The DPP has released its inaugural Media CTO Survey report. This groundbreaking report provides valuable insights into the challenges facing CTOs in the media industry, covering crucial areas such as leadership strategies, talent acquisition, procurement practices, and technology investment priorities. In this article, Peter Elvidge shares his key takeaways from the report and encourages CTOs to leverage these findings to harness technology as a catalyst for innovation and growth within the media sector.
Media on the brink: How tech can save the day
The media landscape is facing a harsh reality - flat or shrinking budgets. To survive, media companies must squeeze more value out of technology. Thankfully, there's a silver lining. With Chief Technology Officers now holding seats at the leadership table (63% report directly to the CEO), they have the influence and resources to drive this transformation.
Innovation imperative – re-thinking technology
The pressure to innovate and leverage the potential of rapidly evolving technologies is forcing CTOs to take a fresh look at their approach. Internal silos must be broken down, redundant technical solutions eliminated, and sprawling app portfolios streamlined. This means replacing outdated vendors with collaborative partners and embracing modern solutions like SaaS, cloud , and AI.
The CTO – from basement to boardroom
The rise of the CTO is a positive development. Complex technologies offer immense value, but require sponsorship and leadership from the top. A CTO embedded in the organisations top team can ensure technology aligns with overall strategy. But it's not a one-way street. CTOs must also influence and challenge existing strategies when technology can be a game-changer. Building trust and alignment within the team is crucial for successful technology adoption and value realisation.
Leading by example – embedding tech expertise
CTOs embedded in the top team set the example for their teams to follow. Technology teams need to integrate themselves into business and operational teams at all levels. This fosters a deep understanding of operations and builds trust, which is essential for getting complex technologies adopted.
Unlocking the potential of AI while avoiding the pitfalls
While less than 10% of media companies are currently reaping significant benefits from AI (Generative AI), the potential is undeniable. This low cited adoption rate suggests a growing risk of unauthorised use of AI tools or shadow IT. To mitigate, clear enabling governance frameworks are needed, including ethical guidelines, data security measures, and responsible AI development practices.
Empowering developers - the AI advantage
Equipping development teams with the right tools to leverage AI effectively is paramount. This includes seamless integration of approved AI tools into secure development environments and fostering a culture of innovation and experimentation. AI-powered developers can achieve significantly more, improving their unit value of labour, increasing project viability and lowering project viability thresholds.
The strategic partnership between the CFO and CTO
It’s now more common for a CTO to report to the CEO than a CFO but the relationship between the CTO and the CFO has never been more critical. Cloud and SaaS models shift expenditure from upfront capital recurring operational expenses. This necessitates a constant focus on cost optimisation and identifying opportunities to maximise return on investment. Collaboration between the CTO and CFO is essential for evaluating the financial impact of technology investments, developing appropriate value metrics, and securing funding for innovative projects. Ultimately, technology decisions must be driven by data to ensure value creation and alignment with shareholder interests.
Focus on business value, not just tech
While some CTOs may prioritise technological fit over business fit initially, most acknowledge that all their projects are now typically a business or change project with technology being just one component. The biggest leadership challenge CTOs face is change management - often underestimated in complexity, and under budgeted - effective change management strategies are crucial for ensuring successful technology adoption.
The future is collaborative
The future of media lies in maximising value from technology. By fostering a culture of collaboration across all levels, from the C-suite to product teams and operations, media companies can leverage the power of increasingly advanced technology to create value and thrive. This requires a shift in mindset. Technology is no longer a support function; it's the engine that drives innovation and growth. By embracing this reality and investing wisely in technology, media companies can unlock new revenue streams, improve efficiency, and deliver exceptional experiences to their audiences.
To download the report, click here. For more information, please contact Peter Elvidge.
