Syncing with ServiceNow: New research: The changing role of IT leadership in organizations

AI is changing everything, including IT leaders’ to-do lists. Nearly every team across the modern enterprise—from HR to public relations to customer service to engineering—is using AI to get work done, according to recent ServiceNow research on the changing role of IT leadership in the AI era.

As a result, IT leaders have been propelled to center stage. Chief information officers, chief technology officers, and other tech leaders are now responsible for a vast range of tasks, some of which are far outside the traditional purview of IT. While some executives are seizing the moment to become “chief everything officers,” others are scrambling to figure out how to prioritize and delegate.

Host: Andy Whiteside
Co-host: Mike Sabia
Co-host: Fred Reynolds

Transcript

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Andy Whiteside: Everyone welcome to Episode 41 of syncing with service. Now I'm your host. Andy Whiteside got a good topic today. Got a good panel. Fred Reynolds runs the modern apps practice where service now lives. Fred, how's it going.

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Fred Reynolds: Going? Great. Andy, how are you?

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Andy Whiteside: Good. I know you're heading up to Boston to spend some time with the service now, folks up there, hopefully hopefully, it's a really good use of your time. I'm sure it will be. And then I think you were at what some of the New York events last week. Maybe.

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Fred Reynolds: Yeah, was absolutely. You know, this is my favorite time of the season. So this is a great time to travel right? This is beautiful most of the countryside, but I am sort of like Boston used to hate it because of the cause of the driver, but with Uber man I could just land, get in the Uber and not have to stress over where I'm going. So I do like it. So I think, Andy, you told me about Uber and years ago, and I didn't listen to you. But I will say New York.

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Fred Reynolds: I've got to spend some time with you next week in a leadership conference because I need to understand how to get around New York better. I spent a little too much in Uber, and I don't need to, I know. But you gotta teach me.

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Mike Sabia: Fly into Newark and then take the path.

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Mike Sabia: That's what I would if I was.

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Fred Reynolds: Years ago I used to go to Jersey City a lot and come over to New York, but I mean I failed this time. I will admit it, but I had great.

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Andy Whiteside: Not even the path, Mike, there's a bus picks you up right in front of every terminal and drops you off in midtown 3 different spots. It's amazing.

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Fred Reynolds: Well, I will need to get with you before I go back on the 7.th There's a world form in New York on the 7th that I plan to go to as well, so I need to know it before the end.

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Andy Whiteside: And Uber just announced a week or 2 ago. They now have a shuttle that goes from midtown to Laguardia

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Andy Whiteside: like many, many times during the day, and you just use the Uber app to get on a shuttle, you know, like, with 10 people takes you.

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Fred Reynolds: Did see that. I think it's only like $7, too. It was a good little bit away, and I was trying to go. So yeah, I didn't do a good job with with managing my travel this time, but I will plan it better.

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Andy Whiteside: Yeah, yeah, lots of technology. We've ends. We could have their platform uber as a platform uber as your travel platform of the future. Think about that as service now, I mean, that's that's what they're gunning for, no doubt. Mike save you. Oh, sorry, Mike, Fred, Fred! What's the biggest takeaway from your time last week around the service. Now, folks, and what they were presenting. What's the number? One thing

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Andy Whiteside: you want to tell people you learned.

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Fred Reynolds: You know what I service now just continues to invest in their resources, their people, their platform. There's so much focus around AI, and I think they're doing a really good job of bringing more and more people in to help help

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Fred Reynolds: address all customers right? Small, medium large. They have big teams built around. All those I think my biggest takeaway from last week is how they continue to keep investing in. You know the the back end the solution. Architects the Esses to help support the platform and the teams to you know, really go alongside of us to go win customers over for service. Now.

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Andy Whiteside: Yeah.

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Andy Whiteside: Awesome, Mike. How's it going.

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Mike Sabia: It's going well, thank you.

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Andy Whiteside: What's what's the hottest thing going for you this week?

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Mike Sabia: I was off 2 days last week, so my hottest thing is just getting back into the game finding out where those

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Mike Sabia: projects are going. See, all my emails and the updates to them.

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Andy Whiteside: That's good. You you do that. You you get caught up.

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Fred Reynolds: Yeah, yeah.

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Andy Whiteside: Gave up on getting caught up. Many.

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Fred Reynolds: He's 2 h behind us, so he's still got a few hours in the day to get caught up, but.

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Andy Whiteside: Alright. So you guys brought a blog to review today. Let me share my screen with you guys.

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Mike Sabia: Pretty high level and not doesn't delve quite so much into the products of some of our other podcasts. But.

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Andy Whiteside: I like it.

