1. Info-Tech Research Group1 1 Info-Tech Research Group, Inc. is a global leader in providing IT research and advice. Info-Tech’s products and services combine actionable insight and relevant advice with ready-to-use tools and templates that cover the full spectrum of IT concerns. © 1997-2015 Info-Tech Research Group Inc. Become a Strategic CIO Create a personal development plan to take your CIO career to the next level.

2. Info-Tech Research Group2 2 This Research is Designed For:This Research Will Help You: This Research Will Assist:This Research Will Help You: This Research Is Designed For:This Research Will Help You: This Research Will Also Assist:This Research Will Help Them: Our understanding of the problem CIOs running a stable and trusted IT department. CIOs seeking to become a strategic business partner. CIOs looking to develop strategic business competencies and pursue personal development initiatives. Develop the core competencies required to become a strategic CIO. Become a business-facing CIO. Build and manage relationships with executive level stakeholders. Create a personal development plan to advance your career. Chief Technology Officer (CTO) Chief Digital Officer (CDO) Chief Marketing Officer (CMO) Understand the expectations that executive business leaders have for IT. Uncover the various actions and activities that may be pursued to fast-track career development.

3. Info-Tech Research Group3 3 Resolution Situation Complication Info-Tech Insight Executive summary As a CIO, you are currently operating in a stable and trusted IT environment, but you would like to advance your role to strategic business partner. CIOs are often overlooked as a strategic partner by their peers, and therefore face the challenge of proving they deserve a seat at the table. Executive business leaders’ expectations are constantly changing and are often difficult to uncover. CIOs are unsure of where to focus their efforts to prove their value to their peers as a business leader. Many CIOs fail to plan for their personal development. Create a Personal Development Plan and Stakeholder Management Strategy to accelerate your career and become a strategic business partner. For a CIO to be considered a strategic business partner, he or she must be able to: ◦ Act as a business person that works in IT, rather than an IT person that works for the business. This involves meeting executive stakeholder expectations, facilitating innovation, and managing stakeholder relationships. ◦ Align IT with the customer. This involves providing business stakeholders with information to support stronger decision making, keeping up with disruptive technologies, and constantly adapting to the ever changing end-customer needs. ◦ Manage talent and change. This involves performing strategic workforce planning and being actively engaged in identifying opportunities to introduce change in your organization, suggesting ways to improve, and then acting on them. 1.To become a strategic business partner, you must think and act as a business person that works in IT, rather than an IT person that works for the business. 2.Career advancement is not a solo effort. Building relationships with your executive business stakeholders will be critical to becoming a respected business partner.

4. Info-Tech Research Group4 4 Developing strategic CIO competencies will benefit both you and your organization Personal development planning is often seen as an individual effort, isolated from the organization and intended for personal benefit. However, this is not the case. By developing the strategic competencies Info-Tech has identified and completing this blueprint, you will not only realize personal benefits, but also deliver increased value at your organization. Increased alignment with business peers and corporate initiatives. Decrease in costs as the CIO and IT have greater transparency into business operations and opportunities. CIO working closer with business partners, identifying opportunities to generate revenue. Truly understanding and meeting the expectations of executive business stakeholders. Organizational Benefits Increased tenure as CIO at your organization. Increased job satisfaction by pursuing initiatives you are passionate about. Increased compensation and perks. Increased opportunity as executive peers realize your commitment to the organization and desire to become a strategic business partner. Building of strong executive stakeholder relationships and leveraging them to advance your career. Individual Benefits

5. Info-Tech Research Group5 5 The tenure of the CIO is limited A 2014 study of CIOs in the United States, South America, and Europe shows that the tenure of a CIO is quite limited, with a median tenure of only 4 years and 4 months. However, the likelihood of a long career increases substantially for those CIOs that make it past the 2 year mark. Median Tenure: 4 years, 4 months Length of Tenure Percentage of Respondents Source: Janco Associates, Inc. “CIO Median Tenure Moves to 4 Years”

