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Survey Reveals Why CIOs Must “Flip” Leadership Styles- Gartner

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As the technologies and trends that power digitalization move to center stage, Chief Information Officers (CIOs) are being presented with a unique opportunity to become digital leaders according to a global survey of CIOs by Gartner, Inc.

The survey showed that CIOs are fully aware that they will need to change in order to succeed in digital business, with 75 percent of respondents saying that they need to adapt their leadership style in the next three years.

Gartner analysts presented these findings during the sold out Gartner Symposium/ITxpo, which is taking place here through Thursday.

“To grasp the digital opportunity, incrementally improving IT performance isn’t enough,” said Dave Aron, vice president and Gartner Fellow. Digitalization is no longer a sideshow — it has moved to center stage and is changing the whole game. CIOs now have a unique opportunity, but they must ‘flip’ their information, technology, value and people leadership practices to deliver on the digital promise.”

The worldwide survey included responses from 2,810 CIOs, representing more than $397 billion in CIO IT budgets in 84 countries.

The Gartner report “Flipping to Digital Leadership: The 2015 CIO Agenda,” represents the most comprehensive examination of digital business opportunities and threats and CIO strategies.

Gartner’s last CIO Survey — “Taming the Digital Dragon: The 2014 CIO Agenda” — explored the advent of the third era of enterprise IT, where information and technology make a fundamentally different contribution to the business, less tied to efficiency and effectiveness of internal processes than to enabling disruptive new products, services and business models. Nearly one year later, the third era is here, and digitalization is increasingly determining the winners and losers in all industries.

“This isn’t just a high-tech story, a U.S. story, a private-sector story, a large-company story or a startup story,” said Mr. Aron. “Digitalization is transforming all types of companies and public sector agencies. More often than not, these transformations represent both massive opportunities and substantial challenges for the CIO and the IT organization. Digitalization is not only a way to gain a competitive edge, but also provides a powerful ability to flip disadvantages into advantages.”

According to the 2015 CIO Survey, 89 percent of CIOs agree that in addition to the considerable opportunities afforded by digitalization, the digital world engenders new, vastly different and higher levels of risk, and 69 percent said that the discipline of risk management is not keeping up.

CIOs therefore need to review with the enterprise and IT risk leaders whether risk management is adapting fast enough to a digital world.

The exciting news for CIOs, is that despite the rise of roles, such as the chief digital officer, they are not doomed to be an observer of the digital revolution.

According the survey, 41 percent of CIOs are reporting to their CEO.

This is a return to one of the highest levels it has ever been, a result of the digital narrative gaining prominence in the boardroom and on the executive committee.

Even stronger evidence of opportunity for CIOs is the fact that the survey reveals that CEOs expect them to lead the digital charge during this critical transition period.

However, as in last year’s CIO survey, it appears that IT budgets are not growing exuberantly.

The average IT budget will grow by just one percent from 2014 to 2015. CIOs estimate that 79 percent of IT spending will be “inside” the IT budget (up slightly from last year), but much digital innovation can and will be funded outside the planned IT spending.

Perhaps the biggest hurdle when it comes to digital opportunity for CIOs is the fact that the IT discipline within most enterprises has developed a set of behaviors and beliefs over many years, which are ill-suited to exploiting digital opportunities and responding to digital threats.

To start with, most enterprises still think of innovation in terms of the technology paradigm. If this continues, the digital opportunity may be lost.

Digital leadership means flipping the approach from legacy first to digital first, assuming all solutions will be cloud based, designed for mobile and highly contextualized, and looking to exploit unstructured data, and run data-led experiments. Secondly, most enterprises and their CIOs disproportionately focus on what is easily measurable (e.g., IT cost), rather than what is most valuable or requiring the most attention (e.g., the value of building a digital capability) — another situation that has to flip.

“During the second IT era of industrialization, people leadership was honed to emphasize precision, discipline and tight control,” said Graham Waller, vice president and executive partner for Gartner Executive Programs. “Therefore, through both nature and nurture, CIOs have evolved into control-style pragmatic leaders. Given the characteristics of the new digital era, this bias is dangerous. CIOs must invert their style to be more vision-led and inspirational.”

The survey results underline the fact that CIOs already know this. Seventy-three percent of surveyed CIOs say that they have changed their leadership style over the last three years, and 75 percent say they must change it over the next three years to flip their leadership style from “control first” to “vision first.”

“Being a powerful digital leader and influencer takes time and CIOs need to spend time being digital leaders,” said Mr. Aron. “Running an IT organization is a complex business, and when we compare the 2011 and 2015 Gartner CIO Surveys, we find that the average CIO is spending more, not less, time running the IT shop — five percent more, or an extra day per month.

