Most companies of consequence have a chief information officer. Many others have chief technology officers, who might be the heads of product and engineering for a tech-centric company, or, for some non-tech sector companies, might be the heads of infrastructure or tech-savvy leaders reporting to less technical chief information officers. A growing number of companies have chief digital officers, as well, often signaling the need to have an executive oversee digital transformation efforts exclusively. There are examples where the top tech and digital chief has one or a combination of these titles. The combination of all three roles for three separate executives occurs less frequently, needless to say, but less frequent still are examples of companies with execs with these three titles each of whom report to the chief executive officer. One such company is Johnson Controls.
Johnson Controls is a 136-year-old, Milwaukee-based company that develops products and services that enhance the intelligence of buildings to the tune of nearly $30 billion in annual revenue. Mike Ellis is the company’s chief customer and digital officer, adding customer responsibilities to the CDO title. He joined Johnson Controls in October 2019. Diane Schwarz is the company’s chief information officer, who joined the company in August of 2020. Finally, Vijay Sankaran is the company’s chief technology officer, and he joined the company in May 2021.
Ellis describes his role as chief customer and digital officer as deciphering the impact of the company’s efforts on customers, engaging them to understand what is most important to them. The goal is to innovate in collaboration with them, identifying ideas that will make a difference in their operations. Additionally, Ellis is responsible for digital product innovation and enterprise marketing, as the CMO reports through to him.
Schwarz has been a CIO multiple times over at companies like Hunt Consolidated and Textron. She has what she refers to as the traditional CIO purview of infrastructure, applications, and websites. Beyond that, she owns the customer experience, including “how our employee operates with all of our applications, how they get the day-to-day job done,” she noted. Schwarz added, “Mike owns the customer’s experience with our products, but then when you have the overlap of the Venn diagram, as the customers interact with portals, billing and how to schedule a ticket for field service; that’s where it goes back into the CIO responsibilities. It’s not, black and white to say that everything the customer interacts with Johnson Controls is under Mike’s umbrella. We have to navigate what really is the product experience versus the application experience.”
Sankaran has also been a CIO previously at TD Ameritrade, where he also ran an innovation program for the company. He oversees products for Johnson Controls. “When we think about product, it’s really the game-changing part of what’s going on in our industry right now – the software part of that product,” he said. “[We work on building] the right thing and build the thing right. My focus is all around building the thing right and building out a world-class digital software engineering organization at Johnson Controls.” His team’s focus is on edge Internet of Things (IoT) through a software and data platform called Open Blue. It is a platform that allows Johnson Controls’ customers to drive energy efficiency and sustainability by managing their spaces, smart buildings and then applying artificial intelligence [AI] and machine learning [ML] to be able to generate those insights. This creates a closed-loop so that we fully get to the smart autonomous buildings.
“We’re building the software and all the connectors and the data structures and the AI models in my new organization to support that and work closely with Mike around the customer needs and experiences, and closely with Diane’s organization around the broader ecosystem of service and support and infrastructure and cybersecurity to make sure that the pieces that overlap in that Venn diagram come together seamlessly,” noted Sankaran.
The group that now reports to Sankaran to bring this to life used to partially report to Ellis, who recognized the value in unifying the edge software engineering capabilities together with the integrated Open Blue platform. This has proven to be a strategic differentiator for the company. Sankaran has accelerated Ellis’ vision by implementing the scaled agile framework across the group to accelerate speed to market.
Schwarz noted that a key to determining where one’s responsibilities begin and the next one’s ends boils down to solid communications both informal and formal. “We absolutely get that we need to work productively on figuring out the handoffs and providing clarity to our teams,” said Schwarz. “[We are] a company going through a huge transformational shift to become digital to the core. The kinds of problems that we’re solving are new to the organization.”
When asked about the formal structures in place to facilitate the forging of strong bonds across the company, Schwarz offered the example of cybersecurity. There is an enterprise cybersecurity group, which reports to her, and there is a product cybersecurity team that reports to Sankaran. Though there is some overlap between what they do, they are distinct disciplines. Schwarz and her enterprise chief information security officer (CISO) attend Sankaran’s product cybersecurity briefings, and likewise, Sankaran and his CISO attend Schwarz’s enterprise cybersecurity briefings. This is indicative of a broader desire to keep each other informed especially in the areas where roles overlap.