6. Info-Tech Research Group6 6 In the same survey, when asked how to improve performance, respondents selected to simply replace IT leadership Respondents were asked to select initiatives that would improve IT performance. Shockingly, 20% of respondents elected to simply replace IT management with new leadership. More shockingly, the majority of those respondents were IT leaders themselves. 80% 20% 20% of all respondents believe new leadership will improve performance Source: McKinsey & Company. IT Under Pressure: McKinsey Global Survey Results Respondents not selecting replace IT management, 80% 13% of IT leaders believe new leadership will improve performance 7% of business leaders believe new leadership will improve performance

7. Info-Tech Research Group7 7 Furthermore, business stakeholders’ satisfaction with IT continues to decline Source: McKinsey & Company. IT Under Pressure: McKinsey Global Survey Results. From 2011-2013, satisfaction among executives regarding IT’s ability to meet key business objectives dropped steadily. Most notably with respect to revenue generating objectives such as product creation and entering new markets. These findings are contrary to other surveys that indicate that IT has matured and increased its capability. The discrepancies could be attributed to rising expectations of IT. As IT improves, the business will demand more.

8. Info-Tech Research Group8 8 C-level stakeholders are not satisfied with the CIO’s ability to be a strategic business partner Source: Info-Tech CIO-CXO Alignment Diagnostic. N=215 Info-Tech asked over 200 C-level business stakeholders to rate their satisfaction with their CIO’s performance as a business partner on a scale from 1 (low satisfaction) to 7 (high satisfaction). More than 70% of business stakeholders rated their CIO as a 5 or lower. The most shocking finding was that only 27% of business stakeholders were very satisfied with their CIO’s performance as a business partner.

9. Info-Tech Research Group9 9 CIOs have the potential to take their career to the next level. To do so, they must demonstrate to the business their capability to drive the organization toward their strategic goals. It is time for CIOs to step up to the plate and become a strategic business partner According to a study conducted by IDC: ◦ By 2017, 40% of CIOs will rise to the challenge of becoming strategic partners. ◦ The primary role of the CIO will shift from directly managing IT to becoming strategic business partners. Furthermore, a survey conducted on IT leaders by CA Technologies indicates an advancement in IT’s role over the next three years. (Refer to the chart on the right.) Source: IDC Study. “Worldwide CIO Agenda Top 10 Predictions” Source: CA Technologies. “Tech Insights Report: The Changing Role of IT and What to Do About It” Primary Business Role of ITTodayIn 3 Years Strategic business partner and advising the business 30%35% Improving the customer experience29%35% Broker for IT services supporting the business 20%17% Driver of new business initiatives14%25% Developer of innovative products/services 11%17% Adapted from CA Technologies

10. Info-Tech Research Group10Info-Tech Research Group10 Info-Tech has identified three obstacles preventing the CIO from becoming a strategic business partner Acting as a business leader 1 1 Aligning IT with the customer 2 2 Managing talent and change 3 3 1 1 2 2 3 3 Look for this diagram at the top of each page to keep track of which failure is being discussed. To determine what is needed from tomorrow’s CIO, Info-Tech examined core areas where the CIO continues to struggle.

11. Info-Tech Research Group11Info-Tech Research Group11 CIOs and their IT departments are failing to meet business stakeholder expectations 1 1 2 2 3 3 Source: Info-Tech CIO Business Vision Diagnostic. N=2369 According to Info-Tech’s Business Vision survey conducted on over 2,300 executive level business stakeholders: Only 53.8% of business leaders are satisfied with IT core services. While less than 40% are satisfied with IT’s ability to deliver solutions that satisfy business capability needs. Some of these findings may be attributed to the CIO’s inability to: Effectively manage stakeholder relationships. Understand the capability needs of business partners. Enable innovation to help business stakeholders capitalize on technology opportunities.

