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Leadership·Trends··6 min read

The CX Leadership Operating Model: 2024 Enterprise Trends

How enterprise CXOs in the GCC and South Asia are structuring their teams, governance, and measurement to drive measurable business advantage this year.

Praveen Kumar · Founder & Director, Xverse Digital

A diverse group of enterprise executives in a modern Dubai boardroom discussing a CX leadership operating model framework on a digital display.

The short answer

A high-performing cx leadership operating model positions customer experience as a strategic growth discipline rather than a downstream reporting function. It balances centralised governance for experience standards with decentralised execution, ensuring cross-functional teams can design, implement, and sustain measurable business advantages without creating operational bottlenecks.

The numbers behind this

20%

Potential CSAT Increase

McKinsey's 2022 analysis of journey-aligned operating models.

15%

Brands Improving CX

Forrester's 2023 Customer Experience Index findings on structural authority.

30%

Leaders Struggling to Measure

Thoughtworks' 2023 study on digital banking transformation challenges.

2x

Higher Repurchase Intent

Qualtrics' 2023 global ROI of customer experience research.

In the first weeks of January, newly appointed chief experience officers across the GCC and India face a narrow window. Before the spring event season consumes their schedules and the March financial year-end dominates Indian boardrooms, they must establish their governance rhythm for the year ahead. We frequently see leaders inherit fragmented teams, legacy measurement tools, and a mandate to improve loyalty without the authority to change underlying processes. To fix this, enterprise leaders are abandoning traditional silos and adopting a formal cx leadership operating model.

Experience is the strategy, not the decoration. When an organisation treats customer experience as a series of aesthetic fixes applied just before a product launches, the financial returns are negligible. Real transformation requires shaping the systems, strategies, and stories that drive growth. This demands a structured approach to how teams are organised, how decisions are made, and how value is measured.

How are high-performing CXOs structuring their teams this year?

High-performing CXOs are structuring their teams around customer journeys rather than internal business units. They embed design and experience practitioners directly into product and service squads while maintaining a central centre of excellence to enforce standards and measure benefit realisation.

Historically, the customer experience function operated as an isolated department, reviewing products and services only after they were built. This downstream approach guarantees friction. Today, leaders are integrating UX researchers, service designers, and CX strategists into the core operational structure. By applying the five planes of interface design—strategy, scope, structure, skeleton, and surface—from the very beginning of a project, teams ensure that customer needs dictate the operational build, rather than the other way around.

In our work with a prominent UAE retail bank preparing for the 2024 fiscal year, we observed the limits of the old structure. The bank had a dedicated CX team that functioned primarily as an internal audit group, scoring journeys after launch. By restructuring their teams, they moved experience practitioners into the agile squads responsible for onboarding and loan origination. This meant experience was designed into the operating model from day one.

A 2022 McKinsey study on CX operating models found that organisations aligning their structure to customer journeys can increase customer satisfaction by up to 20 percent while simultaneously reducing the cost to serve. When you build capability inside the client rather than creating dependency on external agencies, the organisation learns to sustain these improvements independently.

Where should the CX function sit within the wider enterprise architecture?

The CX function should sit at the executive level, operating as a horizontal bridge across product, marketing, operations, and technology. It must report directly to the CEO or COO to ensure it has the authority to mandate cross-functional changes and resolve competing departmental priorities.

Burying the customer experience team within marketing or customer service is a structural failure. Marketing focuses on acquisition and brand promise, while customer service focuses on issue resolution. Neither has the mandate to re-engineer a broken supply chain or replace a legacy billing system. When CX lacks structural authority, it becomes a dashboarding exercise rather than a transformation engine. This is why Design Transformation Strategy: Why Fragmented Teams Fail is a critical read for leaders trying to unify their approach.

Forrester’s 2023 Customer Experience Index revealed that only 15 percent of brands manage to improve their CX quality significantly. A primary reason for this stagnation is that experience functions lack the executive sponsorship required to force operational change. To turn customer experience into a measurable business advantage, the CXO must have a seat at the table where capital allocation and risk management decisions are made.

How do we balance centralised governance with a decentralised cx leadership operating model?

We balance this by centralising the definition of experience standards, measurement frameworks, and journey prioritisation, while decentralising the actual design and implementation to business units. This hybrid approach ensures consistent brand interactions without slowing down the agility of frontline execution teams.

