The Rise of the CISO:
How the Chief Information Security Officer Became a Key Figure in Executive Leadership
In the past decade, there has been a significant shift in the status of the organizational Chief Information Security Officer (CISO). From a technical role operating in the shadow of the IT department, the CISO has evolved into a strategic figure at the executive table, with a decisive impact on critical business decisions.
How Has the CISO Role Changed?
In its early days, the CISO’s role focused mainly on technical aspects of information security: system hardening, incident handling, and implementing basic security tools. Today, the profile of the modern CISO is entirely different. “In the past, the CISO was mostly the ‘No Person’—the one responsible for blocking risk. Today, they are a strategic partner enabling business growth through smart risk management,” explains Joe Sullivan, a cybersecurity analyst. Various studies indicate a clear trend of CISOs now reporting directly to top management. This shift underscores the significant change in their organizational hierarchy and influence.
Factors Driving the Rise of the CISO
Several key factors have contributed to the growing prominence of the CISO:
- The Rise of Cyber Threats and the High Cost of Incidents
Cyberattacks have become a central element in enterprise risk management. A 2023 IBM Security report found that the average cost of a data breach reached $4.45 million—an increase of 15% over three years. - Increased Regulatory Pressure
Regulations such as GDPR in Europe, CCPA in California, and guidelines from the U.S. SEC require organizations to adopt advanced security practices, detect and respond to incidents, and report breaches. Non-compliance can result in severe fines, reputational damage, and legal exposure.
In Israel, regulatory demands are also increasing:
- The Privacy Protection Law (1981) requires any organization managing a data repository to implement adequate security measures, based on sensitivity levels (basic, medium, high).
- The Privacy Protection Regulations (Data Security), enacted in 2018, require organizations with medium or high-level security classifications to conduct risk assessments, appoint a Data Security Officer, and maintain a written security policy.
- Regulated entities (e.g., banks, insurance companies, critical service providers) are also subject to specific requirements from the Bank of Israel, the Capital Market Authority, and the Israel National Cyber Directorate.
The trend is clear: regulation is no longer merely a legal formality – it has become a business driver, pushing executives to proactively address cybersecurity risks. This is where the modern CISO comes in—not just as an IT figure, but as a policy leader, strategist, and risk manager bridging the gap between technology and business.
- Security as a Competitive Advantage
More organizations are discovering that high-level cybersecurity is a competitive edge that strengthens customer trust. A McKinsey study revealed that 87% of consumers would not engage with companies they perceive as having weak data protection practices. - The Evolution of the Digital Business Model
Cloud adoption, remote work, and accelerated digital transformation have introduced new security challenges, making the CISO’s expertise crucial in planning and implementing business initiatives.
The New CISO Profile: Technical Expert and Business Strategist
These developments have dramatically reshaped the skillset required of today’s CISOs:
“Today, the CISO must speak the language of business, understand financial thinking, and work alongside top management as an equal partner,” says Dr. Helen Petrovitch, Senior Lecturer in Cybersecurity at MIT.
A study by ISACA (an international professional organization for information security) found that approximately 60% of current CISOs have formal education not only in technical fields but also in business administration, law, or risk management.
Challenges Facing the Modern CISO
Despite the meteoric rise in status, the CISO still faces major challenges:
- Talent Shortage
As of 2023, over 3.5 million cybersecurity positions remain unfilled worldwide, according to a report by (ISC)². The CISO must recruit and retain skilled teams in a highly competitive talent market. - Budget Pressure
Despite the recognized importance of cybersecurity, budgets often compete with other business initiatives. CISOs are expected to demonstrate clear ROI on security investments. - Balancing Security and Usability
One of the key challenges is striking the right balance between stringent security and user-friendly experiences. Overly strict security measures can hinder productivity. - Increased Responsibility
As the CISO’s profile rises, so does the weight of responsibility. In the event of a major security breach, the CISO may find themselves under scrutiny—or even legal liability, particularly in some U.S. jurisdictions.
Compensation Reflects the Role’s Importance
The elevated role of the CISO is also evident in compensation trends. A 2023 survey by IANS Research and Artico Search reported that the average annual salary for a CISO in large organizations (with over $1 billion in revenue) reached $584,000 (approximately 2,160,800 NIS), a 9% increase from the previous year.
Looking Ahead: The CISO as a Holistic Business Leader Experts predict the upward trajectory of the CISO will continue, with the role expanding in strategic directions: “In the coming years, we will see more CISOs leading key business initiatives—and even ascending to CEO positions,” according to forecasts by PwC experts.
A Forrester report predicts that by 2025, about 25% of large enterprises will merge the roles of CIO and CISO into a single executive position, reflecting the blurring boundaries between IT and security.
In summary, the rise of the CISO reflects a dramatic shift in how information security is perceived: from a technical function to a strategic asset.
Those who successfully blend deep technical expertise with broad business thinking are the leaders shaping the future of cybersecurity.
Organizations that recognize the CISO’s strategic importance—and provide them with authority and resources—are positioning themselves to not only face future security challenges, but to turn them into drivers of growth and innovation.
Author: Lior Rothschild, CEO of T.O.M – Your Trusted IT Partner. A legal and technology professional with a master’s degree from the Technion and 30 years of experience in IT and cybersecurity evolution.