“However, the survey data also tells us that, all things being equal, the CIOs with higher performance as IT leaders spend significantly less time running the IT shop and delegate some business unit leader engagement. This gives them an extra five percent ‘time bonus,’ or a day per month, to engage the board, senior leadership and external customers.”

 


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AI Slows Down some Experienced Software Developers, Study Finds

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Contrary to popular belief, using cutting-edge artificial intelligence tools slowed down experienced software developers when they were working in codebases familiar to them, rather than supercharging their work, a new study found.

AI research nonprofit METR conducted the in-depth study, on a group of seasoned developers earlier this year while they used Cursor, a popular AI coding assistant, to help them complete tasks in open-source projects they were familiar with.

Before the study, the open-source developers believed using AI would speed them up, estimating it would decrease task completion time by 24%. Even after completing the tasks with AI, the developers believed that they had decreased task times by 20%. But the study found that using AI did the opposite: it increased task completion time by 19%.

The study’s lead authors, Joel Becker and Nate Rush, said they were shocked by the results: prior to the study, Rush had written down that he expected “a 2x speed up, somewhat obviously.”

The findings challenge the belief that AI always makes expensive human engineers much more productive, a factor that has attracted substantial investment into companies selling AI products to aid software development.

AI is also expected to replace entry-level coding positions. Dario Amodei, CEO of Anthropic, recently told Axios that AI could wipe out half of all entry-level white collar jobs in the next one to five years.

Prior literature on productivity improvements has found significant gains: one study found using AI sped up coders by 56%, another study found developers were able to complete 26% more tasks in a given time.

But the new METR study shows that those gains don’t apply to all software development scenarios. In particular, this study showed that experienced developers intimately familiar with the quirks and requirements of large, established open source codebases experienced a slowdown.

Other studies often rely on software development benchmarks for AI, which sometimes misrepresent real-world tasks, the study’s authors said.

The slowdown stemmed from developers needing to spend time going over and correcting what the AI models suggested.

“When we watched the videos, we found that the AIs made some suggestions about their work, and the suggestions were often directionally correct, but not exactly what’s needed,” Becker said.

The authors cautioned that they do not expect the slowdown to apply in other scenarios, such as for junior engineers or engineers working in codebases they aren’t familiar with.

Still, the majority of the study’s participants, as well as the study’s authors, continue to use Cursor today.

The authors believe it is because AI makes the development experience easier, and in turn, more pleasant, akin to editing an essay instead of staring at a blank page.

“Developers have goals other than completing the task as soon as possible,” Becker said. “So they’re going with this less effortful route.”

 


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Firm Uncovers $500K Crypto Heist Through Malicious Packages

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Kaspersky GReAT (Global Research and Analysis Team) experts have discovered open-source packages that download the Quasar backdoor and a stealer designed to exfiltrate cryptocurrency. The malicious packages are intended for the Cursor AI development environment, which is based on Visual Studio Code — a tool used for AI-assisted coding.

The malicious open-source packages are extensions hosted in the Open VSX repository that claim to provide support for the Solidity programming language. However, in practice, they download and execute malicious code on users’ devices.

During an incident response, a blockchain developer from Russia reached out to Kaspersky after installing one of these fake extensions on his computer, which allowed attackers to steal approximately $500,000 worth of crypto assets.

The threat actor behind these packages managed to deceive the developer by making the malicious package rank higher than the legitimate one. The attacker achieved this by artificially inflating the malicious package’s downloads count to 54,000.

After installation, the victim gained no actual functionality from the extension. Instead, malicious ScreenConnect software was installed on the computer, granting threat actors remote access to the infected device.

Using this access, they deployed the open-source Quasar backdoor along with a stealer that collects data from browsers, email clients, and crypto wallets. With these tools, the threat actors were able to obtain the developer’s wallet seed phrases and subsequently steal cryptocurrency from the accounts.

After the malicious extension downloaded by the developer was discovered and removed from the repository, the threat actor republished it and artificially inflated its installation count to a higher number – 2 million, compared to 61,000 for the legitimate package. The extension was removed from the platform following a request from Kaspersky.

“Spotting compromised open-source packages with the naked eye is becoming increasingly difficult. Threat actors are using increasingly creative tactics to deceive potential victims, even developers who have a strong understanding of cybersecurity risks — particularly those working in the blockchain development field.

As we expect adversaries to continue targeting developers, it is recommended that even experienced IT professionals deploy dedicated security solutions to safeguard sensitive data and prevent financial losses,” commented Georgy Kucherin, Security Researcher with Kaspersky’s Global Research and Analysis Team.

