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Boards still ignorant of IT: survey

29.05.2006
Most company boards operate without any of the directors having a working knowledge of what impact or advantage information technology can have on their business. Company directors still lack IT savvy and understanding and few Chief Information Officers (CIOs) find a seat on the board, according to new research conducted by a recruitment firm.

In a survey of the top 200 Australian companies, Talent2 International Ltd. found fewer than five percent of directors displayed any level of knowledge enabling them to provide support and guidance in IT strategy, and fewer than three percent have CIOs on the board.

Con Colovos, CIO Executive Council executive director, described the survey's findings as "headline grabbing," but acknowledged the council is working on similar figures, which "highlights just how bad it really is."

"The figures are indicative of an industry problem," Colovos said, adding that CIO Executive Council members estimate about 20 percent of CIOs are sitting on boards.

"There aren't many CIOs on boards in Australia, which is why the Australian Institute of Company Directors is developing programs to get CIOs on boards," he said.

Colovos said the institute will offer courses to define director's duties so CIOs can learn responsibilities around regulation and legislation. The courses will be available in the second half of the year.