The 12th annual survey, conducted by the Enterprise Risk Management Initiative and Protiviti, sheds light on the concerns of over 1,143 board members and C-suite executives globally. The study assesses 36 macroeconomic, strategic, and operational risks on one-year (2024) and one-decade (2034) time horizons. Key findings include:
Top Risk Themes:
- Economic pressures and persistent inflation surpass the war for talent as the top near-term risk for business leaders.
- Cyber threats emerge as the top long-term concern over the next decade.
Emerging Risks for 2024:
- Economic conditions, including inflationary pressures, top the list of near-term risks.
- Talent-related challenges, cyber threats, third-party risks, and heightened regulatory changes follow closely.
Geopolitical Events Impact:
- Geopolitical events, particularly those in the Middle East on October 7, 2023, influenced the risk landscape significantly, with four issues rated at the “Significant Impact” level for 2024.
Top Risks for 2034:
- Cyber threats remain the most pressing risk a decade later, showing an 11% increase in risk rating compared to the previous year.
- Other concerns include talent acquisition and retention, adoption of digital technologies, disruptive innovations, and heightened regulatory scrutiny.
Insights from Experts:
- Dr. Mark Beasley notes the growing recognition of the complex cyber risk landscape, emphasizing the seriousness with which leaders view cyber threats.
- Sameer Ansari highlights the impact of advancing technologies on data security, urging organizations to adapt and ensure compliance through outsourcing arrangements.
Actionable Steps for Companies:
- The report suggests specific actions for executives related to AI, economy/inflation, cyber issues, talent strategies, and geopolitical risks to address key areas of concern.
Resources:
- The full report, including detailed results and analysis, is available for complimentary download, along with a global webinar series, infographic, and podcast discussing the survey results.
Webinar on Top Risks:
- A webinar on January 11, 2024, at 11:00 AM EST, will delve into the interconnected nature of emerging risks, providing insights into survey results and exploring implications for C-Suite and Board members.
Learning Objectives:
- Gain a nuanced understanding of how leading risks interact and influence the business landscape.
- Discover how risks are reshaping businesses and learn actionable strategies to respond proactively, turning challenges into opportunities for organizational growth.
In summary, the report emphasizes the evolving risk landscape, with economic, talent, and cyber-related concerns dominating short and long-term perspectives. Executives are encouraged to take specific actions to navigate these challenges and position their organizations for future success.