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Andy Whiteside: I can't wait to share this with some of our it, leaders, because this is where your head's got to be at. So then says the title is new research.

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Andy Whiteside: the changing role of it leadership in organizations. I'm going to translate that to in the business.

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Andy Whiteside: It's by Evan Ramzipoor, from October 15th of this year. I love this topic that you brought forth today because it has been in most organizations a support center and a cost center for a long time. Now that we're hopefully going to be leading the AI revolution

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Andy Whiteside: with platforms, not products, platforms like service. Now we finally get a chance in the it world and with the It leaders that we're going to be working with and supporting to truly accelerate the business. And that's what this blog is talking about, Mike. Why, why, specifically, did you pick this one.

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Mike Sabia: You know, we we

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Mike Sabia: as I was just saying it, this this one doesn't maybe go into quite so much the product. But sometimes we need to, you know. Step back and and look at it from a higher level. Yes, service now is continuing to grow. It's it's getting broader and deeper, and it's fantastic. But sometimes you have to take a step back and say, Hey, what are we trying to do, you know? And and as we talk about this blog.

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Mike Sabia: the role of it or leadership in general. Not just it. Leadership is changing. And we need to be more aware of what's happening and how we can direct the business rather than just maintaining

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Mike Sabia: an organization.

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Andy Whiteside: So it's got a little bar graph here. And it starts with number 1, 67% of the It leaders. Job is strategy and vision, not for it anymore.

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Andy Whiteside: but for the business. Fred, does that make sense.

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Fred Reynolds: Yeah, I think that one thing above that you see back there. It talks about Ctos and Ceos right? They're now starting to be more responsible for a wide range of tasks that are outside of what traditionally was. Was it so? It is important that vision, that strategy, because

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Fred Reynolds: what used to be outside of it, for other businesses to handle is now become a lot more part of the technologists and the information officer that that own tools or platforms and make decisions that impact them. So I think it's strategy, in my opinion, has always been part of the CIO's role in a big way. Strategy is a lot different from having a vision, and I think the vision plays a part into where are you going to be in 5 years? And what what are the tools, and what are the choices around your technologies to actually get you there? I think these days.

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Andy Whiteside: Where are you going to be, Mr. Company? Mr. Business, Mr. CEO? Mr. Cfo. Mr. Coo, that it guy that it guy in the organization should be a thought leader, like all those other guys, have been. So instead of being support for all these other parts of the business, you know, because of the technology use cases which has been the case for a while. But now, with AI being a forethought instead of an afterthought.

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Andy Whiteside: they're all gonna we're we're gonna have to have a massive seat at the table from a technology perspective.

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Andy Whiteside: Mike, I'm gonna read through these real quick, and then I'll come back to you, just kind of talk through them cost management and profitability. 62% change management, 59%, digital transformation, 59% talent, management and skills development. 54% again, these are all things that it leaders are thinking about as it relates to their job at the company customer and employee experience 52%. That's gotta be that one's had to come up a lot in the last couple of years.

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Andy Whiteside: Ethics and governance of AI and emerging technologies. Well, if you don't realize that's you're going to be the watchdog for that, you better realize it pretty quick, because that's part of this responsibility that we've got workflow digitization digitization digitization and automation at 50% value drive value. And roi from technology investments. Well.

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Andy Whiteside: that's a given. And that's 1 that's, you know, we've been focused on forever and still struggling with. But you know part of the role for sure. Business growth and shareholder value. Wow! That one, that one snuck its way in there. But yeah, I mean, if you're driving strategy, that's successful. That should be the result, Mike, just in general recap of these, and and any of them stand out to you as unique.

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Mike Sabia: I mean, all of these are super important. There's some that are a little bit more traditional, like the 3rd one change management.

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Mike Sabia: But

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Mike Sabia: you know, even the one just below digital transformation. That's where we've been in the business the last 20 years, you know, taking an old school brick and mortar company and and making it digitally available transforming it into something larger each of these is important, and I could go off for 10 min on any of these. I

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Mike Sabia: you know I wouldn't. Necessarily.

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Mike Sabia: My my personal sense is that business growth and sharehold value should be lower for an organization that is trying to grow and be respected. But

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Mike Sabia: you know the way that sea levels are higher nowadays the growth and charitable value, unfortunately, is, is right and center with those type of roles. So I'm I'm a little more attached to some of the more tactical and strategic rather than just shareholder growth. But any one of these are super super important.