12. Info-Tech Research Group12Info-Tech Research Group12 The CIO needs to focus on the needs of the business, how the business works, and how to support it. CIOs must look at themselves as a business leader that works in IT Too often, the CIO suffers from focusing solely on maximizing IT efficiencies and “keeping the lights on.” There needs to be an increased focus on aligning IT with the business. According to Info-Tech’s CIO-CXO Alignment survey results (see chart on the right): ◦ More than 60% of executive level stakeholders believe the CIO does not clearly understand their business goals. ◦ Furthermore, only 23% of executive level stakeholders believe their CIO has developed an IT strategy that is effectively aligned with their corporate strategy and desired capabilities. See Info-Tech’s blueprint, Decode the Corporate Strategy, to learn more about successfully aligning IT with the business strategy to drive success.Decode the Corporate Strategy 1 1 2 2 3 3 Source: Info-Tech CIO-CXO Alignment, N=120

13. Info-Tech Research Group13Info-Tech Research Group13 A CIO must be able to use alliances and partnerships strategically to benefit both the business and themselves. CIOs continue to struggle with managing their business stakeholder relationships A survey conducted by EY on over 300 CIOs indicates building relationships with executive level stakeholders to be the number one factor for taking a CIO’s career to the next level. Nevertheless, CIOs continue to struggle with this task. Why? 1.Stakeholders can be difficult to identify; it is often hidden stakeholders that unexpectedly derail initiatives. 2.Prioritizing and understanding which of your stakeholders are most important can be complex and time consuming. 3.CIOs are unaware of the different stakeholder management strategies to properly engage the different stakeholder types. 4.CIOs fail to track their stakeholder satisfaction levels and benchmark their performance, primarily because they are unaware of which metrics to use. See Info-Tech’s blueprint, Manage Stakeholder Relations to learn about identifying, prioritizing, and engaging different types of stakeholders.Manage Stakeholder Relations Adapted from: EY. “The DNA of the CIO. Opening the Door to the C-Suite” 1 1 2 2 3 3

14. Info-Tech Research Group14Info-Tech Research Group14 Stakeholder management is critical to CIO success Source: Booz and Company, Memo to the CEO In a study conducted by Booz & Co. of over 60 CIOs, the number one success factor for a CIO is “strong stakeholder management skills.” Every CIO interviewed emphasized the importance of stakeholder management and strong partnerships with the business. More than 75% of CIOs focus on “people and skills” when they first enter a CIO role. 1 1 2 2 3 3

15. Info-Tech Research Group15Info-Tech Research Group15 CIOs must demonstrate value creation for the business. IT is well positioned to facilitate innovation given their insights into business processes and the needs of multiple business units. Business stakeholders expect IT to facilitate and enable innovation at their organization Source: Info-Tech CIO Business Vision Diagnostic. N=2273 of CEOs believe that innovation drives efficiencies and competitive advantage. PwC 14th Annual Global CEO Survey. PwC, 2011PwC 14th Annual Global CEO Survey 1 1 80% of highly innovative companies make primary IT investments into growth initiatives and leveraging emerging trends. Raising your digital IQ, PwC’s 4 th annual digital IQ survey. 2012 Raising your digital IQ, PwC’s 4 th annual digital IQ survey 1 1 73% The Modern CEO Expects Innovation 1 1 2 2 3 3 Only 32% of executive level business stakeholders are satisfied with IT’s ability to innovate. CIOs must make innovation leadership a priority to be seen as a strategic business partner. See Info-Tech’s blueprint, Kick-Start IT-Led Business Innovation, to get started on identifying business pains and ideating impactful solutions.Kick-Start IT-Led Business Innovation

