The Business Continuity Institute (BCI) released its latest Horizon Scan 2015 report. The report shows that cyberattacks are the number one threat to business continuity, as recognized by the BCI. Of particular note is supply chain disruption, which rose 11 places in the threat rankings compared to last year.
This annual BCI Horizon Scan report, compiled and analyzed through questionnaires, assessed the preparedness of 760 companies worldwide regarding their continued operations. Among them, 82% of companies considered cyberattacks the number one threat, followed by 81% who worried about unannounced IT outages, and 75% who feared a data breach like Sony's in 2014. A recent industry report further indicated that large multinational corporations spend an average of over $76 million annually on cybercrime, and this figure is increasing at least 10.4% annually.
The following are the top 10 global threats to continued operations this year:
1. Cyberattack (Move up 1 place)
2. Unannounced IT outage (Go back 1 place)
3. Information leakage (keep it the same)
4. Power outage (Advance 1 place)
5. Supply chain disruption (Advance 11 places)
6. Safety Accident (Up 1 place)
7. Severe weather (drops 3 places)
8. Human Diseases (Advance 3 places)
9. Fire (Retreat 3 places)
10. Terrorist attack (Retreat 1 person)
The report analyzes that most companies, regardless of size, are well aware of the impact of the aforementioned natural and man-made disasters on their continued operations; however, less than 80% of these companies implement risk assessment management. This year marks the first time BCI has included small businesses in its report's survey and analysis. The results indicate that small businesses have a lower chance of recovery than large businesses when disasters strike. Furthermore, most small businesses not only fail to assess operational risks, but many are only now beginning to establish international management systems.
The report emphasizes that with market globalization, conflicts, diseases, natural disasters, and crimes are more likely to reach various industries, making businesses of all sizes more vulnerable. Only when senior management recognizes the importance of business continuity and adopts the ISO 22301 business continuity standard can businesses prevent problems before they occur or quickly recover from setbacks.
For detailed information on Horizon Scan 2015, please refer to the attachment: BCI HorizonScan2015 (English).
Sources: Business Continuity Institute (2015-02-17) (Compiled by PIDC) Attachment file:BCIHorizonScan2015.pdf
