What makes a successful CTO?
The above responsibilities require a particular combination of skills and competencies. One crucial factor is the ability to influence people internally. CTOs can often come up against resistance from other leaders who feel they may be stomping on their turf or meddling with processes that have âalways been done this way.â In these situations, it obviously helps if the CTO has the full backing of the board and top management so they can hold senior leaders accountable.
They also need to have strong influencing and communication skills to clearly explain their vision and why change needs to happen to win over those who might be skeptical. Here, it helps to have high levels of empathy, recognizing that change is hard, and knowing when to praise and encourage and when to deploy the stick. But they also shouldnât be afraid to slaughter a few sacred cows and have some difficult conversations to drive forward the transformation.
Another essential skill for a CTO is the ability to zoom out and understand how the system works and connect the dots, but also to delve deep into an organization to identify the first steps needed to unlock the organization for growth, innovation, and speed. Because of this wide remit, a CTO is often someone who has worked across several functions, markets, or business units in the past gaining a broad range of skills.
A cheerleader for change
Often, the challenge that most CTOs will face wonât be strategic or structural, but cultural. This is why I believe that one of the key requirements of a CTO is to build the capability for change across the entire workforce. For an organization to move faster, itâs not a matter of one function; youâve got to have the entire engine firing on all cylinders. This involves encouraging more risk-taking across the organization, fostering accountability, and empowering others. You need to make sure that information is being passed up, and that decision-making is being passed down, through the organization as quickly as possible.
Hiring a CTO can therefore be useful to ignite a change, and to set the processes, governance, and cadence within an organization. Ultimately, however, the person may need to step back to allow every leader to own their responsibility to drive change and performance. The ability to continuously change is a skill that every manager and employee should learn.
At Bayer, I was both Chief Transformation Officer and Talent Officer. While I am not always a fan of lumping roles together, in this case the combination can work well because transformation is essentially all about people. Having responsibility allows you to define the rewards and incentives to ensure they are aligned with the transformation you want to drive, as well as training and developing leaders with change capability. The caveat is that transformation is sometimes bigger than just a cultural transformation so the scope is often bigger than a typical CHRO role. You also donât want this to become another change program within HR, so it needs to have enough teeth.
Lastly, adding a new role to the C-suite can create more layers of complexity. This is the last thing you want when trying to drive change since transformation is all about creating more simplicity so the organization can respond faster and with more agility. In this respect, the CTO role may be counterproductive especially if you already have a well-articulated vision from the CEO and processes in place to hold people to account.