Why Organizations Need a Chief AI Officer To Realize the Promise of AI

With artificial intelligence becoming an essential aspect of digital transformation, businesses must have an AI strategy to overcome existing and emerging challenges. Can a chief AI officer help harness this next-gen technology to usher in the change you need? Let’s hear from experts.

As companies accelerate the digital transformation journey, the prospect of leveraging artificial intelligence (AI) and machine learning to create business value has never been more promising. No longer a futuristic technology, artificial intelligence (AI) has moved from a bleeding-edge to everyday applications that can automate tasks and improve accuracy. An IEEE surveyOpens a new window on the most powerful technologies in 2021 and the impact of COVID-19 on technology adoption bears this out. Nearly one-third (32%) of the survey takers — global CIOs and CTOs from the U.S., U.K., China, India and Brazil revealed AI and machine learning takes precedence, followed by 5G (20%) and IoT (14%). 

So, as organizations wrap their arms around AI, does the dizzying pace of modernization create the need for a new C-suite role? AI expert Andrew Ng, founder and CEO of Landing.ai, believes “hiring the right AI leader can dramatically increase the odds of success.” In an HBR articleOpens a new window , Ng detailed, “To the majority of companies that have data but lack deep AI knowledge, I recommend hiring a chief AI officer or a VP of AI. Some chief data officers and forward-thinking CIOs are effectively taking on this role.”  

While AI guru Ng deems the chief AI officer role isn’t so much the future as it’s the present, Dr. Anand RaoOpens a new window , global head of AI, PwC says organizations with chief data officers and head of automation are better-positioned to lay a groundwork for AI strategy and use the next-gen technology for strategic drivers. Plus, as the boundaries between CDOs and chief AI officers blur, these executives can expand into chief artificial intelligence officer roles. 

After more than a year of disruption and facing a complex mix of emerging challenges, organizations that were behind the digital transformation curve are doubling down on integrating AI to gain strategic business value. So, should organizations add another executive title to an already cluttered C-suite to realize AI ambitions? Toolbox caught up with AI and automation experts to understand the demands and skills and understand where the chief AI officer’s role is headed. 

When To Hire a Chief Artificial Intelligence Officer?

Under the thumb of the pandemic, many industries faced uncertainty around making informed and data-driven decisions. Those that underwent automation revamp overnight leaned heavily on AI to empower their business decisions. 

However, “AI provides several techniques and methods that allow managers to make informed decisions with incomplete and uncertain information. As a result, the adoption of AI during the pandemic has increased and a growing number of organizations are employing chief artificial intelligence officers,” said Dr. Anand RaoOpens a new window , global head of AI, PwCOpens a new window .

Dr. Anand RaoOpens a new window , global head of AI, PwC

“Ideally, an organization needs to have a chief artificial intelligence officer before they embark on any large AI initiative. However, organizations that have been generating insights from data might already have a chief data officer or chief data science officer or chief analytics officer. Some organizations that have embarked on automation might have a center of automation and a head for the center. All these roles are closely related to the CAIO. Any of these other roles can expand and grow into a chief artificial intelligence officer,” Rao added.

See more: Realizing the Full Potential of Artificial Intelligence and Automation

Leveraging Artificial Intelligence and Machine Learning (ML) Technologies

Amid a global crisis, companies that were slower to adapt to digital technologies fell behind the curve. To remain nimble and future-proof against disruptions, organizations need to recognize the power of AI technology and use it to support business operations. A PwC survey found that more than half (52%) of companies surveyed accelerated their AI adoption plans in the wake of the COVID-19 crisis.   

Vijay NarayananOpens a new window , chief AI officer, ServiceNow

“I joined ServiceNow in March 2020 because the company knew it was important to increase its commitment in fueling AI/ML innovation throughout the entire portfolio and helping customers digitally transform their businesses for a new era of hybrid work through AI-powered experiences,” Vijay Narayanan, chief AI officer, ServiceNow said.  

As implementing AI/ML throughout enterprise processes becomes a business imperative, Narayanan explained that companies would look to the CAIO to lead their organizations through this transformational shift using AI/ML to evolve and future-proof their businesses.

Incidentally, the business demands from AI are constantly evolving. One of the key targets of implementing AI is to provide a return on investments by either decreasing costs or increasing revenues, Rao said. 

To provide more efficient business solutions, companies will need to combine AI/ML with strategic business priorities. As talent wars for AI/ML roles begin to heat up, these roles will only become more difficult to fill as more companies move forward with their digital transformation efforts, Narayanan explained. 

See more: Artificial Intelligence, Hiring, and Biases: What Your Team Needs to Know

What Skills Does the CAIO Need To Focus on?

Chief AI leaders need to meet both the technology and business needs. Even though this position is technology-driven, a human-centered outlook will guide CAIOs to build relationships with other executive roles (CIO, CFO, CHRO) that may not necessarily be technology-led. Narayanan expects the CAIOs to develop the soft skills that will set AI professionals up for future success throughout their entire careers.

Apart from developing the human-centered approach, the role demands generating business value and better returns from AI investments. “The role also requires the person to understand the risks of AI and the emerging regulatory landscape such as General Data Protection Regulation (GDPR) and California Consumer Privacy Act (CCPA)),” Rao said.

However, not everyone agrees with the need to recruit a chief artificial intelligence officer. SoftwareAG CTO Bernd GrossOpens a new window feels that businesses wouldn’t need a CAIO if organizations had their internal processes in place. 

Bernd GrossOpens a new window , CTO, SoftwareAG

“You do not need a CAIO to be analytical, and techniques like process mining are a perfect example of this. It’s often intuitive, self-sufficient, sound, and simple in thought. When organizations invest in automation technology, the long-term results often outweigh the benefits of adding yet another member to the C-Suite bench,” Gross said.

See more: Artificial Intelligence: To Build or Not To Build?

How the Chief AI Officer Can Drive Value

While a chief data officer or head of automation can definitely fill the role, CAIOs have a fundamental understanding of AI tools and platforms and understand the inherent risk it brings to businesses, communities, governments, and individuals if not handled properly, Rao told Toolbox. 

“AI experts can’t work in silos anymore. Departments across companies want to leverage AI, and it’s our responsibility to ensure it’s done in a way that’s responsible and builds trust,” he added, in closing. 

Is the chief artificial intelligence officer a priority in your organization? Share it with us on LinkedInOpens a new window , FacebookOpens a new window , and TwitterOpens a new window . We’d love to hear from you!