Lack of a common definition. We asked executives to choose the two most-apt CIO back to the back office? definitions of digital for their business. While the majority (53%) think of it as the activities related to technology innovation, and a large share (41%) see it as the investments made to integrate technology into all parts of the business, a sizable number define 40% 35% 36% it as IT (37%) or customer-facing activities (36%). 32% 29% 29% CIOs and CDOs tend to be on the same page, but CMOs have different priorities and expectations. The regional picture is also mixed, with Central and Eastern European executives most often viewing digital as IT, while those in North America (48%) and the Middle East (69%) most often view it more broadly. Lead all Lead IT efforts Lead IT efforts only New and evolving roles. digital efforts and innovation Where enterprise technology used to be the sole domain Today In three years of the Chief Information Officer (CIO), there’s a shift happening in many organizations, with the traditional CIO ® Source: PwC, 2015 Global Digital IQ Survey; Base: 1,988 role fragmenting across new and existing leaders. Some Q: Which of the following best describes your CIO’s key responsibilities today? companies are appointing Chief Digital Officers (CDOs) In three years? to lead digital transformation efforts, as evidenced by a forthcoming PwC Strategy& study, Digitizing the business: The 2015 Chief Digital Officer Study. Executives in our survey indicate that while many CIOs predominantly lead Tech investment increasing all digital efforts today (40%), there will be a drop-off in outside of IT three years’ time (35%). At the same time, executives say they expect the CIO will ramp up the internal focus on IT and innovation from 32% today to 36% in three years. In some regions the marginalization of the CIO role is even more pronounced: In North America (44% today), CIOs 68% 47% who have responsibility for digital across the business is expected to sharply drop to 31% in three years. Distributed technology spending. The majority of spending (68%) is now coming from budgets outside of IT’s, a significant increase from 47% the prior year. In Central and Eastern Europe (73%) and North America (71%), an even greater share of 2015 Digital 2014 Digital spending is happening outside of the CIO’s control. ® ® IQ Survey IQ Survey And just who’s ultimately responsible for investments ® ® also has changed, with the CEO (34%) at the forefront, Source: PwC, 2015 Global Digital IQ Survey, 2014 Digital IQ Survey; Bases: 1,988, 1,494 2015: Q: In the last 12 months, what percentage of your organization’s digital enterprise followed by the CIO (27%), the CDO (14%), and the budget was spent in the following areas?; 2014: In the last 12 months, of all the spending in your organization on technology, what approximate percentage of it was spent in the CFO (13%). CIOs in North America and Western following functions? Europe are more likely to be responsible for digital investment, while in the Middle East it is CDOs. ® 2015 Global Digital IQ Survey 5