foundations and aligning them with strategic objectives. These organisations are poised to accelerate their business transformation while those who do not recognise data and AI as a core competency risk backsliding in the new AI-driven environment,” said Pascal Clément, Co-Founder and Executive Chairman at Data Leaders.

“For CDOs to truly achieve success and transformation, they must recognise the foundational elements and driving forces behind this: leadership, strategic integration of AI, and a data-engaged culture. Unfolding implications of AI continue to raise questions over the future of business, the fast-evolving role of CDOs, as well as society at large, creating many new challenges. We are thrilled to be a part of “Voice of the CDO 2024″ report, which encapsulates all of this – providing excellent guidance, and more,” said Dael Williamson, EMEA Field CTO, Databricks.

Richard Pope, Co-Founder and CEO, Data Leaders added: “CDOs face challenges at every step of the data and AI-enablement journey. Voice of the CDO 2024 provides real-life successes and practical advice valuable to all CDOs regardless of their industry or maturity.”

Data Leaders optimises the performance of data, analytics, and AI functions by delivering best practices, intelligence, and strategic services for Chief Data Officers (CDOs) and their leadership teams. As the trusted partner for enterprise data leaders, we provide a secure, collaborative environment that unlocks the collective expertise of global data executives, driving value at scale. Our mission is to support CDOs in building an AI-powered future that drives sustainable business growth, helps people prosper, and protects the environment.

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