16. Info-Tech Research Group16Info-Tech Research Group16 The failure of many IT departments to innovate, coupled with strong corporate interest in innovation, creates an opportunity for CIOs to shine. IT is perfectly suited to be facilitating innovation, but is often unable to deliver There are few business processes that do not touch IT, and each of these touch points presents an opportunity for innovation. Why isn’t the CIO capitalizing? The things that make IT an effective service provider, like adherence to standards, risk management, and compliance, will also discourage innovation. 1 ◦ Ideas might be generated, but fear of failure prevents anyone from acting on them. Despite efforts to innovate, building a culture of innovation remains a challenge. ◦ In a recent study, only 34% of IT leaders rated themselves as effective at introducing IT innovation that drives competitive advantage. 1 Other common reasons for lack of innovation include: ◦ CIOs failing to put a process in place to facilitate ideation and build prototypes. ◦ Lack of adequate resources and funding. ◦ Failing to receive business buy-in for projects. ◦ CIOs not working closely enough with their business partners to identify and understand their pain points. 1 Source: “The next frontier in IT strategy: A McKinsey Survey.” McKinsey & Company, 2007. 1 1 2 2 3 3 It is not that innovation is the wild west, it’s that innovation is the other side of everything that made you successful. - Jim Stikeleather, Chief Innovation Officer, Dell Services Info-Tech Insight Not all initiatives need to be transformational or revolutionary. They can incremental or evolutionary. Providing a simple solution for a business partner that is experiencing an irritating or annoying pain will go a long way.

17. Info-Tech Research Group17Info-Tech Research Group17 The rise of digital technologies presents the CIO with an excellent opportunity to influence the success and strategic direction of their organization. Business leaders believe providing information to support decision making should be IT’s top priority The CIO will need to partner even closer with their business peers, specifically the CMO and CDO, to truly understand their business intelligence capability requirements. A strategic CIO must demonstrate the “art of the possible” to business stakeholders. The CIO must be able to: Use business intelligence to coax insights out of their data to help shape business strategies going forward. Speak with the business stakeholders, understand what capabilities they need, and provide solutions that allow decision-makers to extract data-driven insights. Anticipate future internal and customer service needs and incorporate them into goal setting, products, and services. 1 1 2 2 3 3 A study by McKinsey reveals business executives believe providing managers with information to support decision making should be IT’s top priority. Adapted from: McKinsey. “Why CIOs should be business-strategy partners”

18. Info-Tech Research Group18Info-Tech Research Group18 The CIO must present analytics in a fashion that allows business stakeholders to generate meaningful insights, and ultimately drive better decision making. Make data simple and present analytics that align with the needs of business stakeholders According to Info-Tech’s Business Vision survey: Only 27% of executive business stakeholders are satisfied with their customer-facing technologies. Also less than 35% are satisfied with their current BI, reporting, and analytical capabilities. Refer to Info-Tech’s blueprint, Develop a Winning BI Strategy, to ensure your key decision-makers are armed with the right information. Develop a Winning BI Strategy Source: Info-Tech CIO Business Vision Diagnostic. N=2273 1 1 2 2 3 3

19. Info-Tech Research Group19Info-Tech Research Group19 CIOs who do not keep up with disruptive technology trends will find their role diminished 1 1 2 2 3 3 Advance your role as CIO Trends like cloud services and consumerization reduce the need for IT to be involved in every aspect of deploying and using technology. In the long-term, machines will replace even intellectually demanding IT jobs, such as app development and high-level planning. Advance your role as CIO by: Anticipating new technologies that will disrupt the IT department and respective business partners. Defining new IT roles and responsibilities that accurately reflect the reality of technology today. Having a process in place for the above that does not diminish your ability to keep up with everyday operations that remain a priority today. Protect your role against others The trends that make IT less involved with technology allow other executives, such as the CMO and CDO, to make IT investment decisions on their own. As the CMO and CDO gain the power and data necessary to embrace new trends, the CIO role is threatened by a loss of control. Protect your role in the business by: Being the individual to consult about new technology. It isn’t just a power play; the CIO should be the one who thoroughly knows technology. By establishing this position, you will also address shadow IT issues. Working closely with your business partners to understand their capability needs and identify which technology trends would be most beneficial to them. Becoming an indispensable part of the entire business’s innovation strategy through proposing and executing on a process for exploiting disruptive technology. See Info-Tech’s blueprint, Exploit Disruptive Technology to Drive IT Efficiency and Business Opportunity, to develop a process for anticipating, analyzing, categorizing, and exploiting disruptive technology.Exploit Disruptive Technology to Drive IT Efficiency and Business Opportunity

