Baker Tilly and the National Association of Corporate Directors (NACD), the authority on boardroom practices representing more than 20,000 board members, released the 2019 Governance Outlook: Projections on Emerging Board Matters, featuring Baker Tilly’s 2019 Strategic Risks for Boards. The report serves as an annual road map to guide corporate directors and senior executives as they tackle business and governance risks and issues throughout the coming year.
Baker Tilly’s Strategic Risks for Boards focuses on critical disruptive forces boards and organizations face:
As boards confront mounting pressure from investors and other stakeholders to demonstrate proper oversight of these risks, directors should ensure that their organizations are prepared for regulatory compliance, understand the impact of these risks and have a comprehensive monitoring program in place.
The report also highlights NACD survey findings on the top board priorities for 2019 and highlights issues related to climate change, mergers and acquisitions (M&A), regulatory priorities and board composition and success.
NACD and Baker Tilly hosted a board-level discussion on The Power of Privacy: The Board’s Role in Privacy Oversight. The discussion involved understanding the current privacy regulatory environment and emerging risks that can affect oversight. Boards hold a significant role in ensuring management takes a risk-based approach to protect, respond to and address a widening list of data privacy regulations and requirements. The blog below provides a summary of the discussion and highlights the importance of using a comprehensive data privacy program to assist the board in privacy oversight.
To stay competitive and relevant in a rapidly changing business landscape, organizations in every industry must navigate an increasingly disruptive, technology-enabled environment. Companies that do not address and embrace new and emerging technologies will be less competitive or may even face obsolescence. Advanced digital technologies bring with them both opportunities and challenges for boards. Boards must become knowledgeable about these digital disruption trends in order to be able to conduct meaningful oversight that management can use successfully as the company embraces new technologies.
In order to stay ahead of enterprise risks, directors should ask management questions that illuminate gaps in strategy. Boards can enable organizations to gain an edge through a sometimes overlooked area: the intersection of strategy and enterprise risk management (ERM). The integration of ERM and strategy enables enterprise risks to be identified in the context of your strategic plan. It also allows strategic execution to consider the potential impacts of enterprise risks.