Insights from BIE’s Transformational Leadership research and interviews with senior technology leaders
Technology has become one of the defining forces shaping organisational transformation. From artificial intelligence (AI) and advanced data platforms to large-scale system modernisation, organisations across every sector are rethinking how they operate in response to rapid technological change.
Our Transformational Leadership research highlights just how significant this shift has become. Technology change was identified as the biggest challenge leaders expect to face over the next five years, with 41% of leaders identifying it as their primary concern. The research also highlights the growing importance of digital understanding within leadership teams and the risks organisations face when the necessary technology capability is not in place.
Yet while technology may be the catalyst, it is rarely the whole story. Digital programmes unfold within a broader context of economic pressure, organisational complexity and shifting business expectations. Their success ultimately depends on leadership – the ability to guide organisations through sustained change while maintaining performance.
To explore how these challenges are playing out in practice, Byron Tarboton, Managing Director within BIE’s Digital & Technology Leadership Practice spoke with senior technology leaders Anna-Lisa Miller, Group CIO at Spectris Ltd and Ed Hutt, Interim Group CIO, about the transformation programmes currently underway in their organisations, the evolving role of technology leadership, and the capabilities organisations will need in the years ahead.
Technology transformation is becoming continuous
One of the clearest themes emerging from the conversations was the pace and persistence of change. Technology transformation is no longer something organisations undertake periodically; increasingly, it has become a permanent feature of the operating environment.
As Ed explains, organisations are under constant pressure to modernise their systems and capabilities.
“All organisations today are going through some form of technology transformation, partly because of AI, but also because systems constantly need to be updated and modernised.”
This is driven not only by innovation but by compliance. Regulatory frameworks, cyber‑security standards and certification requirements increasingly force organisations to maintain a constantly evolving technology estate. For many, large‑scale system change is no longer a strategic choice but a baseline requirement to remain certified, secure and competitive.
Anna-Lisa reinforces that this pressure is magnified by the wider global environment.
“Technology is probably the most visible element of disruption, but leaders are managing it alongside economic pressures, macro uncertainty, geopolitical fragmentation, regulation and cyber risk.”
The result is that transformation is rarely a contained programme; instead, it is part of a broader, ongoing adaptation to external forces.
Our research aligns with this outlook. 73% of organisations expect AI to be a major focus of transformation over the next five years, reflecting the scale of change leaders must prepare for.
Technology is only the most visible layer of transformation
Although technology often sits at the centre of transformation programmes, both leaders emphasised that it rarely exists in isolation.
Technology-led change frequently intersects with strategic alignment, Operating model redesign, capability restructuring, new regulatory demands, and cultural and behavioural change.
For tech leaders, this means their role extends far beyond IT delivery. Technology leaders must now help the organisation navigate ambiguity, interpret emerging risks and opportunities, and align technology decisions with organisation-level priorities.
Anna-Lisa believes this shift is fundamentally redefining the role.
“Technology leaders today must operate much more broadly across the organisation. It’s not just about IT delivery anymore, it’s about helping the business navigate complex change.”
This expanded remit requires new skills that enable technology leaders to influence across the C-suite, translate technical decisions into commercial implications, and ensure the organisation builds the capabilities needed to exploit technology, not just deploy it.
BIE’s research reflects this shift in expectations. Digital capability is now widely recognised as one of the most important skills leadership teams will need in the coming years.
AI is reshaping leadership expectations
Both leaders highlighted the increasing importance of AI governance and the risks for organisations that rush ahead without the right foundations.
Anna‑Lisa warns of the long‑term consequences of rushing AI adoption.
“Organisations that rush into AI adoption without clear policies, guardrails and ethical frameworks may find themselves unravelling complicated implementations later.”
This marks a significant shift. AI is no longer simply an emerging technology; it is a leadership, regulatory and reputational issue. Decisions made now will have long‑lasting implications for risk management, data governance and organisational trust.
