The Secrets of CDO Success
Repeatedly this year, Inside Reference Data has been hearing about and reporting on greater prominence for the chief data officer (CDO) as an often newly created role at firms. Other than a couple of prominent examples where a new CDO has apparently gotten authority and power to make changes within firms, the jury is still out on whether CDOs will catch on as a force in data management.
Firms are having to make the most of their available resources for data management. As Kingland Systems' Alex Olson remarked at our Toronto Financial Information Summit, CDOs can only be effective if they have clout with the business side of their firms. That implies that CDOs whose pedigree is on the operations technology side have to bridge that divide to do their job.
Are CDOs likely to get caught in a C-level turf war with chief information officers or chief technology officers? That's a distinct possibility. A CDO, especially if they come from the technology side rather than the business side, is likely to have to report to those pre-existing positions, or at least has to collaborate with them. Could this be a case of too many technologists spoiling the broth?
Should CDOs be chosen and appointed with a business focus in mind? Looking for CDOs who have a business rather than a technology pedigree is a possible solution. Another factor for how useful a CDO role can be at a firm is the volume of data it handles and the size of the data management that is necessary. Sell-side firms naturally contend with a lot more data than the buy side.
What's happening with the rank and file, however, may matter more than machinations at the top. Oliver Salvati, a data management executive at Sun Life Financial in Toronto, points to the importance of business and technology professionals working together, under any CDO who might be in charge. "An effective data manager or specialist understands developments with data from a business perspective," he says, adding that business stakeholders have to take ownership (and by extension, responsibility) for data projects if they're going to succeed.
To place this all in perspective, the CDO role appears to be catching on, but for it to be meaningful and effective, it has to mean that firms' business sides are invested in supporting the CDO's authority – and that business and technology staffs are going to work together under that authority.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@waterstechnology.com
More on Data Management
Bloomberg adds AI earnings summaries to Apple Vision Pro app
The vendor continues to add content and functionality to its Bloomberg Pro for Vision app, which sits at the convergence of spatial and mobile computing.
Waters Wrap: After CrowdStrike crisis, will anyone learn?
Several bank and hedge fund sources tell Anthony that while there’s plenty to be learned from the CrowdStrike bug, some will more than likely forget those lessons in a few weeks’ time.
Insurers deny cyber premiums are rising
Contrary to banks’ complaints, underwriters and brokers claim current market for policies is soft.
Cutting through the hype surrounding the FDTA rulemaking process
A bill requiring US regulators and institutions to adopt a machine-readable data framework for reporting purposes applies to entity identifiers, but not security identifiers, in a crucial difference, writes Scott Preiss, SVP and global head of Cusip Global Services.
The IMD Wrap: Quality drivers—the sticks and carrots accelerating the data quality race
Like a Formula One Grand Prix, data management is a race that can be won or lost. And just as each race is part of a larger F1 championship that pays large sums of TV money to the winning team, winning or losing one race can contribute to winning or losing an endgame with much more at stake.
Northern Trust offers internal fund accounting, data tools to clients
Regulations and a mandate to enhance quality and transparency in a bid to improve the investor experience are pushing buy-side firms to have more oversight of their third-party providers.
$135.6m fines prompt Citi to modernize infrastructure, controls
The bank was hit with a combined $135.6 million fine on Wednesday for failing to resolve “longstanding internal controls and risk issues,” amid continued internal work across the enterprise.
SocGen pushes data, analytics use cases for SG Markets
The bank is letting a handful of clients experiment with its proprietary data and models to inform their research.