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Fred Reynolds: If I can comment real quick. Coming from this. This was like what my life was 1014 years right to a couple of years ago, like I do see, like you would not have seen business growth and shareholder value being a part of kind of a traditional CIO type role right in the it space. Not a lot of it. It was really about managing and cost management. Profitability was about managing your calls within it internal. So much of this has changed, in my opinion, last several years of

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Fred Reynolds: now you kind of focus. Now, how are you impacting your customers? Right? That's the things that have made a big difference. And then the the ethics and governance around AI and emerging technologies.

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Fred Reynolds: emerging technology has been around for a long time. You do not see a lot of it, leaders really trying to use that emerging technology in their own shop because they're nervous to how it would impact their customer base. Internally. Again, all these things focus internally. But now everything shift into AI so heavily. AI is part of that emerging technology, and they're starting to be forced. It feels that way from

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Fred Reynolds: just where they are, every it leader looking at AI, that it has to be part of those daily discussions at this point. So I definitely see the shift.

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Andy Whiteside: You know.

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Andy Whiteside: Here's 1 way. I'm kind of looking at this. Imagine an automobile manufacturer that just put the same straight 6 or V 8 in a car, forever, forever and ever. And all of a sudden it became important to the fuel. Efficiency became top of mind, and next thing you know, all the manufacturers had to redesign their engines, to be 4 cylinder and 6 cylinders with turbos. All of a sudden the engine department and organization became extremely important when for many years they were just, you know, part of the package.

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Fred Reynolds: Yeah, yeah.

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Mike Sabia: Good analogy.

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Fred Reynolds: Yeah.

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Andy Whiteside: That would make sense

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Andy Whiteside: alright. This chapter, this paragraph here says, changing it. Leadership demands Mike. What are they saying? There.

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Mike Sabia: it's a little bit similar to what we're talking about, you know. What does it mean to have a well functioning it team before you were talking about grading yourself based on how you well, how well you run the business, how? Whether you have attrition! But

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Mike Sabia: we, starting to look at some of the things we just spoke about business growth and shareable value to then go into, you know, boosting revenue, creating financial value before it was very much a cost center. And now there, have a seat at the table to figure out how we're going to grow, and and AI is is naturally part of that. If you want to say, Hey, how can I do this?

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Mike Sabia: Why reinvent the wheel? You know leverage AI as much as possible, not just an automated fashion, but in your daily lives.

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Andy Whiteside: How much of that you think is related to

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Andy Whiteside: the necessity of what AI can do for the business, and how much of that, do you think is related to Fomo

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Andy Whiteside: like fear of missing out on what might could happen if you really took advantage of AI in the business.

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Mike Sabia: Going off attention a little bit. A a lot of what you see today. People claim this is AI is not really AI. They're just putting the sticker on it in order to get that. That that that badge of, hey? We're we're a leader, or we're, you know, maybe justifying my job, or trying to show that my business is is on the front end. But if you, you know.

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Mike Sabia: take a moment and step back and say, Hey, what does it really mean? I I don't think it's just fear of, I mean.

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Mike Sabia: I suppose it partially is, you know. Hey? I have a fear that in 10 years maybe my job won't be there, and and that is an aspect. But ultimately, if you want to be proactive, if you want to grow and not just be reactive. You need to embrace those things so that you can figure out how you can be on the cutting edge and not just keep your job.

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Andy Whiteside: Red thoughts.

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Fred Reynolds: Yeah, I think it's just it comes to changing. I the it leadership demands. I think the demands have changed across it. And I think it's now across the sea levels, across the business units. They're starting to understand some of the tools that it can provide them to help them actually go and be more

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Fred Reynolds: you know, create financial value, right? Create a better position for the company. So I think that's kind of been the biggest change. You don't see a lot of you still see niche type tools. But now you're looking at more tools that can actually help across all the business units. And that's kind of been a big change.

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Andy Whiteside: I think that's a huge part of it. The fact that it now brings everybody together. It was always a requirement of all the different business units or different departments but now we have a chance to help improve efficiencies across all of them, using the technologies and platforms we put in place. But now AI accelerates that.

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Fred Reynolds: And I think the buzzword digital transformation several years ago, and everybody going towards digital transformation really started that that outward view of everybody, everybody was involved in making some of that transformation. I think it brought that need of having it still be the center of operationalizing what the company does. So I think it is still ties in digital transformation. But now it's like, what tools do they have? And I think that's brought more awareness to some of these platforms versus niche tools.

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Andy Whiteside: Yeah.

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Andy Whiteside: Well, as I skim this article earlier, this is the one I was most excited about, because we finally get to talk about. Obviously it is a profit center. Mike, your thoughts.

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Mike Sabia: Yeah, I mean a. As you said, you know it. It used to be a cost, and now it's a profit.