For boards, this means the expectations placed on technology leaders are rising rapidly. CIOs and CTOs are increasingly expected to:
- Shape enterprise‑wide AI strategy
- Ensure responsible and ethical adoption
- Develop organisational AI literacy
- Manage emerging risks, including regulatory compliance
- Embed AI into operating models, not just systems
As Ed observes, leaders who cannot rise to this challenge will struggle.
“Not all business leaders are transformation leaders. Not all CIOs are transformation leaders. Some can lead change. Some cannot.”
Crucially, this highlights the need for CEOs to actively assess whether their technology leaders have the transformational capabilities required for the AI-enabled future, or whether a Chief Transformation Officer or interim leader is needed to drive change.
The human barrier to technology transformation
When it comes to introducing new technology, the question is not simply how, but whether organisations have the leadership capability required to guide the organisation through sustained change.
While technology can be implemented at pace, people, behaviours and processes take far longer to change.
Anna-Lisa and Ed both highlighted the importance of the human dimension when it comes to transformation. Ed stated:
“The hardest part isn’t planning a transformation, it’s sustaining it. Organisations snap back to old ways unless leadership actively prevents it”.
Transformation requires shifts in mindset, capability and ways of working, and without strong leadership, old habits reassert themselves quickly.
BIE’s research highlights the scale of the challenge. More than a third of organisations reported that a lack of technology skills had contributed to transformation difficulties or failures.
Both leaders advocated for cross-functional capability building as the most effective way to strengthen organisational resilience. Anna-Lisa noted the value of knowledge sharing and bringing together different capabilities.
“Fusion Teams – bringing domain experts, engineers, data specialists and risk leaders together – enable real cross-pollination and lift capability across the organisation”.
Ed, meanwhile, stresses the importance of ongoing skills measurement, not one-off training.
“Learning must be measurable, incentivised and tied to performance. Without that, capability decays”.
Therefore, this reinforces the critical insight that successful transformation is fundamentally a leadership and capability challenge, not just a technology challenge.
The growing role of interim transformation leaders
Both CIOs acknowledge that internal capability alone is not always enough, especially for large, complex or time-critical transformations.
Anna‑Lisa points out the risk of relying on external expertise without building internal capability in parallel.
“External talent can accelerate transformation, but it must bring internal people up to speed at the same time. Otherwise, you create a bigger capability gap afterwards.”
Ed highlighted the strategic value of interim transformation leaders.
“That’s where businesses turn to interim leaders who’ve done it before, many times. They bring the expertise to lead, measure, stabilise and embed the transformation.”
BIE research highlighted organisations’ growing interest in external capabilities, as almost three-quarters of organisations expect to rely on external capabilities, including agencies and interim talents, to meet their needs and deliver group projects in the next five years.
Experienced interim leaders can bring immediate capability, an independent perspective and practical experience of leading similar programmes in other organisations, all while ensuring capability transfer to internal teams before they exit.
In transformation environments where pace, precision and accountability are paramount, this hybrid model, blending internal stewardship with specialist external capability, is becoming the new norm.
Preparing for the next phase of transformation
As technology continues to reshape organisations, transformation is becoming less about delivering a single programme and more about building the capability to adapt continuously.
For many organisations, this raises an important question about whether their current leadership teams have the experience and perspective required to guide the business through ongoing technological change.
In some cases, that capability will be developed internally over time. In others, particularly those modernising legacy systems, adopting new digital models or undertaking complex transformation under time pressure, external expertise will remain essential.
Ultimately, transformation success will be defined not by the technology organisations adopt, but by the leadership capability they build. As AI, data and digital business models continue to accelerate, leaders must ensure their organisations can navigate continuous change, supported by the right mix of internal talent, strategic foresight and specialist transformation expertise.
If you’d like to speak to our team about technology transformation and how to place the right leadership in your organisation, please get in touch.
If you would like to read our full Transformational Leadership Report, you can download it here.