Ellis notes that the approach Johnson Controls has taken in defining these roles and responsibilities has facilitated the 136-year-old company moving from industrial speed to the speed of a software company. It speaks volumes as to the company’s commitment to a digital future that it has three leaders of such consequence reporting to the CEO of the company. To have that degree of digital sophistication represented at the executive level bodes well for the company to accomplish its goal of becoming digital to the core.
Peter High is President of Metis Strategy, a business and IT advisory firm. He has written two bestselling books, and his third, Getting to Nimble, was recently released. He also moderates the Technovation podcast series and speaks at conferences around the world. Follow him on Twitter @PeterAHigh.
603: In this interview, Rakesh Loonkar, President and Co-Founder of Transmit Security, focuses on identity experience and a shift towards a passwordless future. Rakesh begins with how he defines “identity experience”. He describes the potential business outcomes that a passwordless future can help achieve and what the process is to move towards making that a reality today. Rakesh discusses what industries have been the first adopters of passwordless technology and shares his perspective on the overall evolution of the cybersecurity industry. Finally, he provides insight into why now is the best time for Transmit Security to take outside capital, how Transmit Security plans to keep evolving, and recommendations for CIOs and executives to improve their organization’s cybersecurity.
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596: In this interview, Rich Uhlig, Intel Senior Fellow and the Managing Director of Intel Labs, focuses on the research and delivery of breakthrough innovations. Rich provides an overview of the work that Intel Labs does and explains his team’s process in evaluating prototypes and ideas to determine which can go to scale. He describes a few of the areas of innovation the organization has explored including the intersection of data and AI, cybersecurity and a trusted compute base, and homomorphic encryption as well as provides how these areas can be benefited from advancements in technology. Finally, Rich describes the progress towards quantum computing and how his team at Intel Labs leverages ecosystems of companies and consumers for insight into the technology’s feasibility.
594: In this interview, Mark Papermaster, Chief Technology Officer and Executive Vice President of Technology and Engineering at AMD, focuses on the acceleration of compute technology and fostering a culture of innovation within AMD. Mark provides a background on the responsibilities in his role as both CTO and EVP as well as insight into how his team at AMD collaborates and works as it innovates new products. Mark discusses where he attributes the source of the company’s impressive value creation over the years, the importance of a culture based on open communication, problem-solving, and what he calls “creative contention”, and how that culture allows AMD to recruit top talent. Finally, Mark talks about how AMD uses being the first user of its technology to develop better products and some of the tech trends he is excited about.
590: In this interview, Adhir Mattu, Senior Vice President & Chief Information Officer of Marvell Semiconductor, focuses on the role IT plays in the growth of companies. Adhir provides an overview of Marvell Semiconductor’s business and how the IT department operates within a tech-focused company like Marvell. Adhir highlights the crucial role IT plays in expanding the infrastructure for a company to grow organically and integrating the capabilities acquired through M&A transactions. Through Marvell’s various historical acquisitions, Adhir describes the “blueprint”, culture, and guiding principles the company has curated to ensure M&A integrations are successful. Finally, Adhir discusses the ways in which IT partners with other teams to drive customer experience, designs new digital ways of working, and explores growing trends in technology.
584: Brian McCarson, Intel’s Group VP of IoT, shares his perspective on the evolution of the Internet of Things and Artificial Intelligence. Brian speaks to the increasing affordability and accessibility of both IoT and AI and how their development in other industries has brought it to the industrial sector. We talk about each service’s growth from something out of a science fiction novel available to large-scale enterprises to the ways in which AI and IoT have now intersected with and augmented the capabilities of small- and medium-sized businesses. Brian credits this evolution to open-source ecosystems where online innovators have helped improve the scalability of AI integration. Finally, he talks about how Intel specifically has helped scale manufacturing capabilities through automating processes and leveraging a place in an ecosystem of technology ingredient providers for small- and medium-sized enterprises.
