Deloitte: 90% of CDOs Expect Greater C-Suite Influence

Chief Data Officers currently feel less influential than their C-suite peers but anticipate a significant shift in their standing over the coming years, according to Deloitte’s annual CDO survey. 

The fourth iteration of the report, which gathered insights from CDOs across nine countries and all major industry groups including financial services, government and public sector organisations, reveals that 54% of CDOs believe they are less influential than other C-suite stakeholders. However, 90% expect to be equally or more influential within five years, with 44% projecting to be as influential as other C-suite stakeholders and 46% anticipating becoming more influential across the executive leadership.

Report author Andy Whitton, Data, Privacy and Analytics Partner at Deloitte notes that organisations are making substantial investments in data capabilities. “While over half of CDOs currently feel less influential than other C-suite leaders, there’s a powerful shift on the horizon,” he says. “This optimism isn’t unfounded as we're seeing significant investment, with just over half (54%) of data teams growing last year and more anticipating further expansion next year.”

Deloitte report shows substantial data team expansion

This year’s survey has revealed considerable growth in data teams across organisations. On average, CDOs today manage a central data team of 76 people with nine direct reports. Over half of CDOs (54%) report that their team size increased over the past year and 63% anticipate further growth in the next 12 months, expecting an average increase of 27%.

The research also shows that 43% of CDOs report their budgets have increased in the past 12 months. When examining overall data spend across organisations, 56% identified an increase, suggesting that investment in data capabilities extends beyond the CDO’s direct budget allocation. But despite this growth, 48% of CDOs cite budget and resource limitations as a key challenge in driving AI adoption, while 47% outline that competing organisational priorities hinder their ability to realise the full value of data.

Financial services CDOs prioritise AI and Gen AI technologies

Top priorities for CDOs over the next 12 months vary significantly by industry sector. In financial services, 66% identify AI and Gen AI as their primary focus. Corporate sector CDOs are prioritising data products, with 50% naming this as their top objective, while 70% of government and public sector CDOs have made data governance their leading priority.

“What stands out in this year's findings is the nuanced approach CDOs are taking to their priorities, tailored to their specific industry needs,” says Andy. “For example, AI and Gen AI are top of the agenda for 66% of financial services CDOs, whereas corporates are homing in on data products and the public sector is rightly prioritising data governance.”

CDOs championing AI anticipate faster productivity benefits

CDOs who identify AI and Gen AI as a core priority anticipate their organisations will realise benefits significantly faster than those not prioritising these technologies. In terms of productivity improvements, 51% of CDOs who prioritise AI and Gen AI expect enhanced productivity within the next 12 months, compared to 43% among those not focused on these technologies. The survey shows that 64% of CDOs report a direct improvement in the impact of data initiatives on driving the use of AI and analytics over the past 12 months, indicating tangible business outcomes from data investments.

Despite 87% of CDOs reporting directly into the C-suite, the perception gap regarding influence persists. The survey indicates that while CDOs hold senior positions within organisational hierarchies, they perceive their impact on strategic decisions as less significant than other executive leaders. This perception appears set to change as organisations increase their data maturity and literacy to gain competitive advantage.

“Crucially, those CDOs championing AI and Gen AI are anticipating significantly faster benefits, particularly in productivity, highlighting the immediate impact these technologies can deliver,” Andy says. “Organisations are clearly doubling down on data, rapidly increasing their data maturity and literacy to gain crucial competitive advantage. This is positioning the CDO role as a pivotal and increasingly influential force across the C-suite, helping to drive sustained growth.”