The challenge of IT risk

The past two years has seen a re-emergence of large scale corporate investment into IT systems. A recent PwC survey on behalf of the Institute of Internal Auditors found that keeping abreast of the pace of IT change, coupled with increased IT dependency is a significant challenge for 87% of the companies surveyed.

The survey also found that only 32% of internal audit heads believe the Board understand the IT risks they face compared with 76% of senior managers. This suggests a lack of mutual understanding in the area of IT risk and that Boards may have an incomplete picture of the IT risks faced by the organisation.

This is of particular concern given that 98% of organisations see IT as strategically important to the future success of the business.

Grant Waterfall, a PwC technology assurance partner, comments: “Boards, in particular most non-executive directors, simply don’t have inherent practical experience of IT risk, and this means they are unlikely to understand the full extent of the risks and opportunities that technology presents to their companies.”

“…it is not acceptable now for a Board member to say proudly ‘I am a luddite’. Five years ago they could have got away with that.” Senior executive

Boards are looking for increased comfort over their IT risks and we have specialists in technology, IT assurance, technical training and compliance who can enable them to understand, manage and challenge IT risk.