As board directors eye capturing new opportunities through technology and enhancing risk management, Chicago-based IPA 100 firm BDO USA (FY23 net revenue of $2.9 billion) polled approximately 250 directors at public companies to identify their areas of focus for the year ahead.
Emerging Technologies Pave the Way for Business Growth, But Not Without Risk
BDO’s 2024 Board Survey shows boards view emerging technologies (e.g., machine learning and “Gen AI”) as a significant means to enhance products, services and processes. Companies are increasing technology investments and pilot programs to remain competitive.
As emerging technology and AI use cases grow, boards are managing new areas of risk. Directors are enhancing cybersecurity measures to help prevent cyberattacks, mitigate losses and improve recovery with minimal business disruption.
Governance Trends
Today’s business environment, including the growing emphasis on technology (both strategy and risk), the continuation of an uncertain economy and an ongoing turbulent geopolitical landscape, is impacting governance processes leading boards to invest significant time and efforts in areas such as: ERM, innovating corporate strategy and succession planning.
Turbulent Economic and Election Environment
In response to a turbulent economy and uncertain U.S. election outcomes, directors are focused on financial impacts. When asked to select the issues that are most critical to their business(es), the following emerged as the top five:
- Monetary policy (e.g., interest rate levels)
- Inflation
- Tax policies
- Geopolitical tensions
- Trade policies
Learn more or download the full 2024 BDO Board Survey at https://insights.bdo.com/2024-BDO-Board-Survey.html
