The Modern CTO – From Technology Purist to Fortune-teller


1 April 2008 Dr Eng Lim Goh


With more than seven years working for SGI as chief technology officer, Dr Eng Lim Goh explains how the role has changed.


These days, CTOs cannot simply get by with strong technical expertise, good management skills and a head for numbers. They must also be able to lead by example, demonstrate much broader business acumen and an in-depth knowledge of sensitive issues, such as corporate social responsibility and sustainability – not only for the industry in which they work but also in the wider business sense.

INCREASED RESPONSIBILITY

"Modern-day CTOs cannot simply get by with strong technical expertise."

I used to be able to focus on improving the organisation’s technology and directing the people reporting to me. Today, I am responsible for championing new ideas and new ways of thinking to meet the needs of new and developing markets, while instilling a culture of innovation across all my teams.

Companies can vary significantly, but the majority of CTOs in high-end IT industries will report to the CEO while maintaining close – usually daily – contact with an ever increasing number of teams. Engineering, research and development, and sales and marketing teams – which operate at the customer and market ‘coalface’ – are all vital contacts, but it is important to stay one step ahead by having regular meetings with customers.

Many CTOs, including myself, now combine day-to-day duties with a consultative role, stepping in to advise customers on product life cycles and taking the opportunity to discuss market trends and individual needs. In this way, it is possible to gather invaluable market intelligence while helping the customer to look at where they want to take their business and how this might be achieved over a long-term period.

CUSTOMER FEEDBACK

Customer feedback can be extremely useful for the development and growth of a company. At SGI, we are heavily involved in planning at least three to five years ahead – a relatively lengthy period given the constant fluctuations of modern life. Discussion with customers allows us to bring back ideas that drive further discussions among our teams, enabling products to be ‘tweaked’ and fine-tuned to accommodate the needs of the market. This can be a highly effective way of driving business success, allowing the CTO’s company to thrive at the forefront of industry trends.

"Environmental and social issues are now part of mainstream business."

Development is just one part of my role today. Another is maintaining a pipeline of fresh ideas, which is critical for any technology organisation to stay ahead of the field. This is a demanding role, which requires motivating a myriad number of engineers, designers and developers. The paradox is that while seeking to motivate, it is essential to manage the flurry of ideas that can flow from an energised team, some which might be many years away from realistic development. Thus, pragmatism is another quality required of the successful CTO.

GREEN CREDENTIALS

Environmental and social issues are now part of mainstream business. It is vital to be up-to-date with them and take a keen interest in how they affect the organisation, in the present as well as in the future.

Technology companies, by their very nature fast-moving, must be aware of how they contribute to the ever-growing problem of waste and global warming. It is important for CTOs to work with engineers, developers and designers to create sustainable products. These must have longer product life cycles, require little or no replacement of parts and, once no longer of any use, must be easy to recycle or dispose of with minimal environmental impact.

"Succession should always be on the minds of any good senior management team."

Taking account of customers’ green credentials greatly influences the decisions that must be taken in product development. For example, it is just as important to develop products with lower power needs because they are environmental-friendly, as well as being cheaper to run. This takes us back to the need for sharing information with customers and using it to improve and develop products that meet not only market needs but also those of society in general.

This can pose major problems. Given the technology industry’s need to be innovative, introducing fresh ideas and new products is potentially wasteful.

Consumer demand for the ‘next big thing’ is something with which we are familiar but meeting it can contribute to the world’s growing issue of throw-away products that are difficult to recycle or break-down for other uses.

THE NEXT GENERATION

Succession should always be on the minds of any good senior management team. This is especially important in technology companies where the balance of risk, entrepreneurship and good business practice can be so fine. I grew with SGI, and as such worked my way through the ranks to become CTO. This method of organic succession can help to ensure that a pool of highly skilled managers, steeped in an organisation’s culture of innovation and development is available. A real focus on nurturing the careers of younger members of the team is one of the most important aspects of my role.

A good CTO should take the time to engage with younger engineers at the organisation, knowing that by doing so they are imparting information, knowledge and skills to the next generation. Whether discussing how best to refine a product or simply displaying fairness among their team, it is important to remember that you are moulding the next generation for success.

It has become something of a cliche to say that the only constant in today’s world is change. But, in the case of the modern CTO it is true. Trying to strike a balance between motivating teams to produce great products, while meeting the demands of a more environmentally friendly, sustainable world is a challenge.