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Welcome to another episode of the Oteemo CIO Podcast. In this unique episode, we interview Justin Fanelli, CTO at the US Department of the Navy and Technical Director of PEO Digital. With a value-packed session, we cover everything from modernization, agile, AI, and leadership.
Here are some of the key takeaways from this episode:
1. Mindset is the Foundation of Transformation
True digital transformation starts with the right mindset. Fanelli emphasizes the need to "find and unleash high-energy individuals" within large organizations to drive meaningful change—those who are ready to challenge the status quo and embrace innovation.
2. Four-Horizon Framework for Innovation
The Navy employs a structured, outcome-driven approach to innovation through a Four-Horizon Model:
- Horizon 1: Daily operations and optimization
- Horizon 2: Disruption and pilot programs
- Horizon 3: Scouting for emerging technologies
- Horizon 4: Strategic alignment with long-term innovation goals
3. Outcome-Driven Metrics Over Traditional KPIs
Instead of relying solely on KPIs or OKRs, the Navy now focuses on Outcome-Driven Metrics to evaluate technology investments.
These include:
- User time lost
- Operational resilience
- Cost per user
- Adaptability
- Customer experience
4. Balancing Security and Innovation Through Zero Trust & Ecosystem Partners
Security is no longer a blocker to speed. By adopting Zero Trust architectures and partnering with industry to streamline secure onboarding, the Navy is enabling faster innovation without compromising on cybersecurity.
5. Modernization Requires Subtraction, Not Just Addition
One of Fanelli’s strongest points: "Modernization isn't just about adding new systems—it's about removing outdated ones." The Navy prioritizes "addition through subtraction", evaluating legacy tools and investing in scalable, interoperable solutions that reduce tech debt and increase agility.
Connect with Justin: https://www.linkedin.com/in/justinfanelli/
Head over to our website to find out more and discover more CIO insights: https://oteemo.com/podcasts/
Connect with Oteemo and Raja
LinkedIn https://www.linkedin.com/company/oteemo/
Raja's LinkedIn https://www.linkedin.com/in/rajagudepu/
Website: https://oteemo.com/
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