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Mike Sabia: If you want to run a business. It's just. It's not just a means to

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Mike Sabia: make the big things happen. It is the way to make things happen.

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Mike Sabia: Customers and and companies need to focus on the technology and see, that's what we're selling. We're not selling. Necessarily the widget. We're selling the process by which we pre we buy those those widgets? And it is is that is not just a person listening in the boardroom. It's the one that's often driving those conversations.

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Andy Whiteside: And that's because, you know, with

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Andy Whiteside: AI said that acronym a ton already. But with AI. Now, all of a sudden, we've got a chance to prove our worth in terms of accelerating the profitability of the business faster than we ever could before with everything else we ever had. Now the sudden. There's this.

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Andy Whiteside: you know this, I'll say human intelligence accelerator that's done through technology that's going to allow the business to be exponentially more successful from a profits perspective, because the you know the investment is high, but the human capital that takes to run it once you've done it is much lower.

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Andy Whiteside: or or almost well, much lower. And so profitability becomes, you know, the answer. As you apply these tech, apply AI to the stack.

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Fred Reynolds: I think it's helping get to a better profit for the fact that the automation that is created is tying other business units together for the quote to cash with this customer service, a lot of the information from these tools or platforms that are being utilized are actually making teams more successful and making sure you understand, the the more the impact to doing things or not doing things to our customers.

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Fred Reynolds: I think it's the use of that is actually helping to not only show some of the profitability, or show some of the losses when when things aren't going well. That process is very important that Mike mentioned.

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Andy Whiteside: Mike, next section talks about new it skills. This isn't our this isn't our. Oh, I'm gonna about to use a a statement here, you might not be old enough to understand this isn't your father's Oldsmobile.

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Andy Whiteside: This is a whole new set of skills you're gonna have to have.

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Mike Sabia: I I'm not that young, but yes, I I hear you. And it's interesting. You know we we think about AI, hey? How can we, you know, speed up this ticket resolution. How can we give people a quick summary of the ticket? How can we? You know, look at all these logs and identify trends before they they happen. All those are are important

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Mike Sabia: myself. I personally, when I go to Chat Gpt, I'm often thinking about hey? How can I say this? And it spits out a way to make something very presentable. And when you look here and talk about soft skills and communication.

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Mike Sabia: people are using AI to

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Mike Sabia: beef up their skills. And if you want to be competitive, if you want to be able to, you know, show yourself as as well spoken and well thought out. You need to see what's out there, and and you know part of that is using this to find out and see how you can phrase it, but also use as a training method, for you know, improving your own skills and not just be the it head downs. Guy.

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Fred Reynolds: I think, Mike, that's a big difference, right? It traditionally was heads down. God was in the closet, working on the keyboard and fixing things these days, the it is more upfront being brought into some of the sea level, discussions being being brought into some of the cross organizational discussions of how this works? Right? How can that data get moved from there to there? How can you utilize that in your process? It does require some soft skills. It does require it.

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Fred Reynolds: smart resources that can actually communicate effectively and sometimes put it in layman's terms. So it is a more soft skills approach to it than just having to have all the search and then nerding out like you used to in it.

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Fred Reynolds: Yeah.

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Andy Whiteside: And maybe that's not your traditional. It guys strongest skill set.

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Fred Reynolds: Well, that's where you have a a It team right? You still want those people to get. Throw them in a closet. Let them code, or let them fix and be trouble shooters right? That's still a skill set. So being able to troubleshoot and find issues. But I think in in some of this transformation, we're seeing some more. The use of AI, you have to have people with more soft skills to understand, how does that translate into the user community to have a better customer service users.

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Mike Sabia: And that's not just mean that you have to be, you know, superb at everything. You have colleagues, you know. We have a great a couple of great marketing people. If I have a a document that I need to send out, or a template, I run it by them, I say, hey? I could probably do this. You could probably do it quicker. And you you see what they do, and they do a fantastic job, and and then you learn it for your day to day, job, hey? How can I present a new topic in a in a fantastic way.

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Andy Whiteside: So lots of talk about AI.

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Andy Whiteside: We're going to wrap this up by talking about the human centric future

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Andy Whiteside: that includes AI

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Andy Whiteside: Mike.

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Mike Sabia: Building on what I said. You know.

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Mike Sabia: we're not just using AI, we're not just doing soft skills to become, you know, more and not less. You know, we're we're

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Mike Sabia: want to understand everything. It is possible what all those tools that are at our fingertips, whether they are personal skills that are grown by leveraging AI personally, or leveraging AI to do some of that that hard work that would otherwise need to be done very slowly in order to identify trends. And like

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Mike Sabia: everything is is human centric, whether it's gonna be making things human improved from a customer experience or making things more available to us in a human understood format by that. You know. Deep language.

