NOTABLE VARIATIONS IN CAPABILITY AND RELEVANCE FOR CERTAIN RISKS
While overall ratings from the three respondent groups appeareflect tor generalalignment,deeperanalysisof gan or izationalcapabilityandriskelr evanceratingsforeachgroupfindsnoteworthyvariationsinseveralriskareas, particularly Disruptive Innovation. Seniorexecutivestendedtobeemor confidentabogan utor izationalcapabilityformostriskareasexaminedexceptfor DisruptiveInovation,wherejust2in10espo r ndentsratedcapabilityashigh(Figuer 1).Thiscreatedthelargestvariation betweenespo twor ndentgroupsoncapability—23percentagepointsbetweentheC-suiteandtheboard. Boardsarenotasconfidentasseniorexecutivesontheigan ro ization’scapabilityomanagecertainrisks.ForTalent ManagementandonmenEvir talSustainabi,lity thecapabilityratingwas20pointslowerforboardespo r ndentscompared toheirC-suitecounterparts.Itwas13pointslowerforOrganizationalGovernance. Meanwhile,CEswerelessconfidentinheigan ro ization’sabilityoaddressSupplierandVendorManagementrisk. Theiratingswere20pointslowerthanboardespo r ndentsand16pointslowerthantheC-suite. Figure 1:
ORGANIZATIONAL CAPABILITY RATINGS BY ROLE PER RISK AREA Percentage who gave a rating of 6 or 7 on a scale of 1 to 7
Note: OnRisk 2022interviewquestion:Overall,howcapableisyourcompanywhenitcomestohandlingenterprisewiderisk?Respondentscouldchose aratingfromascaleof1to7,with1beingthelowest(“notatall”)and7beingthehighest(“exemtr ely”).Riskareasweresortedfromhighesttolwest average scores. n=90.
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