The threat actor behind the attack published not only malicious Solidity extensions but also another NPM package, solsafe, which also downloads ScreenConnect. A few months earlier, three additional malicious Visual Studio Code extensions were released — solaibot, among-eth, and blankebesxstnion — all of them have already been removed from the repository.


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NITDA Reaffirms Commitment to 95% Digital Literacy by 2030, as UBEC Pledges Collaboration

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DG NITDA, Kashifu Inuwa CCIE (left), receiving an award for an Ambassador of Basic Education from the ES UBEC, Hajia Aisha Garba (right)
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Kashifu Inuwa CCIE, the Director General of the National Information Technology Development Agency (NITDA), has reaffirmed the Federal Government’s unwavering commitment to achieving 95% digital literacy across Nigeria by the year 2030, with an ambitious milestone of 70% by 2027.

This disclosure was made in total alignment with the present administration’s priority areas of reforming the economy for sustained inclusive growth and accelerating diversification through industrialisation, digitisation, creative arts, manufacturing, and innovation.

Making this known during a collaborative meeting hosted by the Universal Basic Education Commission (UBEC), Inuwa highlighted the government’s strategic prioritisation of human capital development as central to its national transformation agenda.

“We started this journey in 2023 when President Bola Ahmed Tinubu came on board and he made it clear that economic diversification and inclusivity are part of the administration’s agenda,” he noted.

“And the president outlined this in 8 priority areas to achieve the vision, with priority number 7 specifically focused on accelerating industrialisation, digitisation, creative arts, manufacturing, and innovation,” he added.

Recognising the importance of digital fluency in achieving this agenda, he stated that NITDA is committed to investing in the digital empowerment of citizens through the development of the National Digital Literacy Framework (NDLF), a strategic blueprint aligned with international best practices.

He added that to tailor the framework to Nigeria’s specific needs, 6 core competency areas were incorporated to include device and software operations, information and data literacy, communication and collaboration, content creation, safety, and problem solving.

He explained that the framework would address all levels of digital fluency, from basic, intermediate to advanced levels, to make digital skills accessible to every Nigerian, from primary school pupils to working professionals.

According to Inuwa, despite data limitations, NITDA estimates that Nigeria’s digital literacy rate currently stands at 50%, up from 44% in 2021, based on extrapolations from the World Bank’s Better Life Report.

The NITDA DG disclosed that the agency has been working closely with the Nigerian Educational Research and Development Council (NERDC) in developing a curriculum for digital literacy, which can be infused into formal education. Stating that the visit is a continuation of NITDA’s ongoing engagements with key education stakeholders, including the Federal Ministry of Education, the National Universities Commission (NUC), and the Nigerian Educational Research and Development Council (NERDC), all aimed at advancing digital literacy across all levels of learning.

Inuwa also revealed ongoing collaborations with global platforms such as Coursera to train teachers using AI-powered lesson generation tools and provide scalable online training.

It is worth recalling that late last year, NITDA partnered with the Nasarawa State University in collaboration with CISCO in launching the Digital Learning for NSUK (DL4NSUK) initiative to enhance digital literacy in tertiary institutions, and equipping graduates with the skills needed to be digitally proficient and globally competitive.

While stressing that the entire process, from curriculum development to classroom delivery, would require a whole-of-government and whole-of-society approach, Inuwa said, “This is not a journey we can walk alone; we must bring everyone on board, education stakeholders, technology providers, state governments, and international partners.”

In response to the DG’s remarks, UBEC Executive Secretary, Hajiya Aisha Garba, confirmed that the Commission has officially received the digital literacy curriculum developed by NITDA and NERDC and has commenced internal review processes.

She acknowledged the curriculum as robust and forward-looking but stressed the need for simplification to suit early learners and teachers, citing challenges such as curriculum overload, limited teacher capacity, and inadequate infrastructure as key barriers to effective implementation.

She pledged that UBEC, in partnership with the State Universal Basic Education Board (SUBEB), will lead efforts to equip schools with computers and solar-powered infrastructure to support real learning.

“We’re committed to working with NITDA and NERDC to refine the curriculum, train teachers, and ensure effective delivery. Let us align the technical vision with grassroots realities to make a lasting impact,” she concluded.

To formalise the implementation of the meeting’s resolutions, a joint inter-agency committee was established to develop strategic plans that will ensure the effective rollout of the digital literacy initiative, to equip young Nigerians with the essential digital skills required to thrive in an increasingly dynamic and technology-driven global landscape.


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