583: Chris Bedi, Chief Information Officer of ServiceNow, focuses on the topic of digital transformations within companies and steps organizations have taken to foster resilience during the pandemic. Chris shares his perspective on how companies are doubling down on digital transformations, how AI is being used to improve the employee and customer experience, and how virtual agents are augmenting reality to assist remote employees in areas where they would have normally asked co-workers in person. Additionally, he talks about the future of app development, its minimum requirements, integrating AI into the development, and leveraging the growth of low-code/no-code to encourage citizen app developers. Finally, he touches on the topic of structuring the IT team to equip non-IT team members to think about machine learning and take advantage of new evolutions in technology among other topics.
In June, Sanjib Sahoo was named executive vice president and chief digital officer of Ingram Micro. He takes on this role with the company at an inflection point in its digital journey, as well as at a time of changing ownership for the company. Platinum Equity announced that it completed the acquisition of Ingram Micro from HNA Technology Co., Ltd, a part of HNA Group, on July 7, 2021 for a total enterprise value of $7.2 billion, in a transaction that includes $5.9 billion of equity value.
Ingram Micro’s CEO Alain Monie noted his excitement in Sahoo’s arrival at the company. “In his first few weeks in his new role as Chief Digital Officer, Sanjib has already proven to be an excellent fit to lead the continuation of Ingram Micro’s digital journey,” said Monie. “We are fortunate to gain a leader with a diverse and global background, tremendous technical depth, and a passion for creating an exceptional digital experience at this critical juncture in our digital evolution. He has been tasked with shaping and creating global competitive advantage and differentiation for our Technology Solutions and Cloud businesses through the development of innovative, world-class customer and user experiences.”
Monie also noted that Sahoo’s mandate includes leading the company’s current e-commerce platform IMOnline’s digital transformation to ensure the company’s customers can transact with Ingram Micro easily and intuitively.
Monie has tasked Sahoo with several initiatives related to building world-class user experience and platforms, including focusing on building changing consumption models and billing engines and leading modernization of the company’s legacy systems, which primarily serve the Technology Solutions business. “Data and machine learning is a critical component of where we are focused on building an insight-driven organization with the power of data,” said Sahoo. “Today, the vast majority of our revenues are derived from our Technology Solutions business and one of my big priorities is to focus on even better e-commerce execution through creating an integrated customer experience that is more self-service and enables solution-based selling through our platforms. There is a lot of work to lead digital transformation in a complex $49 billion annual revenue organization like Ingram Micro, but I am proud to be called on to continue the great journey that the company started few years ago.” In addition to platform innovation and e-commerce experience, Sahoo indicated that process automation will be an additional area of focus.
Sahoo joins Ingram Micro from XPO Logistics, where, for more than four years, he was the chief information officer of the Transport business. He was responsible for digital innovation, transformation, and overall technology operations including brokerage, intermodal, last mile, truckload, expedite, managed transport, and freight forwarding. Prior to his time at XPO Logistics, he was the chief information officer and chief technology officer of tradeMONSTER.
579: In this interview, Michael Taylor, Chief Technology Officer of World Wide Technology, focuses on how the company sees the future of digital and technology. He explains how he views the dot com bubble as the advent of the impact that technology could have on business and why a culture that encourages furthering innovation is crucial during a time of uncertainty. Michael talks about the strategic role he plays as CTO and how his focus is as he describes moving from “the art of the possible to the art of the probable.” He provides a few key themes of WWT’s Technology Strategy connecting technology to business outcomes, digital to physical worlds, and strategy to delivery. Additionally, Michael stresses the importance of engaging with employees during difficult and uncertain times as well as how the expansion of remote work and introduction of hybrid working models lead to more flexibility and invite the opportunity to attract a more diverse talent pool. Finally, he describes how he divides his time among his team, his customers, and his ecosystem to see from different lenses how organizations are thinking about disruption and taking advantage of emerging trends in technology.
574: In this interview, Rashmi Kumar, CIO of HPE, offers her perspective on the HPE’s digital transformation, the benefits of moving HPE’s headquarters to Texas, and the company’s focus on what she calls “digitalization to the core.” She talks about how HPE acting as customer zero for many of its offerings allows for a better understanding of technology’s limitations and leads to honest communication with HPE’s customers. Additionally, we discuss how HPE assessed its ability to transition 60,000 employees and 20,000 contractors to work remotely and why focusing on company culture was critical for the transformation. Finally, Rashmi offers advice on recruiting for a board-level position, ways for companies to sponsor and foster diverse organizations, and a look into some of the trends in IT that HPE is focused on.
