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UK CFOs Expect CIO Role to Disappear

UK CFOs Expect CIO Role to Disappear

A newly released survey of chief financial officers in the UK suggests these executives expect the role of chief information officer to merge with that of the CFO, Computing reports.

According to the news source,

A newly released survey of chief financial officers in the UK suggests these executives expect the role of chief information officer to merge with that of the CFO, Computing reports.

According to the news source, the study, which was conducted by IT services provider Getronics, found 43 percent of CFOs expected the CIO position to combine with the CFO, while another 17 percent of finance executives said they believed the title would disappear completely.

"CFOs have looked at IT more because there is an increase in IT projects meaning more money is being spent. This means the CFO has to look over the project," Karl Howarth, CFO of P&O Ferries, said of the survey.

Howarth added that many IT projects ultimately fail due to a lack of focus on overall benefits to the business, rather than the technology aspects themselves, according to the news source.

With many finance chiefs now holding the responsibilities of the CIO as well, a recent CFO Magazine article noted that financial executives should be sure to consider the long-term ramifications and advantages of new technology strategies. 

Comments

Topic Expert
Patrick Dunne
Title: Chief Financial Officer
Company: Milk Source
(Chief Financial Officer, Milk Source) |

While I don't think CIO's are a protected class, I have a hard time seeing CFO's take on this responsibility. The IT technical experience is still very important and I think a constituent fighting for IT is important. I would rather spend my time as a financial executive assisting in strategic direction and ensuring financial goals are met. Managing IT would not necessarily meet either of these goals. Does anyone else really feel this is a trend that would catch on?

CV Sudarshan
Title: Sr. Executive
Company: Gorilla Expense
(Sr. Executive, Gorilla Expense) |

Patrick -

I think it varies a lot by company size and industry. In many small businesses, I am sure CFOs are tackling both finance & IT.

There is also a technology element to this. I think SaaS has made it easier for CFOs to do the due diligence, compare vendors, sign up for trials, evaluate performance and finally implement the solution without a CIO. I have seen this in a few complex enterprise-wide solutions as well.

I think the trend is valid but not as inflated as the article states. I am curious to hear what other folks think.

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