New leadership roles — the chief digital officer, chief transformation officer and chief content officer are some recent examples — will continue to emerge as businesses face new challenges or opportunities. These roles can serve as a catalyst for change or may reflect the increased strategic importance of a specific business or functional area. Establishing a new CXO role represents just one approach to achieving these goals; many CEOs prefer to place responsibility for critical functions and high-profile initiatives with every member of the senior management team. The size and structure of the business; the strengths and weaknesses of the CEO and his or her team; the specific industry context, business cycle or company life cycle; and, of course, the preferences of the CEO all influence decisions about the size and composition of the management team.

Understanding the potential tradeoffs when adding, consolidating or eliminating management team roles and clearly defining the responsibilities and accountabilities of all the members of the team are critical conditions for making these moves work. TCI provides insights to make the best decision.