Nearly one-third (30%) of chief data and analytics officers (CDAOs) consider measuring the impact of data, analytics, and AI on business outcomes to be their biggest challenge, according to new research. Conducted between September and November 2024, the 2025 Gartner Chief Data & Analytics Officer Agenda Survey gathered insights from 504 data and analytics executives across industries worldwide, highlighting ongoing struggles in defining business value from data-driven initiatives.
“There is significant discourse around the value of data, with many organisations aiming to be data-driven, yet few able to substantiate this,” said Gartner’s senior director analyst Michael Gabbard. “Often, organisations that regularly align to data themes outperform their peers.”
The findings indicate that over 90% of CDAOs have seen their role shift towards value-driven and outcome-oriented objectives in the past 12 to 18 months. This trend is expected to continue as organisations increasingly prioritise data and analytics (D&A) strategies. However, despite this focus, only 22% of organisations have successfully defined, tracked, and communicated business impact metrics for most of their D&A use cases, highlighting a significant gap between strategy and execution.
“Organisations are increasingly prioritising the development of a robust D&A strategy to enhance decision-making and operational efficiency, and this falls to D&A leaders,” said Gabbard. “CDAOs must accelerate data-driven and decision-centric vision by spotting important trends early to make proactive, informed choices about D&A strategy and building operational context around these drivers.”
The survey also revealed that 91% of CDAOs identified developing an actionable D&A strategy as a primary responsibility. While many organisations recognise the importance of data-driven decision-making, the findings suggest that most still lack standardised approaches to measure success effectively. As a result, CDAOs continue to face challenges in demonstrating tangible business value from their D&A initiatives.
Separate study highlights AI readiness challenges
The latest findings follow similar concerns raised in the 2024 Gartner Chief Data & Analytics Officer Survey, which highlighted the impact of disruptive AI technologies on D&A operations. At that time, 61% of organisations reported having to rethink or evolve their D&A operating model due to AI advancements. The 2024 survey, conducted between September and November 2023, included responses from 479 CDAOs, chief data officers (CDOs), and chief analytics officers (CAOs). It found that 38% of CDAOs anticipated an overhaul of their D&A architecture within 12 to 18 months, while 29% planned to revamp data asset management and strengthen governance policies, practices, and standards.
A separate report by Informatica, based on its CDO Insights 2025 survey, found that 97% of organisations using or planning to use generative AI (GenAI) struggle to demonstrate business value from these initiatives. The survey, which gathered insights from 600 CDOs and CDAOs across the US, Europe, and Asia, also revealed that 92% of respondents are concerned that AI pilots are progressing without addressing existing challenges. The findings underscore the need for robust data management and quality frameworks to enhance AI readiness and effectiveness.
Read more: GenAI adoption in marketing uneven as 27% of CMOs report limited use
