Research

State of the CIO

Foundry’s 24th annual State of the CIO survey aims to understand how the CIO role is evolving and helps to define the CIO agenda. Results are based on 906 heads of IT and 250 line of business respondents.

Read the full State of the CIO executive summary

82%

of CIOs say that their role is becoming more digital and innovation focused

82%

of CIOs are more involved in leading digital transformation initiatives compared to their business counterparts

81%

of CIOs agree that the CIO is becoming a changemaker, increasingly leading business and technology initiatives

Key findings

How CIOs see themselves in tech decision-making

According to this year’s report, 50% of CIOs identify as business leaders, proactively shaping technology decisions to drive business outcomes. Others see themselves as consultants (21%), risk assessors (13%), supporting players (11%), or voices of reason (5%). Their line of business counterparts agree with a slight difference on the CIO’s role as a consultant: 21% of CIOs vs. 18% of business leaders. While CIOs may feel they provide more advisory support, the takeaway is clear: CIOs are widely recognized as key business drivers, not just technology managers.

CIOs are gaining strategic influence—and bigger budgets to match

This growing influence is reflected in technology budgets, which are on the rise. 65% of organizations expect their IT budgets to increase in 2025, up from 54% in 2024. The increase is even more pronounced in enterprises with 1,000+ employees (69%). A key driver? Increased investment in AI. As organizations prioritize automation, data-driven decision-making, and AI-powered efficiencies, IT buyers are securing larger budgets to integrate these technologies into their operations.

Skills shortages are holding CIOs back from innovation

Despite growing influence and increasing budgets, CIOs face a major roadblock: staff and skills shortages. Instead of focusing on innovation and business transformation, CIOs are being pulled into operational challenges, from managing understaffed teams to addressing gaps in technical expertise. This talent crunch is slowing progress on AI adoption, security enhancements, and digital transformation—key areas where CIOs want to lead but often lack the bandwidth to do so. As organizations struggle to hire and retain top IT talent, CIOs must find new ways to balance day-to-day demands with long-term innovation.

 

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