How leading CEOs drive a differentiating advantage through AI, data analytics and insight

Abstract

Purpose IBM’s latest Global C-suite Study asked 2,131 top executives around the globe about the value they derive from data, how they intend to turn data into a differentiating advantage and how far they have progressed with their plans. Design/methodology/approach During the course of the research, researchers identified four distinct kinds of enterprises – torchbearers, aspirationals, explorers and builders – each at a different stage on the path to data leadership. Comparing Torchbearer CEOs with Aspirational CEOs reveals pronounced variations in the performance of the enterprises they run. An example is innovation: 79 percent of Torchbearer CEOs head organizations with a history of operating at the leading edge, versus just 25 percent of Aspirational CEOs. Findings The efforts of the leading CEOs to drive a differentiating advantage through AI, data analytics and insight have paid off handsomely: 64 percent of Torchbearer CEOs have presided over superior revenue growth, and 66 percent have delivered outsized profits. Practical implications The article offers practitioners guidelines for three key initiatives: 1 Automate intelligently. 2. Strategize with ecosystems. 3. Extract value through new models. Originality/value The Torchbearer CEOs in the study show what it takes to become a data leader. These CEOs use AI and intelligent automation to inform their decisions. They promote a culture of belief in data. They make ecosystems a core part of their business strategy. They share data judiciously to gain the benefits of networking without giving away their competitive edge. And they use data to develop new business models with the potential for outsized returns. 10; 10;