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Digital Transformation Market Narratives The State of CIOs in FY 25-26: Priorities and Execution Gaps​ Oct 15, 2025 CIOs in ANZ are driving bold FY25–26 transformations in AI, modernisation, and cyber resilience, but skills and culture gaps hinder execution. Request to Download

CIOs in ANZ are entering FY25–26 with bold transformation agendas centred on modernisation, AI integration, and cyber resilience. While investment in AI agents, data governance, and GenAI is accelerating, execution is hampered by skills shortages, cultural resistance, and workforce capability gaps, highlighting a widening disconnect between leadership ambition and organisational readiness.

 

Core insights:

  • AI and modernisation dominate priorities: ERP upgrades, cyber security, automation, and GenAI pilots lead the initiative landscape, with CIOs eyeing enterprise-scale AI and intelligent automation as long-term goals.
  • People challenges outweigh technology barriers: Skills shortages, staff constraints, and cultural resistance are the top obstacles, surpassing even legacy system concerns.
  • Execution gap persists: While 68% of CIOs report strong C-suite support for technology-driven outcomes, only 52% believe their workforce is digitally capable, creating a critical capability gap.

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