Chief Digital Officers don’t stay long in the role – here’s why

CEO tenure is on the rise, and now stands at about five years for FTSE 100 CEOs & nine years for Fortune 500 CEOs. Equivalent statistics for CDOs are elusive, but anecdotally CDOs have a much shorter life in role. Expect to see CDO turnover remain high for some time. Here’s why:

  • Plenty of job opportunities. At least 500 new CDO roles are created every year, according to Dave Mathison of CDO Club. Firms are hunting from the ranks of existing CDOs to fill those roles. 
  • Rising pay. A headhunter told me recently that CDO pay is increasingly pegged against CFO pay, a substantial re-rating. CDOs have an opportunity to boost their pay by moving.
  • Changing scope. The CDO role is changing radically. Having historically been focused on digital as a distribution channel, CDOs are now being asked to digitise the entire business system, including supply chain, service operations and support functions such as HR and finance. For many CDOs it’s a step too far,leading firms to look for candidates with broader experience.

With these factors at play we can expect the CDO role to be a revolving door. 

1 Comment

  1. Also typically cdo have to complete digital trasnformation in short 3-4 years time. They dont have the luxory of long term 10-20 years like ceo or cfo else company itself will get out of f500

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s