Successful business are increasingly using technology to increase sales, maximise efficiency and reduce expenses, but evolving technologies such as cloud computing and social media increase a business’s risk to cyber theft, fraud and sabotage, according to Aon.
Aon's most recent Global Risk Management Survey (GRMS) asked captive directors (executive and non-executive) for their opinions on the rankings of the top 50 risks identified.
One particular threat that Aon felt was under-rated was Cyber Crime, which was voted as the #18 risk affecting businesses. Overall 83% of captive directors agreed that the #18 ranking was severely or perhaps under-rated.
“I believe the low rating of cyber threat might be due to a lack of ownership as often it’s not clear where this risk rests in an organisation," says Rory Moloney, CEO of Aon Global Risk Consulting.
"Also, we still lack data which makes it difficult for the insurance market to respond."
Another area of concern to Aon was the attitude towards terrorism risk, which was ranked #46 in the survey and 52% of captive directors agreed that this threat was ranked too low.
Aon’s view is that with more incidences of political unrest and terrorist attacks, organisations must not become complacent, as terrorism attacks are not confined to politically or economically unstable regions, and the results are almost always devastating.
"Is it a case of 'out of sight, out of mind'? Complacency around risk management is an issue and we need to heighten this issue. We believe risk managers have underrated the risk of terrorism, and the views of expert captive directors concur with our view,” says Stephen Cross, Chairman, Aon Centre for Innovation and Analytics.