Introduction
Digital risk, including cyber risk, is a pervasive and potentially existential concern. Leaders need to understand and take account of cyber risk in their strategic decisions.
Accelerating digitalization puts new pressures on companies to overhaul their business models and, indeed, fundamentally reimagine how they conduct business. Given that companies are increasingly judged on how well they protect their own information as well as the data entrusted to them by customers and partners, cybersecurity and cyber resilience have become vital concerns for any trustworthy organization.
The growth of our global digital footprint has ensured that cybersecurity will remain a priority for business leaders for years to come. As a result, cybersecurity governance will continue to be a matter of importance for boards of directors. As we are seeing when boards consider environmental, social and governance (ESG) factors, companies that manage the entire portfolio of risks, including cyber, do better in the marketplace.
Cyber risk remains among the top risks facing business organizations today. The World Economic Forum’s Global Risk Report 2021 lists cybersecurity failure as a top “clear and present danger” and critical global threat. As with any major enterprise issue, it is important for the board of directors and leadership to set the tone at the top and define how their organizations must address cybersecurity