There is an honest trade-off here. Total centralisation brings absolute consistency but creates a severe operational bottleneck, slowing down time-to-market. Total decentralisation brings speed but results in a fragmented customer journey where every department builds its own isolated experience. The solution is a hub-and-spoke model. The central CX team acts as the hub, providing the tools, training, and governance frameworks. The business units act as the spokes, executing the strategy within their specific domains.

| Operating Model | Primary Advantage | Primary Risk | Best Suited For | | :--- | :--- | :--- | :--- | | Centralised | High consistency and strict adherence to brand standards. | Slow execution and bottlenecked decision-making. | Early-stage transformation and highly regulated environments. | | Decentralised | Rapid execution and high business unit autonomy. | Fragmented journeys and duplicated technology investments. | Mature digital organisations with embedded design capability. | | Hybrid (Hub-and-Spoke) | Balances enterprise standards with local agility. | Requires rigorous governance to maintain alignment. | Large enterprises scaling experience-led growth. |

Establishing this balance requires clear decision rights. As outlined in our guide on Establishing a CX Governance Framework for Transformation, functional leaders own execution in their domains, while nominated journey owners own cross-functional outcomes such as onboarding or complaint resolution.

What operating disciplines separate strategic CX from mere decoration?

Strategic CX relies on rigorous operating disciplines, specifically continuous measurement, cross-functional journey management, and strict benefit realisation tracking. These practices ensure that every experience initiative is tied to a measurable business outcome rather than just aesthetic improvements or isolated satisfaction scores.

If it isn't measured, it isn't transformation. Simplicity is the hardest deliverable, and achieving it requires a disciplined methodology. We rely on a four-stage approach: Know, Design, Implement, and Sustain. This methodology prevents teams from jumping straight to implementation without understanding the root cause of customer friction.

To embed these disciplines, organisations must adopt a clear sequence of operations:

  1. Define the baseline: Use operational data and financial metrics, not just survey scores, to understand current performance.
  2. Design the target state: Apply design thinking methodologies to map the ideal future journey.
  3. Implement changes: Deploy cross-functional squads to build the new experience iteratively.
  4. Sustain the outcome: Track benefit realisation against the initial business case to prove ROI.

A 2023 report by Thoughtworks on digital banking transformation highlighted that 30 percent of business leaders identify the inability to adequately measure the impact of CX efforts as their most critical operational challenge. Without these disciplines, organisations invest heavily in voice-of-customer tooling but struggle to turn those insights into prioritised change. For a deeper dive into these practices, review our CX Governance Framework: Operating Disciplines for CXOs.

How do we align our cx leadership operating model with the wider C-suite agenda?

We align the model by translating customer experience metrics into the financial and operational language the C-suite already values. This means connecting journey improvements directly to cost reduction, risk mitigation, and revenue growth rather than reporting solely on net promoter scores.

During the budget planning season—whether preparing for the calendar year in the GCC or the April financial year in India—CX leaders must defend their investments. The C-suite does not fund empathy; they fund growth and efficiency. A robust operating model ensures that every design decision is mapped to a business outcome. If a new digital onboarding flow is proposed, the business case must highlight the reduction in call centre volume and the increase in conversion rates.

Qualtrics' 2023 global ROI of customer experience study demonstrated that consumers who rate an experience as five stars are more than twice as likely to purchase more from that company compared to those who give a one-star rating. This is the language of the boardroom. By using the Design Value Model, leaders can quantify how improvements in usability and accessibility directly impact shareholder returns. We explore this financial alignment further in CX ROI Calculation Banking: Securing Your 2024 Budget.

The window to establish your operating cadence is brief. As the region moves toward the spring event season and preparations for Ramadan begin, the operational rhythm you set now will dictate your success for the rest of the year. You must decide whether to continue treating customer experience as a downstream reporting function or to restructure it as a strategic lever for growth. For leaders ready to build internal capability and drive measurable advantage, our CX Leadership Advisory practice provides the frameworks and guidance required to execute this transition.

Experience is the strategy, not the decoration; if it isn't measured, it isn't transformation.

Frequently asked

What is a CX leadership operating model?

A CX leadership operating model is the structured framework that defines how an organisation's customer experience team is organised, how decisions are made, and how value is measured. It aligns cross-functional teams to ensure experience strategies translate into measurable business outcomes.

Why should CX report to the CEO or COO?

Customer experience spans multiple departments, including product, marketing, technology, and operations. Reporting directly to the CEO or COO gives the CX function the structural authority needed to mandate cross-functional changes and resolve competing departmental priorities.

How do you measure the ROI of a CX operating model?

ROI is measured by tracking benefit realisation against specific business cases. This involves connecting journey improvements directly to financial metrics such as increased customer lifetime value, higher conversion rates, and reduced cost-to-serve, rather than relying solely on satisfaction scores.

What is the hub-and-spoke model in CX governance?

The hub-and-spoke model centralises the definition of experience standards and measurement frameworks (the hub) while decentralising the actual design and implementation to individual business units (the spokes). This balances enterprise consistency with local execution speed.

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