Do you need a chief AI officer? Here's how the tech is changing boardroom

Since the launch of OpenAI's ChatGPT in 2022, the corporate landscape has experienced significant upheaval, particularly with extensive layoffs affecting many sectors. However, a recent IBM report sheds light on a transformative trend in boardrooms: the creation of the chief AI officer (CAIO) role. This new position is now present in 76% of over 2,000 surveyed organizations, a dramatic increase from just 26% in 2025. Experts are voicing concerns regarding a potential labor crisis as AI technology permeates businesses. Vivek Lath, a partner at McKinsey & Company, remarked that AI could be driving one of the most substantial organizational shifts since the industrial and digital revolutions. The IBM report also highlights that nearly 59% of respondents anticipate a growing influence of the chief human resources officer (CHRO) in this evolving context. As AI technologies advance, questions about responsibility and oversight in the boardroom have become more complex. The existing roles focused on technology, including the chief technology officer and chief data officer, have created ambiguity around AI accountability, according to Lian Jye Su, a chief analyst at Omdia. In response to unique challenges posed by AI adoption—such as infrastructure, governance, and workflow modernization—many firms are establishing the CAIO office to manage these transformations effectively. Prominent organizations, including HSBC and Lloyds Banking Group, have already appointed individuals to this new role. However, estimates on the prevalence of CAIO positions vary. Jonathan Tabah, an advisory director at Gartner, acknowledges the existence of CAIOs but questions whether this trend will become mainstream, noting that the establishment of new executive positions can incur significant costs that not all companies can sustain. According to IBM, CAIOs are expected to facilitate calculated risk-taking throughout organizations, while providing clear objectives and guidelines for AI transformations. McKinsey highlights the importance of centralized coordination for AI initiatives, suggesting that the specific title may not be as critical as the function itself. The responsibilities of CAIOs can differ widely across organizations and often evolve over time. Randy Bean, an industry advisor, raises the question of whether the CAIO role will be a temporary solution or a lasting fixture in the corporate hierarchy. He notes that the chief HR officer holds a crucial position in influencing talent management and training processes, especially as firms grapple with the challenge of enhancing employee AI literacy. Cultural hurdles, rather than technological barriers, are cited as the primary challenges to AI adoption by 93.2% of respondents in Bean's survey. Analysts, including Tabah, view the automation potential of AI as an opportunity for HR departments to transition into more strategic roles. However, he warns that if HR remains largely operational, it may become even more automated. As companies assess the human impact of AI-induced job changes, Tabah suggests that high-level executive roles may face the least immediate disruption, as these positions are often insulated from the direct impacts of AI. Nonetheless, C-suite executives must understand how to implement AI effectively, as they hold the most influence over where AI's effects are felt within their organizations. As of this year, over 101,000 tech employees globally have been laid off, with significant job cuts reported by firms such as Meta and Microsoft. Analysts are interpreting these layoffs as indicative of a broader trend. A recent report from Bain & Company forecasts that software-as-a-service companies could see nearly $100 billion in profit by automating coordination work and converting labor costs to software spending. While acknowledging the labor impact of AI, Bain's David Crawford emphasizes the need to contextualize these changes positively, highlighting that AI can free employees to focus on more valuable tasks.