Why Companies Keep Hiring CDOs the Wrong Way – A Recruiter’s Perspective

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Published: 03.02.25

Hiring a Chief Data Officer (CDO) should be a game-changer for a business, unlocking the full potential of data, driving efficiencies, and enabling smarter decision-making. So why do so many companies get it wrong?

As a recruiter specializing in data leadership roles, I’ve seen it all—businesses rushing to hire a “unicorn” CDO, only to end up disappointed when the results don’t materialize. From CDOs being set up to fail from day one to companies hiring based on buzzwords rather than actual needs, there’s a pattern of common mistakes that lead to high turnover and missed opportunities.

Let’s talk about where businesses go wrong—and more importantly, how to fix it.

The Unrealistic Expectation Trap

One of the biggest mistakes companies make when hiring a CDO is assuming that one person can do everything—be both a visionary strategist and a hands-on executor.

The CDO With No Power

A major retail chain was looking for a CDO to lead its digital transformation and AI initiatives. They wanted someone with deep technical knowledge and the ability to influence business decisions at the highest level. The candidate we placed asked one critical question before accepting the job: “Who do I report to?”

Their response? “The CIO.”

🚩 Red flag

This meant the CDO would always be playing second fiddle to technology priorities rather than shaping business strategy. Sure enough, within a year, this talented CDO resigned, frustrated that their recommendations were constantly deprioritized in favour of IT projects.

Deloitte’s 2024 CDO Survey backs this up—over 50% of CDOs want to report directly to the CEO, yet many are still buried within IT departments with limited influence​.

💡 Lesson learned: If you want your CDO to drive business transformation, they need to sit at the leadership table with direct access to the CEO and board. Otherwise, they’re just another IT function.

A Better Way: Hire in Phases

Rather than rushing into a full-time hire with unrealistic expectations, a smarter approach is hiring in phases:

Step 1: Start With a Fractional or Advisory CDO

  • Instead of committing to a full-time CDO, bring in a fractional or interim CDO first.
  • This allows the business to define a clear data strategy before hiring someone to execute it.
  • It also helps leadership understand what the role actually requires.

Step 2: Separate Strategy From Execution

  • Hire a CDO to focus on big-picture strategy—aligning data initiatives with business goals.
  • Support them with execution-focused leaders—like a Head of Data Engineering or Head of Analytics to drive implementation.

Step 3: Ensure Leadership Buy-In From Day One

  • Set the CDO up for success by giving them a clear mandate, a budget, and direct reporting to the CEO.
  • Recognize that transformation takes time—data doesn’t deliver ROI overnight.

The Right Hire, The Right Way

The CDO revolving door exists because businesses keep making the same hiring mistakes. They:
❌ Expect one person to be both strategist and executor.
❌ Hire without understanding what they actually need.
❌ Set the CDO up without authority or resources.

As recruiters, we see this pattern play out time and time again. But it doesn’t have to be this way.

By hiring smarter—starting with temporary or advisory roles, separating strategy from execution, and ensuring CDOs have leadership buy-in—businesses can finally start seeing real value from their data.

📌 The takeaway? If you want to avoid another failed CDO hire, start by redefining how you approach the role. The right person exists—you just need to set them up for success.

 

Consultant

Matthew Ross

England

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