20. Info-Tech Research Group20Info-Tech Research Group20 A strategic CIO must establish plans to acquire and grow their IT talent, delegate authority effectively, and secure the resources needed to ensure organizational success. Talent identification, retention, and management continue to be key issues that CIOs struggle with Info-Tech recently conducted a CIO Outlook Survey on over 300 IT leaders. Each leader was asked “What are your five biggest challenges that are furthest away from resolution?” (see the results on the right). ◦ The most often acknowledged, unresolved challenges were HR-related areas such as skills identification, staffing, and retention. Another report released by Robert Half Technology focused on the projected hiring plans and pains for CIOs in the first half of 2015: ◦ A shocking 66% of CIOs are concerned about losing top IT professionals to other job opportunities in the next year. ◦ Furthermore, 77% of CIOs are finding it challenging to secure IT staff with the correct skills to drive corporate initiatives. See Info-Tech’s solution set, Optimize the Performance of A, B, and C Players to drive better performance with effective management techniques for every player on your team.Optimize the Performance of A, B, and C Players 1 1 2 2 3 3 Source: CIO Outlook Report 2014, Info-Tech Research Group, N = 314 Source: Robert Half Technology IT Hiring Forecast and Local Trend Report, N=2400 26% 24% 22% 14% 12% 11% 10% Human Resources Issues Budget & Resource Limitations IT Alignment with Business & Other Partners Integration Adapting to Changes in Technology Governance, Risk, and Compliance Increase Efficiency Big Data & BI Legacy Systems, Applications, and Infrastructure Upgrade Process Improvement Top Challenges By % of Respondents

21. Info-Tech Research Group21Info-Tech Research Group21 CEOs and CIOs are both experiencing the pain of talent crisis. Overcoming the many challenges of managing talent can demonstrate your ability as CIO to become a strategic business partner and impress your CEO. Managing the talent crisis is also at the top of your CEO’s agenda 1 1 2 2 3 3 Source: PwC. “The Talent Race Is Back On.” N=1201 In a study conducted by PwC, CEOs indicated strategies for managing talent will be the biggest change to their organizational models over the next 12 months. Each CEO was asked what the key obstacles are to managing talent. 66% of respondents indicated that a limited supply of candidates with the right skills is the biggest obstacle. *Adapted from PwC

22. Info-Tech Research Group22Info-Tech Research Group22 CIOs continue to be in an environment that is at the forefront of change. They must become comfortable with change themselves, but also develop the skills to lead others through it. Strategic CIOs must have the ability to introduce and effectively manage change in their organization 1 1 2 2 3 3 CIOs looking to become a strategic business partner will need to build credibility by exhibiting the ability to be a strong change agent in their organization. This is accomplished by: Actively identifying opportunities to introduce change in your organization, suggesting ways to improve, and then acting on them. Creating and communicating a clear vision for change initiatives to team members and business partners. Communicating the alignment of change initiatives to business goals to boost motivation of team members and secure buy-in. Actively monitoring employees’ responses to change and working to bring them to acceptance. Change failure is exceedingly prevalent. According to a study conducted by Towers Watson: ◦ Only 55% of organizations experience the initial value of a change. ◦ Even fewer organizations, a mere 25%, are actually able to sustain change over time to experience the full expected benefits. Info-Tech Insight Small changes may sometimes go unnoticed, therefore it is important to consistently communicate achievements to team members and business partners. This will ensure you are demonstrating your value as a change leader and will also encourage key stakeholders to engage you more frequently in business projects. Source: 2013 Towers Watson Change and Communication ROI Survey

