Immature risk management tempers CIOs' bullishness on digital

Among Southeast Asian CIOS, 84% recognize the need to adapt their leadership style in the next three years to succeed in digital business, compared with the global average of 75%, according to Gartner.

To achieve this, 69% said that they want to decrease their controlling approach to focus on significantly increasing their visionary and coaching attributes.

Gartner surveyed more than 2,810 CIOs worldwide, representing more than $397 billion in CIO IT budgets in 84 countries, including 117 CIOs from the Southeast Asia region.

"While CIOs in Southeast Asia are more bullish about digital technologies than their global counterparts, they are generally more constrained by immature digital risk management processes," said Sid Deshpande, principal research analyst at Gartner.

"To realize the benefits of digital technology investments, CIOs in the region really need to innovate on people and process opportunities,” said Deshpande.

According to the survey, CIOs in Southeast Asia are expecting a larger increase in budget in 2015 (3.6%) compared with the global weighted average (1%).

Regional CIOs are generally enthusiastic about leveraging the digital opportunity, where the level of business success an organization can achieve in the digital era is clearly predicated on the level of digital vision and leadership the organization possesses.

The survey also indicated that 68% of CIOs in Southeast Asia reported that they have a deputy CIO role in place to manage day-to-day IT operations, which is a noticeable difference compared with 47% globally.

 According to the survey, 86% of CIOs in Southeast Asia agree that in addition to the considerable opportunities it brings, the digital world is creating new, different and higher levels of risk.

However, 81% believe their current investments in risk management are unable to keep up with the increasing digital risk to which their organizations are exposed, compared with 69 percent globally.

"Changing risk management approaches for the digital era will require CIOs to increase employee awareness and foster a digital risk culture within the organization," said Deshpande. “The 'flip' from technology to digital risk will also provide organizations with the agility to respond to unexpected risks, which was a concern for 93% of CIOs in the region."