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Mike Sabia: immersion whether we want to, you know. Be a seat at that sea level table.

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Mike Sabia: Everything is is human centric. It's never gonna be. Hey? Hey? Let's just run this, and it does things. It's it's far. AI is far more than just doing something a little faster.

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Andy Whiteside: Brad thoughts.

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Fred Reynolds: Yeah, not too much to add to that other than the fact that I look at is even what we're trying to do from a service. Now.

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Fred Reynolds: you know, partner, a a team of resources trying to work with our customers to really understand their business needs, their processes the same way we're trying to create that relationship, understand what they're trying to accomplish and then act on that. This isn't just task. So I kind of look at the same way. This isn't just task. It isn't just things you take and go check that box. I've done that, and everything comes together that human centric has to be able to focus on what is the end goal? And are you achieving that? And can you measure that? They just task based things.

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Andy Whiteside: This is where I usually like to talk about the fact that you know this AI thing is, is it going to take over the world. Well, we sure hope not, and I don't think it will. However, what it is going to be is, it's an effective tool and a coach

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Andy Whiteside: for those who know how to take advantage of it, and can apply the the human element to the power of the of the tool set. Yeah.

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Andy Whiteside: no.

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Andy Whiteside: Mike anything we didn't cover.

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Mike Sabia: Think we covered it fairly well.

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Mike Sabia: You know AI is is here.

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Mike Sabia: It has a lot of uses to

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Mike Sabia: speed things up.

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Mike Sabia: but it's also a tool for us to improve ourselves and make ourselves more presentable. It's a tool for us to learn how we can leverage other people's ideas to improve our business. It's it's gonna pre pretty near and dear to all of us.

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Andy Whiteside: Or anything. You think we should cover, that we haven't covered.

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Fred Reynolds: No, I think we have. I'll just go back to the change of role of it. Leadership. I I think that the main thing that just to reemphasizes it these days are part of

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Fred Reynolds: the company in a forward looking. How does it impact the bottom line? How can it be utilized to help us improve our market value, our position, our profit, and that is a change. I mean, that is one thing I think that is really neat, and I will put the plug in for service. Now, since this is our sync with service, now, it is absolutely a tool that I have a lot of conversation with C levels these days are trying to understand

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Fred Reynolds: how a mega platform like this fits into their vision and their strategy of what they're trying to do, and it checks so many boxes as far as helping them with that type of transformation. Yeah, all those things you're circling right? There is a great example of that.

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Andy Whiteside: Well, that sounds I was gonna bring it back to the chart. I mean, if you go through this and look at all the things you're trying to accomplish here as an It leader. Every single one of them becomes more doable with a platform like service. Now, to accomplish.

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Fred Reynolds: Absolutely.

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Andy Whiteside: To leverage.

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Fred Reynolds: And it's really great. I'll circle back to, you know, last week, like you, said Andy. I was at in New York and did one of our blueprint launches where we talk about you know how we use the service now is integra, how I use service now, even at enterprise, and and those and those leaders in the room. It was great conversations, and and did not, even though they may own service now, did not even realize how large the platform was because they're not looking at it in those areas. And and that kind of opens their eyes into so many areas where they can go after and do it so

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Fred Reynolds: really neat, and enjoy having those conversations.

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Andy Whiteside: And and for me there, that means they're not looking at as a platform. They can do anything. They just got to bring their imagination.

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Fred Reynolds: Well, and I asked the question right? It's kind of like, how long have you had it right? Some have had it 5 years, some have had it 10 years. The ones that had a lot longer did not realize that Hrsd. Hrsd. Was kind of part of that platform. Now, how does it tie to Hr, so again, I think that re education and what we need to do like through this, podcast our webinars and what we do get in front of our customers is to educate them, because some of these people bought the tools a long time ago, got to stay in front of them as how things are evolving.

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Andy Whiteside: Right? Well, and that's you know, if we didn't do the commercial at the beginning of this. But that's what we are as a partner is the opportunity to work with these platforms, these customers who have invested in the platform and have a limited knowledge of what you can do with the platform. That's where you're right. The right partner shows up with, you know, podcasts like this and webinars and just ideas around what we can share that either we've done with other customers, or we've seen other customers do.

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Fred Reynolds: Absolutely. Yeah.

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Andy Whiteside: All right Mike, Fred. Thanks for the time.

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Mike Sabia: Absolutely.

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Andy Whiteside: Do it again. 2 weeks, thanks.

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Fred Reynolds: Thanks.