23. Info-Tech Research Group23Info-Tech Research Group23 Use these icons to help direct you as you navigate this research This icon denotes a slide where a supporting Info-Tech tool or template will help you perform the activity or step associated with the slide. Refer to the supporting tool or template to get the best results and proceed to the next step of the project. This icon denotes a slide with an associated activity. The activity can be performed either as part of your project or with the support of Info-Tech team members, who will come onsite to facilitate a workshop for your organization. Use these icons to help guide you through each step of the blueprint and direct you to content related to the recommended activities.

24. Info-Tech Research Group24Info-Tech Research Group24 Info-Tech offers various levels of support to best suit your needs Info-Tech Involvement DIY Toolkit Guided Implementation Onsite Workshop Consulting “Our team has already made this critical project a priority, and we have the time and capability, but some guidance along the way would be helpful.” “Our team knows that we need to fix a process, but we need assistance to determine where to focus. Some check-ins along the way would help keep us on track.” “We need to hit the ground running and get this project kicked off immediately. Our team has the ability to take this over once we get a framework and strategy in place.” “Our team does not have the time or the knowledge to take this project on. We need assistance through the entirety of this project.” Degree of Customization Diagnostics and consistent methodologies throughout all four options

25. Info-Tech Research Group25Info-Tech Research Group25 Best-Practice Toolkit 1.1 Analyze the Strategic CIO Competencies 1.2 Conduct CIO Business Vision 1.3 Gather Information From C-Level Executives 2.1 Assess Strategic CIO Competencies 2.2 Assess Stakeholder Relationships 3.1 Take Control of Your Personal Development 3.2 Manage Stakeholder Relationships 4.1 Track Your Development Guided Implementations Analyze Competencies Assess Business Stakeholder Satisfaction Gather Information Evaluate Strategic CIO Competencies Evaluate Business Stakeholder Relationships Take Control of Your Development Manage Your Stakeholders Track Your Development Revise & Re-evaluate Your Personal Development Plan Onsite Workshop Pre-work: CIO Business Vision CXO-CIO Alignment Program Module 1: Assess Competencies & Stakeholder Relationships Module 2: Take Control of Your Personal Development Phase 1 Results: Gathered information from business stakeholders using Info-Tech diagnostics. Phase 2 Results: Identified and prioritized competency gaps and assessed stakeholders. Phase 3 Results: Developed a PDP and Stakeholder Management Strategy. Phase 4 Results: Identified key performance indicators and benchmarks. LaunchAssess PlanExecute Become a Strategic CIO – project overview

26. Info-Tech Research Group26Info-Tech Research Group26 Onsite workshop: 1-on-1 executive coaching days ScheduleActivitiesGoalList of Deliverables Pre-work Requirements 0.1 – Gather information from business stakeholders CIO Business Vision CXO-CIO Alignment Program Gather information to create a personal development plan and stakeholder management strategy. Determine next steps. N/A Module 1: Assess Competencies & Stakeholder Relationships 1.1 – Review results of CIO Business Vision & CXO-CIO Alignment Program diagnostics Analyze the information gathered from diagnostics and determine appropriate action. CIO Business Vision results. CXO-CIO Alignment Program results. 1.2 – Assess strategic CIO competencies & business stakeholder relationships Identify and prioritize strategic CIO competency gaps. Evaluate the power, impact, and support of key stakeholders. CIO competency evaluation. Executive stakeholder power map. Module 2: Take Control of Your Personal Development 2.1 – Create a personal development plan and stakeholder management strategy Identify personal development and stakeholder engagement initiatives to bridge high priority competency gaps. Personal development plan. Stakeholder management strategy. 2.2 – Track your personal development Identify key performance indicators and benchmarks/targets to track competency development. Strategic CIO competency scorecard.