Who Owns Enterprise Systems? The CIO’s New Reality

The Never-Ending Battle Over System Ownership

If you’ve spent any time managing enterprise systems, you’ve seen this play out before:

• The CFO storms into a meeting, frustrated that IT isn’t moving fast enough on a finance system upgrade.

• The COO complains that the ERP isn’t flexible enough for operational needs.

• The CIO sighs deeply, realizing yet another business unit has decided to “just hire their own SAP person” to bypass IT altogether.

For decades, enterprise systems belonged to IT. The CIO ruled supreme, overseeing complex ERP implementations and guarding integrations like a medieval knight protecting the kingdom’s castle.

But today? Business teams don’t want to wait. They have low-code tools, drag-and-drop workflows, and SaaS platforms that let them make changes without IT’s help.

And so, the ownership war began.

IT vs. Business: Who Should Own Enterprise Systems?

On one side, IT has the technical expertise—they ensure integrations work, security is tight, and systems don’t crash under pressure. But they don’t always understand business nuances like finance reporting or revenue forecasting.

On the other side, business teams know what they need, and they move fast. But they often lack technical best practices, leading to duplicate data, broken integrations, and messy processes.

So, what happens?

• Finance hires their own NetSuite admin because IT is too slow.

• Sales takes over Salesforce, but no one thinks about how it connects to Finance.

• Marketing adds five new tools without telling IT, creating a data nightmare.

The result? A disconnected mess of systems, frustrated teams, and no clear ownership.

The reality? Neither IT nor Business can own enterprise systems alone.

A Better Approach: The Matrix Model

Every year, companies flip-flop:

• One year: IT should control everything!

• Next year: Let’s decentralize—business should own their own tools!

• Following year: Why is our data a disaster? Maybe IT should take over again…

• And then, finally: Forget it. Let’s just outsource everything and send it to a shared service center!

And so, the cycle of corporate confusion continues.

The solution? A matrix model.

Instead of IT or Business taking full control, enterprise systems should be managed by cross-functional teams built around projects.

Example: How a project team could look like

Instead of Finance or IT fighting over SAP or NetSuite, you create an ERP team that includes:

• An IT system architect / admin – Keeps it scalable and secure.

• A finance system analyst – Ensures accounting workflows make sense.

• A procurement lead – Optimizes supply chain processes.

• A business analyst – Translates requirements into system configurations.

• A BI anaylist – Helping streamline this data into management reporting

Now, instead of constant arguments, these experts solve problems together.

Why a Proper PMO System is Critical

If enterprise system ownership is a moving target, then a strong Project Management Office (PMO) is the bow that helps you aim.

Without a PMO, no one knows:

• Which projects are happening.

• Who is responsible for what.

• Where the bottlenecks are.

• What the dependencies are between projects—because guess what? That “small” finance automation project might break an entire reporting workflow in ERP.

The result? The CFO decides to hire their own IT staff because “IT isn’t delivering.”

A proper PMO system ensures:

✅ Resource allocation is clear.

✅ Cross-functional collaboration actually happens.

✅ Budgeting is realistic.

Without it, system management becomes chaos.

To Hire or Not to Hire? The Consultant Dilemma

One of the biggest debates: Should you hire internal experts or rely on consultants?

Many companies default to external consultants, claiming it’s cheaper and more flexible. But then, they pay consultants year-round—essentially treating them like full-time employees but without the knowledge retention.

If you constantly use consultants, you should probably just hire an internal team.

On the flip side, if you only need occasional system tweaks, then a consulting partner makes sense.

The key? Pick a strategy and stick with it. Stop flip-flopping between hiring, outsourcing, re-hiring, and reorganizing every year.

Where Does the CIO Fit In?

Now you might ask: If business teams manage their own systems, what’s left for the CIO?

The answer? A lot.

The CIO’s role is evolving from being the owner of enterprise systems to being the enabler, strategist, and connector between business and technology.

Instead of fighting over ownership, the modern CIO:

• Ensures systems are integrated, scalable, and secure.

• Builds cross-functional collaboration.

• Drives AI adoption and automation.

• Oversees data integrity and governance.

A great CIO doesn’t cling to ownership—they make sure the company operates efficiently through technology.

Final Takeaways: Stop Fighting, Start Building Cross-Functional Excellence

Enterprise systems should not be a power struggle between IT and Business.

Instead, companies need to:

1. Adopt a matrix model, where ownership is shared across teams.

2. Implement a strong PMO, ensuring resource allocation is clear.

3. Train both IT and business teams to understand each other’s worlds.

4. Stop relying on consultants for long-term needs—build internal expertise where necessary.

5. Redefine the CIO’s role as a strategic enabler rather than just a system owner.

At the end of the day, it’s not about who owns enterprise systems—it’s about whether those systems help the business move forward efficiently.

So instead of another year of internal battles over ownership, maybe it’s time for IT and Business to sit down together and build something that actually works.