Gartner: Why CIOs Struggle With Digital Initiative Success

Digital transformation has become a critical imperative for organisations seeking to remain competitive and drive growth.

However, a recent global survey conducted by Gartner, a leading research and advisory company, has uncovered significant challenges in the successful implementation of digital initiatives.

The study, which involved over 3,100 chief information officers (CIOs) and technology executives, as well as more than 1,100 executive leaders outside of IT, found that on average, only 48% of digital initiatives meet or exceed their business outcome targets.

This sobering statistic highlights the complexities and obstacles that companies face when attempting to leverage technology for business transformation.

As organisations worldwide continue to invest heavily in digital strategies, understanding the factors that contribute to success becomes increasingly crucial.

The Digital Vanguard: A model for success

Amidst the overall low success rate, Gartner identified a group of high-performing CIOs and executive leaders dubbed the ‘Digital Vanguard.’

This cohort achieved a remarkable 71% success rate in their digital initiatives, setting them apart from their peers.

Raf Gelders, Vice President of Research at Gartner, explains the key differentiator of this group: "This digital vanguard distinguishes themselves from the rest of CIOs and CxOs because they co-own digital delivery.

“CIOs and CxOs are equally responsible, accountable and involved in delivering the digital solutions their enterprises need. This is a radical departure from the traditional paradigm of IT delivery and business 'project sponsorship' that predominates in most enterprises."

This collaborative approach is a shift from conventional IT delivery models, where technology departments often worked in isolation from other business units.

By sharing accountability and involvement in digital delivery, the Digital Vanguard enhances their organisations' ability to achieve desired business outcomes.

Investment priorities for 2025

Gartner also shed light on the investment priorities of CIOs in the EMEA region for the coming years.

Over 80% of respondents indicated plans to increase investments in cybersecurity, AI, Gen AI, business intelligence and data analytics by 2025.

These technologies are viewed as foundational capabilities essential for driving digital transformation across organisations.

However, Raf notes: “Digital Vanguard CIOs do not invest in these technologies to be used by their IT staff only. They also make them easy to use for potential or actual technologists outside of IT.

“On average, there is 26% of business/corporate area staff outside of IT dedicated to building, implementing or managing technology.”

Challenges in workforce development

Despite the focus on advanced technologies, the survey revealed a concerning lack of emphasis on developing technology skills across the broader organisation.

Only 14% of EMEA CIOs prioritise building an enterprise-wide technology workforce beyond their IT departments.

This oversight could potentially limit the effectiveness of digital investments and hinder the overall success of digital initiatives.

Furthermore, just 19% of EMEA CIOs plan to share technology leadership with other business areas.

Daniel Sanchez-Reina, Vice President Analyst at Gartner, stressed the importance of addressing this gap: "To become part of the Digital Vanguard, those CIOs make it easier for their CxOs to lead digital with them and for business area staff to build digital solutions together with IT.”

The path forward

As organisations continue to navigate the complexities of digital transformation, Gartner provides valuable insights into the factors that contribute to success.

The collaborative approach exemplified by the Digital Vanguard offers a model for CIOs and executive leaders seeking to improve the outcomes of their digital initiatives.

By fostering closer collaboration between IT and other business units, investing in foundational technologies and prioritising the development of technology skills across the organisation, companies can enhance their ability to meet business outcome targets and drive meaningful digital transformation.

As Daniel concludes: "CIOs' success now depends on their CxOs' success. To succeed at the next phase of digital initiatives, CIOs need their CxOs to work together and co-lead with them. So their fortunes are intertwined: one cannot succeed without the other."

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