The scale, complexity, and enhanced utilization of data have created a need for specialized roles within organizations that help manage data efficiently and derive strategic value from it. The Chief Data Officer (CDO) or a similar top management team member typically heads these roles. Industry surveys clearly show a steady rise in the appointment of the Chief Data Officer, from 12% in 2012 to 84.3% in 2025, while also indicating that only 47.6% of organizations consider the role of CDO to be successful. While there is unmistakable evidence that organizations are increasing their spending on Data and AI, there are also challenges and inhibitors to the success of the CDO role. The paper presents a systematic literature review to understand the evolving role of the CDO and analyze the organizational factors that hinder the success of the CDO. The paper discusses studies that evidence the growing importance of data, the need for an executive role to manage data, the chronological development of the CDO’s role, the challenges associated with the role of the CDO, and the theoretical foundations of past studies. Through a synthesis of the literature, this paper discusses the findings, conclusions, and limitations of past research. The paper provides future research directions and managerial implications, highlighting the significance of the topic and its growing importance with the adoption of AI.