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 | From the Editor's Desk
4 Areas of Cyber Risk That Boards Need to Address In our technology-dependent society, the effectiveness of cyber risk governance of companies affects its stock prices, as well as short-term and long-term shareholder value. New SEC cybersecurity rules provide a solid basis for transparency. Unfortunately, monitoring the long-term effectiveness of a cyber risk management strategy is not easy to grasp. This article provides four critical areas investors should be informed about for evaluating its long-term effectiveness.
As technological innovations such as cloud computing, the Internet of Things, robotic process automation, and predictive analytics are integrated into organizations, it makes them increasingly susceptible to cyber threats. Fortune 1000 companies, for example, have a 25% probability of being breached, and 10% of them will face multi-million loss. In smaller companies, 60% will be out of business within six months of a severe cyberattack. This means that governing and assessing cyber risks becomes a prerequisite for successful business performance — and that investors need to know how vulnerable companies really are.
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