Plus: How No-Code Applications Are Changing Enterprise Systems |
Just as businesses are adopting more data-driven decision making strategies, a new study from Salesforce found a discouraging trend: Confidence in company data is falling. It’s not an ideal time for this dynamic to be surfacing, considering more business leaders are hoping to turn to data in order to navigate today’s uncertain economic times. More than three quarters of business leaders told Salesforce they feel increasingly pressured to back their arguments and claims with data, and that AI increases their need to be data driven. But fewer than half actually have confidence in their data—just 40% say it’s reliable, while 36% have faith in its accuracy and 34% believe it’s complete. These same executives were actually much more confident in their data two years ago. In a 2023 survey about data, 54% found it to be reliable, 49% said it was accurate, and 34% rated it complete. The study pinpoints the issue as a problem of confidence. Out of all business leaders, 54% said they aren’t fully confident in their ability to find, analyze and interpret data. The study talked to tiers of business leadership from director level to C-suite, and confidence was much lower for directors than executives. Three out of five C-suite leaders were confident in their data skills, while just over a third of directors felt they could use data to generate and deliver timely insights. This gap shows the importance of training for business leaders: Showing them where the data is, what is included, and how to find what’s relevant to their jobs. AI solutions aren’t useful when business leaders don’t have a basic knowledge and understanding of the data. Speaking about the study with Forbes senior contributor Joe McKendrick, Aspen Technology Senior Manager of Product Marketing Dwaine Plauche recommended CIOs look at enterprise data in a different way. “Rethink the data infrastructure as an internal customer service,” Plauche said. “The goal should be providing internal customers or projects with needed data—a service-oriented mindset that is aligned with the organization’s strategy." In the last several years, no-code platforms have made programming accessible to everyone. I talked to Katherine Kostereva, founder and CEO of no-code platform Creatio, about how the platforms have evolved and where they fit in enterprise technology. An excerpt from our conversation is later in this newsletter.
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In today’s CIO newsletter: |
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This week, the EU issued fines against Apple and Meta for violating the Digital Markets Act, which is the bloc’s law intended to create an open and competitive marketplace for digital businesses, as well as protect user privacy. Apple was fined €500 million ($570 million) for not making it easy enough for users to find and download apps through methods other than the App Store. With the fine, the European Commission ordered Apple to remove technical and commercial restrictions that make it harder for consumers to find their way to sometimes cheaper offers outside of the App Store. Meta was fined €200 million ($228 million) for the “consent or pay” model it introduced for Facebook and Instagram in the EU in late 2023, in which users either consented to the social networks using their data for personalized advertising—like their U.S. business model—or paid a monthly fee. Meta has since revamped its EU advertising model to supposedly use less personal data, and the EC is currently assessing it for DMA compliance. While these are the first fines issued under the DMA, the only unknown was the amount of each. The European Commission first announced the companies had violated the law last summer. And there are likely to be more findings on the way against U.S. Big Tech companies. The EC has been investigating Google parent Alphabet—preliminarily ruling last month that its search engine treats Alphabet-owned entities favorably—and taking a look at whether Apple is violating the law for interoperability challenges between iOS and non-Apple devices, Forbes senior contributor Emma Woollacott wrote. |
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Amid turmoil in the federal government workforce, the CIO with control over some of the nation’s most critical data is stepping down. Internal Revenue Service CIO Rajiv Uppal will leave his position at the end of the month, writes Forbes’ Kelly Phillips Erb. Uppal was the first CIO for the IRS, with his position created in a 2023 restructuring by Danny Werfel, the last permanent head of the agency. Uppal’s departure comes as IT projects and leaders at the IRS are on the chopping block. According to FedScoop, about 50 IT executives at the agency were placed on administrative leave last month, and its Transformation and Strategy Office was shut down by Elon Musk’s Department of Government Efficiency. Access to the IRS’s tax return data has also been a political issue as of late, with the IRS entering an agreement to provide information about undocumented immigrants to Immigration and Customs Enforcement. This agreement led to the resignation of Melanie Krause from the IRS acting commissioner’s role. Federal government CIO positions were previously non-political, and many CIOs continued in their roles regardless of which party was in the White House. The Trump Administration is working to change the CIO’s job designation to potentially become more political. A February Office of Personnel Management memo said AI and cybersecurity issues make the CIO’s job more policy-oriented. According to FedScoop, since Trump took office in late January, the Energy Department, Small Business Administration, Treasury Department and Social Security Administration are all on their second CIOs. |
