The chief technology officer: Strategic responsibilities and relationships

The significant role of technology in strategic business decisions has created the need for executives who understand technology and recognize profitable applications to products, services and processes. Many companies have addressed this need through the appointment of a chief technology officer (CTO) whose responsibilities include: monitoring new technologies and assessing their potential to become new products or services; overseeing the selection of research projects to ensure that they have the potential to add value to the company; providing reliable technical assessments of potential mergers and acquisitions; explaining company products and future plans to the trade media; and participating in government, academic and industry groups where there are opportunities to promote the company's reputation and to capture valuable data. Integrating these technology-based activities into the corporate strategy requires that the CTO nurture effective relationships with key people throughout the company. These include the CEO, members of the executive committee, chief scientists, research laboratory directors, and marketing leaders.