There is a new C in the executive suite, the chief artificial intelligence officer (CAIO). In March, the White House announced that all federal agencies had to appoint a CAIO so that the government would stay on top of AI developments. Vice President Kamala Harris gave a legal framework to the mandate: “Make sure that AI is used responsibly,” she said.
Ever since that presidential requirement, several agencies—including the Department of Transportation, the National Aeronautics and Space Administration, the Cybersecurity and Infrastructure Security Agency, and the Equal Employment Opportunity Commission—have complied, and many more are coming.
The US private sector is likewise on the move. In December 2023, David Mathison organized the first-ever chief AI officer summit and is planning a second meeting on October 2.
According to the tech specialist Foundry’s 2023 study, 11% of midsize to large companies have already designated a CAIO and 21% are actively seeking one. Financial institutions and the health-care industry are at the forefront of the race to find those rare technical experts with insight into ethics and regulatory compliance. The Cleveland Clinic and UC Davis Health already have their CAIOs. For them, AI promises improved patient care without neglecting safety, data security regulation, and more.
The new executives have a broad remit. They must successfully deploy AI within their companies, improve the workforce’s productivity, identify new revenue streams and recognize ethical and security risks. They should also be knowledgeable about talent gaps, create robust learning programs to upskill employees and measure the efficiency of AI’s adoption. “It is a full-time job,” warns a KPMG study that is “leading the charge on AI.”
If the company lets the technology officer or the CEO occasionally supervise the AI revolution, multiple fragmented projects could emerge. Most executives agree that a single strategic coordinator will be needed to make the hard choices. KPMG created a CAIO position in October 2023. Morgan Stanley, Intel, Dell, SAP and Levi’s all have a new C in their organizational charts. In Europe, Accenture and advertising giant WPP followed the same path.