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AI agents are the next big thing, with big tech companies from Google to Salesforce announcing their new entrants into the market. But what these agents—which are capable of planning and executing tasks—should do and how is still being figured out. In the U.S., developers are concentrating on API integrations, but many of China’s largest tech companies are taking a different approach: “screen-aware” agents, writes Forbes contributor Vivian Toh. These agents can see everything currently on a user’s desktop and act on it. This sounds like it could be a positive development, providing quick accessibility to a number of different applications, but it brings up several privacy concerns. Toh writes that it may be unclear just what a screen-aware agent is accessing, where that data may go, and what it could be used for. These types of issues have plagued Microsoft’s Recall AI, which is intended as a feature that constantly takes screenshots of a user’s computer so they can quickly pull up things they had been working on and closed. The feature was always controversial, with many concerned about how secure the data was and what it might be used for. And Microsoft has had issues with actually being able to deliver that security. Recall was supposed to be launched last summer with Microsoft’s Copilot+ PCs, but it’s been delayed several times, and is just this month seeing a limited release. |
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|  | Creatio founder and CEO Katherine Kostereva. Creatio |
| How No-Code Is Changing Enterprise Systems |
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Just over a decade ago, Katherine Kostereva founded Creatio, a company that had the then-revolutionary idea of creating no-code business applications. Both the idea of no-code and Creatio have grown in the recent past, and I talked to Kostereva, the company’s CEO, about how no-code fits into today’s enterprise systems. This conversation has been edited for length, continuity and clarity. How has the enterprise view of no-code applications evolved? Kostereva: When we started 10 years ago and were evangelizing this term of ‘no code,’ people were looking at us like, are you guys crazy? That’s not for enterprises. We always were evangelizing no-code for large complex organizations to think about. For a small company to automate their workflows, they need something very simple: very standard, nothing special. When you talk about complex organizations with non-trivial processes, for them, the standard CRM or workflow automation will not work. What are the options there? No. 1: Hire a bunch of developers, build it from scratch. But in this case, you will always be dependent on these developers. They leave you for another company and it is gone. You won’t be able to support this application. The other option is to take legacy applications that were designed like 25 years ago. [It’s a slow implementation, but] maybe in a few years, will finally get there. The third approach is to take the new generation of applications—no-code—and implement it very, very quickly. In the beginning, it took us quite some time and energy to evangelize the idea of no-code. But when people started to see this magic and they started automating their processes within days, then months and quarters, it immediately started to grow. Right, now the business is growing at 45% to 50% year-over-year without burning any cash. Does no-code mean that traditional coders’ jobs and knowledge are becoming obsolete? It has always been our vision that workflows and user interfaces and all of these [kinds of] things should be created either with no-code or AI. While professional software developers are needed for much more complex things like integrations or bespoke development of specialized software, more business productivity management software is done with no-code and AI. What are risks that businesses could run by adopting no-code approaches? Two years ago, we put together a No-Code Playbook available free of charge on our website. It is vendor agnostic, just to evangelize the idea of no-code. Half of the book is about governance and compliance, because the only risk of no-code adoption is when you give these tools to departments and they start automating processes by themselves, without taking into consideration governance and compliance. For example, the marketeer will build a new marketing campaign, and not take into consideration access rights. It goes through the governance and compliance checks, making sure that access to data is taken into consideration, integration with other systems is done carefully.
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Beauty retailer Ulta Beauty hired Lauren Brindley for its chief merchandising and digital officer role, effective June 3. Brindley succeeds Monica Arnaudo, who is retiring, and she joins Ulta after previously working as CEO of Revolution Beauty.
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Send us C-suite transition news at forbescsuite@forbes.com. |
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President Donald Trump’s executive order targeting former director of the Cybersecurity and Infrastructure Security Agency Chris Krebs—who oversaw the 2020 investigation into voter fraud and called that election “the most secure in American history”—sets an ominous precedent for nonpolitical cybersecurity officials reporting on their findings. Forbes senior contributor Tony Bradley writes that it’s important for the cybersecurity and IT community to speak up about these kinds of attacks on the profession. One often-overlooked area of business partnerships: How well does technology integrate? Here are some examples of partnerships where seamless use of technology is enhancing KPIs and transparency. |
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A high-profile hallucination from AI coding application Cursor AI attracted a lot of attention. What did the AI make up? |
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A coding language that looks similar to Javascript, but no computer can understand |
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An announcement that its corporate headquarters was moving to Greenland, inspiring viral posts on Reddit |
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A company policy about licenses, which led to users canceling subscriptions |
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A 25% fee increase, which was announced to some subscribers in an AI-written email, but not billed |
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Check if you got it right here. |
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