Today's executive board members and governance professionals are expected to manage critical issues like cyber risk, regulation, culture and ethics alongside the constant pressure to drive business performance. With the stakes higher than ever, boards cannot rely on outdated approaches to keeping their sensitive board information and materials safe from cyberattacks.
Diligent commissioned Forrester Consulting to evaluate global executive board governance practices and shed light on how professionals are stacking up against each other in adopting technology into their workflow and end to end governance management. After conducting a survey targeting governance professionals across 11 countries, we found that board members and governance professionals are practicing some shockingly dangerous practices leaving boards open to a potential barrage of cyberattacks.
Dive into the data below and see how you stack up against over 400 governance professionals.
50% of directors around the globe discuss sensitive board materials via personal channels, leaving their boards vulnerable against cyber attacks
Technology is an ever-present medium in the boardroom and misuse of technology in the boardroom can put your organisation at risk. In fact, a majority of boards of directors still use personal email to communicate about sensitive board materials. Usage of personal email was high across all regions – North America at 53%, EMEA at 51% and APAC at 40%.
Can your technology provider ensure that your data is protected with a lost device?
Lost devices and misplaced board books are the most common security breaches for board members. Nearly 30% of board members lose or misplace their phone, tablet or computer in a given year. Without the right tool that offers the ability to "remotely wipe" a device, boards risk exposing confidential information to the public domain or people with malicious intent.
What's your biggest fear?
Boards mostly fear allegations of fraud or corruption, cyber incidents and compliance violations being discussed publicly
15% of boards are concerned about cyber incidentsCyber incidents and compliance violations ranked as the highest areas of concern due to lack of visibility and technology gaps. This is compounded by the unease board members have with the mishandling of personal data.
Boards use many types of technology to manage their board meetings
In today's boardroom, even with the risk of cybersecurity, boards still use unsecure private email and pdfs to manage their boardroom documents. Only a third of boards are using virtual data rooms while another third are still using paper board books, which pose several risks including being misplaced. Paper packets are also more frequently out of date, without the ability to easily update something that has already been mailed out before a board meeting.
Less than a third of governance responsibilities are easily solved today using board management technology.
45% of governance professionals general counsels, corporate secretaries and investor relation staff, believe that their compliance requirements are being met. 42% of those surveyed believe that board collaboration is streamlined through the right technologies. However, only only 36% believe that technology alleviates confusion, which means that proper training still needs to be conducted to get the most out of board management software.
Technology that provides end-to-end governance yields critical benefits.
Directors and governance professionals identified what processes could be most impacted by using technology and how a better understanding of technology can solve the greater needs of boards of directors. The top needs that board members believed technology could solve include:
- Streamlining communication and document access
- Meeting compliance requirements to avoid fraudulent activity
- Increasing data access for more agile decision-making
Demographics at a Glance
Number of employees in the organisation
Regions where we conducted the survey
Demographics of the report