Riviera Partners recently released The Future of Tech Leadership, its latest trends report highlighting shifts in executive hiring, AI’s growing influence, and how companies are handling economic uncertainties. But what do these insights mean for public tech companies?
In this article, veteran executive recruiters Michael A. Morell, Founder and Managing Partner at Riviera Partners and Kyle Langworthy, Head of Riviera’s AI, ML, and Data Practice, share their perspectives on these trends and the implications for hiring and leadership for your company.
The report highlights AI’s growing importance, with 75% of companies prioritizing it. Are you seeing specific roles emerge to meet these demands?
Michael: There’s entirely new roles, yes, but we’re seeing evolving expectations for existing roles, too. Leaders now need a foundation in data, as it’s becoming essential for driving value. Today, there’s little room for leaders who don’t understand data.
Kyle: Agreed, we’re seeing some shifts in AI-focused roles. While CTOs and engineering heads previously handled AI, there’s now demand for Chief AI Officers or VPs of AI. These roles work alongside product and engineering to align AI initiatives with business goals. AI expertise is becoming essential, even in traditional roles, but some companies are carving out specialized leadership for this purpose.
What leadership qualities or technical backgrounds are more important as AI takes center stage?
Michael: Awareness of AI tools is key. Leaders need a foundational understanding of complex systems and tech that drive AI—not necessarily to build them, but to leverage them effectively.
Kyle: It varies. AI-native companies might prioritize engineering or research backgrounds, while established companies may need leaders experienced in AI integration. The right mix depends on the company’s AI goals.
Are companies seeing a clearer path to ROI in AI?
Michael: In some contexts, yes. Immediate ROI cases like transcription software offer instant efficiency. But many companies are still understanding AI’s larger strategic impact—it’s early days for many.
Kyle: True, though AI adoption has become more accessible, thanks to cloud services and APIs. These advancements simplify implementation, attract funding, and let companies realize returns faster, especially where AI boosts efficiency or core goals.
With economic pressures, companies are becoming more deliberate in hiring, focusing on technical roles like engineering. What shifts have you noticed?
Michael: “Deliberate” is one word for it. “Disciplined” is another. Many companies are consolidating middle management to boost efficiency, often promoting senior managers who can lead larger teams, reducing complexity without sacrificing effectiveness.
Kyle: Yes, and AI leadership roles are also moving higher within organizations, reporting directly to CEOs or CTOs. This change elevates AI’s influence and attracts top talent, as AI becomes core to company strategy.
The report suggests a slight preference for pragmatic CEOs over visionary leaders. Has the demand for hands-on executives changed?
Michael: I’d say there’s a shift toward fiscal discipline over pure vision. Boards now favor CEOs who balance growth with profitability and sustainability, focusing on responsible expansion.
Kyle: Agreed. We’re seeing a need for technically skilled leaders who can understand system details when necessary—not to code, but to make swift, informed decisions. This technical involvement is critical in fast-paced environments.
How are companies balancing in-office presence with attracting top talent, especially for leadership roles?
Michael: It depends on the company. Some were remote-first, so returning to the office would be unreasonable, while others are adopting hybrid models for better team cohesion. Leaders particularly benefit from in-person interaction a few days a week to maintain influence.
Kyle: Yes, hybrid or in-office roles are favored, especially at senior levels. Physical presence keeps executives connected, though there’s flexibility for independent roles like principal engineers. The choice between remote, hybrid, or on-site has a big impact on attracting talent.
Are there trends in restructuring C-suites to align operational and innovation goals?
Kyle: In legacy industries, we’re seeing a move from the dual CIO-CTO model to a single technology leader as infrastructure shifts to the cloud. Some CIO responsibilities may move to the COO, and companies are re-evaluating the placement of roles like Chief Security Officer to streamline structures.
Michael, you mentioned that companies consolidating middle management staff and organizations, and the report’s findings reflect the trend. How specifically is this playing out at public companies?
Michael: It’s about efficiency. For instance, promoting managers who can take on more, reducing mid-level roles and enhancing productivity. This approach also places pressure on leaders to perform without extra support.
Kyle: And the “more with less” strategy continues, but “less” usually means headcount, not costs. AI and cloud advancements mean small, skilled teams can achieve what used to require much larger groups. This strategy may increase costs slightly but emphasizes depth in expertise and efficiency.
With increased focus on long-term strategy, are newer roles like Chief Data Officer or Chief AI Officer becoming more common?
Kyle: Yes, especially in public companies, where technology leadership is still often centralized under a CIO or CTO. However, we’re seeing AI gaining prominence as a peer to engineering and product. In tech-focused firms, AI is often carved out from engineering to sit alongside product and design.
Connect with Michael A. Morell and Kyle Langworthy on LinkedIn.
Explore more Future of Tech Leadership insights
- Inside Insights: A Top Executive Recruiter on How PE Firms Are Shaping the Future of Tech Leadership
About Riviera Partners
Riviera Partners is a global driver of innovation for today’s most influential companies – expertly placing executive talent in the crucial areas of IT, software engineering, product management, security, AI/ML/Data, and design. Riviera combines over two decades of recruiting expertise with a proprietary platform that uses machine learning to score and predict the best candidate for a company’s specific needs, driving successful outcomes. As a result, the company has become the go-to talent partner for leading private equity investors, venture capitalists, public companies and technology innovators.
