Due to the advancements in technology, such as Artificial Intelligence, Cloud Computing, and Big Data in addition to finance technologies, including AI-based P2P lending platform, digital line of credit platforms to fund your business, etc., organizations now need an agile business structure. With technology bringing about remarkable changes and growth in every sector, the business landscape is different than ever. And to stay relevant and competitive, organizations need cohesive teams that can leverage the innovations in the field of technology.
And the responsibility of leading this change lies on the CEO, whose role is to build an enterprise-level strategy that involves everyone from the corporate board to entry-level employees.
Let’s read about the roles and responsibilities of a CEO in leading the business and its people through digital disruption.
1. Lead Digital Innovation and Adaptation
Disruptive technology can threaten traditional business processes, requiring an immediate change to stay competitive. Therefore, the CEO must work as the Disruption Officer and build a strategy to overcome and leverage digital and operational disruptions.
The CEO must make decisions pertaining to investment in new technology, adoption of advanced concepts, technology adaptation planning, etc. And each decision must be backed with credible research and an innovative approach for execution.
2. Manage Funding for Initiatives in the Existing Business as Well as Pilot Projects.
Once the decision pertaining to a specific digital advancement is made, the CEO must strategically address funding requests from the CIO. It’s their responsibility to free up funds for business and technology initiatives and convince the board to support change execution.
They must also have a flexible financial model in place in case of unexpected outcomes and failures. Moreover, they must prioritize fund allocation in case of multiple high-priority requirements.
3. Prioritize Hiring and Team-Building Activities for Digital Transformation.
The CEO must mandate the immediate hiring of people required for digital innovation & adaptation and instruct managers to identify teams who can perform consistently during the disruption phase. They must issue clear top-down communication and ensure that every member of the team shares the same vision.
4. Redefine Culture.
Advancements in technology and underlying technical structure can be associated with ‘hit & try’ and a consistent need for improvement and adaptation. This can mean a significant shift in culture. The CEO must address this shift and offer solutions, such as faster approvals, new governance models, changes in managerial expectations, etc. They must motivate the team and make it feel empowered to bring new ideas to the table in order to tackle challenges and unexpected failures. The CEO must communicate the vision to every employee and create a culture that facilitates growth.
5. Ensure Cyber Resilience.
Cybersecurity is a prevailing issue that must be addressed by the CEO on priority. They must ensure the use of cybersecurity tools, training of the staff in preventive measures, and skills training in order to respond to cybercrimes. In every possible way, a CEO must make sure that the organization remains a hard target for cybercrimes.
In essence, the CEO must be a leader who makes the most out of digital disruption. They must increase the company’s overall ability to overcome the challenges and achieve success despite the unfavourable business conditions and landscape.
Aatish Khanna works with the Content Marketing team at Money Club – a digital chit fund platform that makes saving, borrowing, and investing your money more efficiently. He writes on topics to help his readers understand processes so they can make better financial decisions. He's the go-to person that his family, friends, and colleagues turn to for all their money matters. He loves to play board games and aspires to one day build his one finance-related board game and app.