COMMENTARY
Business risks encompass many overlapping categories, from operational and strategic risks to financial, legal, and compliance risks. Yet every category is affected by cyber-risks in some way. Operational problems such as equipment failures and supply chain disruptions should include the risks of a cyberattack disrupting IT networks. Similarly, the CFO’s office manages credit risks, investment losses, and cash-flow issues. But the finance team should also recognize the ongoing threats of financial losses from ransomware attacks, or the reputational harm when private customer data gets leaked on the Internet.
Market research has repeatedly shown cybersecurity to be a key indicator of financial performance. In fact, companies with advanced cybersecurity performance create a 372% higher shareholder return compared with their peers that have basic cybersecurity performance. That’s according to a recent report from Bitsight and Diligent that analyzed more than 4,000 mid- to large-cap companies in public indexes globally.
Nearly all chief information security officers (CISOs) and security leaders are adopting artificial intelligence as part of their strategy to defend…
