Research pick: IT’s my life: How tech-savvy CEOs drive change - "CEO’s IT background, attention configuration and digital innovation"

Research in the International Journal of Technology, Policy and Management offers new insights into a little-explored factor in corporate digital transformation: the personal experience of Chief Executive Officers (CEOs) with information technology. The research is based on an analysis of more than a decade’s worth of data from Chinese public companies. It shows that companies with an IT-savvy CEO are much better-equipped to benefit from digital innovation.

The researchers drew data from non-financial A-share companies listed on the Shanghai and Shenzhen stock exchanges and used statistical modelling and advanced text analysis to track how CEOs engage with digital technology. Specifically, the team looked for how often CEOs referenced digital technologies in corporate documents, such as annual reports and public statements. The results showed that CEOs with prior IT experience are not only more attuned to digital issues but also more likely to translate that attention into tangible innovations within their company, such as new products, services, and digital processes.

It was perhaps always obvious that tech-savvy CEOs in high-tech sectors would fare well. But, the work shows that companies with fewer financial constraints, and those operating in highly competitive markets, are able to cope and adapt to changes in the digital world. Indeed, the CEO’s technological understanding becomes a major determinant of innovation success in such companies.

The role of the CEO is contrasted with that of the Chief Information Officer (CIO), who is the executive typically charged with overseeing technology within a company. While CIOs play an operational role, the study finds that CEOs with IT backgrounds exert a broader and more strategic influence. This is largely because CEOs control the firm’s overall direction and have greater authority over resource allocation.

There are implications for firms operating in economies still building their digital infrastructure, namely China, and many other parts of the developing world. The research suggests that appointing tech-savvy leaders can help bridge the gap between policy ambition and operational execution.

Zhang, X., Chen, J. and Xu, L. (2025) ‘CEO’s IT background, attention configuration and digital innovation’, Int. J. Technology, Policy and Management, Vol. 25, No. 5, pp.1–25.