More on IT Reporting Structure

by | August 29, 2015

I posted earlier on “Where should IT sit in the reporting structure?”  I did more research and found this very interesting paper:  CIO Reporting Structure, Strategic Positioning, and Firm Performance:
To Whom Should the CIO Report?

The authors state that the reporting structure for a CIO depends on the strategic positioning of the firm.  In some cases, the CIO to CEO reporting model works best, in others the CIO to CFO model produces positive results.[Tweet]  The key factor is the strategic positioning of the organization. If there is a plan to grow, expand into new markets, etc then reporting to the CEO produces better results. If the organization is in a cost reduction, sustained mode then reporting to the CFO results in effective cost and investing control.

I worked in an organization focused on expanding the use of IT to deliver new and improved services.  In that organization, IT reported to a VP dedicated to Teaching, Learning and Technology.  It worked well to have the focus at a VP level to ensure that a multi-year strategic initiative was adequately funded.  I also reported to the CFO in a cost reduction environment and found it to be beneficial in securing new funding for IT services, particularly if the new funding addresses institutional risk.

What are your thoughts?

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