Expectations for enterprise artificial intelligence are high. Executives are asking people to adapt quickly and set big goals for large-scale AI innovation. Value has become a central setting. And the spotlight is on the ROI.
More and more organizations have created the role of Chief Artificial Intelligence Officer (CAIO) to provide AI leadership and accelerate AI-related business outcomes. And many CAIOs are already driving incremental value and providing business goals.
For more information about this new role, we looked into more than 600 CAIOs in 22 geography and 21 industries in the first quarter of 2025.
Overall, they reached out to over 2,300 organizations, but only 26% said they currently have CAIOs. This is up from just 11% in 2023. 57% of these CAIOs have been appointed from the organization's internal talent pool. 66% expect most organizations to receive CAIO within the next two years.
CAIO has an obligation to promote true progress. They are tasked with defining an organization's AI strategy, directing the implementation of AI technology, managing AI budgets, and developing change management strategies for AI adoption.
It's a huge shocking job and could offer a big dividend. CAIO organizations are seeing 10% ROI in AI spending and are 24% more likely to say they outperform their peers in innovation.
CAIOS helps organizations provide higher AI ROI.
When does an organization need CAIO?
The CAIO investigated stated that the role of CAIO was created for two main reasons. It promotes AI strategies and accelerates AI adoption. They encourage and lead the conversations between AI and intelligent automation at the highest level, transforming the work that is happening on the ground. They are foresights directing change that drives AI. The adhesive that holds the AI portfolio together.
This glue is not so important when an organization is piloting an AI project. However, when turning pilots into enterprise-level AI investments, you need to define a clear direction for AI use, fostering portfolio-level decision-making, and keeping your team focused on shared goals.
One of the important CAIO responsibilities is to navigate complexity. Today, a typical organization uses 11 generation AI models, with at least 16 expected by the end of 2026.
61% of CAIOs manage their organization's AI budgets.
What should CAIO succeed?
The leader is not an island. This is especially true for CAIO. They exist to bridge business and technology strategies, focusing time and energy towards shared goals. Provide value with AI.
However, CAIO cannot achieve a wide range of missions on its own. In fact, partnering with other C-Suite stakeholders is the only way they can get the job done. They need Chief Innovation Officers (CIOs) and Chief Technology Officers (CTOs) to maintain their AI, enterprise IT and technology strategies. They need to work with the Chief Data Officer (CDO) on data strategy, data quality, AI governance, and analytics. A Chief Information Security Officer (CISO) is required to address data vulnerabilities and cybersecurity threats. You also need the best HR Officer (CHRO) to help you build employee support.
Similarly, CAIO must be the remaining C-Suite resource. 76% say other CXOs are consulting about their AI decisions. By actively collaborating across C-Suite, CAIOs can focus their corporate efforts on a shared set of AI-driven outcomes, tailoring their AI strategy to business, technology, innovation, security and talent strategies.
57% of CAIOs report directly to either the CEO or the board of directors.
How can CAIO provide higher AI ROI?
CAIO is at the heart of the tissue's AI nervous system. This advantage allows CAIO to accelerate AI transformation, maintain strategy-aligned use cases, and prioritize AI tools, AI systems, AI applications, and other advancements that are most likely to give a competitive advantage to your organization.
However, the system only works when the technology is fully integrated, with only 25% of executives strongly agreeing that an organization's IT infrastructure can support scaling across AI enterprises. Furthermore, organizations need to connect dots around shared business goals, and teams work towards the same goal.
CAIOS can address these challenges by breaking silos and barriers and supporting key AI initiatives. In fact, our research points to three key areas that CAIOs are attracting attention, with more measurable business impacts with AI solutions. Measurement, teamwork, and authority.
The sky is at its limit
Download the full report for more data and insights showing how CAIO can cut complexity. You will also download an action guide that outlines the next steps that a particular leader within C-Suite can take to deliver more business value with AI.
