VENTURE CAPITAL
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EU PUBLISHES DORA IT RISKS
In October , the European Union ( EU ) published draft legislation to codify how financial firms manage digital risk . Announced as part of the EU ’ s new Digital Finance Strategy , the proposed Digital Operational Resilience Act ( DORA ) is designed to “ consolidate and upgrade ICT risk requirements ” across the financial entities to ensure all firms are “ subject to a common set of standards to mitigate ICT risks .”
Moreover , given the “ drumbeat of regulations ”, the global nature of business and investors ’ growing emphasis on transparency – not to mention the COVID-19 pandemic , which dramatically highlighted the nature of unforeseen risks – the possibilities for improving risk management abound , according to Oracle .
This year saw digital efficiencies soar as the world worked from home though risks amplified too ; a recent Deloitte poll found respondents expect their top internal controls program challenges to include staffing changes and the virtual work environment ( 26.9 %) and third-party risks ( 22.2 %) in the next six months .
Only 5.8 % of respondents reported a decrease in the size and frequency of risks that their organisations ’ internal controls programs faced during the past year , and only 22.1 % said their organisations leveraged advanced technologies , according to the same poll , suggesting traditional risk assessments remain in place .
“ As organisations sprint to digitally transform nearly all aspects of their businesses to manage disruption ,
JANUARY 2021