Risk outlook for 2017 from Marsh
Marsh in partnership with the Institute of Directors presents their third risk survey report.
The survey was conducted in the last quarter of 2016 with 415 responses from directors across New Zealand.
Directors were asked their views on a wide range of risk issues from their perceptions of risk in New Zealand business through to their boards involvement in risk. The report concludes with an outlook to the future of risk management and the global risk landscape more broadly.
Some of the key risk issues identified in our 2016 report were:
- 65% of respondents believe the risk environment will increase during 2017, in the public sector that perception is shared by 83% of directors.
- Directors perceive cyber-attacks to be the biggest threat to New Zealand businesses in 2017, with 79% of those surveyed rating the impact on their organisations strategic growth, operational efficiency and legal/ contractual compliance as medium or high.
- Technology-related risks top this year’s lists for both external (cyber-attack) and internal (major IT incident) risks considered to have the greatest potential impact to businesses. 75% of directors surveyed considered an IT disruption to be a high or medium internal risk.
- 84% of respondents indicated their boards spent either a significant or moderate amount of time on risk management. The motivation for this though, is likely to be a direct result of a sea of change in the health and safety responsibilities of company directors.