AI is everywhere, and CIOs can’t lead AI strategy alone. With 62% of organizations experimenting with AI, its reach is too broad for oversight to live solely with IT. Nearly half (48%) of CIOs still shoulder responsibility for leading AI strategy, even though 88% of generative AI usage happens outside their teams. The result: AI implementation is skyrocketing, but few projects across the business deliver real impact.
The solution is not more IT oversight, but distributed leadership. Department leaders know their teams best. They observe firsthand which processes slow teams down, where AI can automate, and how workflows truly function. This deep expertise makes them uniquely suited to lead AI strategy across their respective departments and realize AI’s full potential. CIOs need to pass the torch and empower them to lead.
The AI Bottleneck: Even the strongest CIOs can’t carry the entire AI agenda alone
CIOs are the champions of innovation – expected to deliver real ROI from AI while keeping the enterprise secure, aligned, and ahead of the curve. But when every AI request, experiment, and implementation lands on their desk, even the best leaders face impossible bottlenecks. On top of this, most generative AI usage now resides outside IT, across finance, marketing, HR, and more.
The consequence is a growing “adoption-value gap.” AI initiatives exist throughout the business, but only 5% deliver measurable ROI. When CIOs try to own every AI project, innovation stalls. To get real value, responsibility must shift to department leaders – those closest to the work who drive meaningful results.
Distributed Leadership: The New Model for AI Success
The most successful and impactful CIOs don’t try to own everything – they orchestrate. Department leaders who understand AI tools and are comfortable using them can step up and take ownership within their teams, relieving the CIO burden. At Freshworks, we’re putting this into practice: AI works alongside our people to remove busy work, accelerate productivity, and unlock higher-value work.
Our teams are seeing measurable efficiency gains across the organization:
- Customer Support: AI agents now handle 34% of chat tickets, allowing human agents to focus on complex, high-value conversations. Productivity per agent has increased 25%, and new agent ramp time has been reduced from six months to three months.
- Engineering & Quality: Developers use AI tools to write code, while quality engineers leverage AI for test cases and automation. Cycle times have dropped by up to 50%, and debugging efficiency has improved from hours to minutes in some cases.
- Web & Digital Teams: Building new web pages now takes hours instead of weeks, freeing teams to focus on higher-impact initiatives.
- IT Teams: AI automates ticketing, categorizes issues, and resolves requests faster, improving employee experience across the business.
- HR & Recruiting: AI-powered Slack integrations help review resumes quickly and accurately, streamlining recruiting and onboarding.
Shifting ownership to department leaders unlocks each team’s potential. CIOs move from “owners” to enablers, setting frameworks and guardrails. This approach isn’t about cost-cutting – it frees talent to drive innovation, growth, and problem-solving, benefiting business outcomes and employee engagement.
Building AI-Native Leaders Across the Business
Non-technical leaders may find taking the reins daunting. CIOs can support them by introducing simple, intuitive AI tools, offering literacy programs, and creating “AI champion” groups to share best practices. Teams can explore use cases tied to KPIs—financial forecasting, talent analytics, or operational efficiency—while clear policies encourage responsible experimentation.
From Ownership to Orchestration: The CIO as the Conductor
Think of the CIO as a conductor, not a player. They set the vision, ensure harmony, and provide structure, while department leaders apply their expertise strategically. The result: an AI-fluent organization where experimentation happens faster, and value grows organically.
AI success comes from collaboration across the business. CIOs who empower leaders while providing clear governance unlock AI’s true potential—making it work for people, not against them.
For CIOs seeking concrete examples of driving measurable ITSM value with AI, learn more about Freshservice here.
