The COVID-19 pandemic has changed the way organizations operate, introducing a host of business risks. To better understand this dynamic risk environment, AuditBoard surveyed more than 2,000 attendees at our recent virtual conference about the risks they will face in 2021. Respondents felt that three major risks will require the bulk of their attention moving forward: economic threats impacting [business] growth, cybersecurity threats, and business continuity and crisis response. Organizations that take proactive measures now to address these risks will give themselves a better chance to succeed as we continue to navigate the pandemic.

Major Risks Have Ripple Effects on Businesses 

Unsurprisingly, economic threats impacting growth was the number one risk on most respondents’ minds. Business leaders outside of the sample group echoed this concern, with CEOs of major companies expecting financial hardships to continue through the end of 2021 and beyond. Recessions squeeze everyone’s margins, impact demand, and make it tough to hire and retain employees. The current economic landscape has led to bankruptcies, contractions, and layoffs.

In uncertain economic conditions, it is challenging to maintain business continuity and respond to disruptions, including the current global health crisis. The pandemic has disrupted everything from how workforces are organized to supply chains and demand for products and services. It is challenging to keep a business running smoothly when any semblance of traditional continuity feels nonexistent. Businesses must change the ways they interact with partners, employees, and with customers. But making operational changes to maintain business continuity gives way to a new, dynamic set of risks. 

For example, many businesses have implemented long-term work-from-home policies. To address this change, companies are embracing hybrid clouds and leaning on collaboration software. Reliance on third-party vendors and distributed workforces accessing corporate networks introduces additional cybersecurity risk. 

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