What You Need to Know About Digital Risk Officers

 
 
By Karen A. Frenkel  |  Posted 08-04-2014 Email Print this article Print
 
 
 
 
 
 
 
 

The role of digital risk officer (DRO)—to manage risk for all forms of digital technologies—is rapidly evolving. The reason for this development is that the traditional concept of IT security is insufficient, according to Gartner's 2014 CEO survey. DROs will combine business acumen with technical and security knowledge and will need new skills beyond those typically required of risk and security officers. "By 2019, the new digital risk concept will become the default approach for technology risk management," says Gartner Vice President and Distinguished Analyst Paul Proctor. "DROs will influence governance, oversight and decision-making related to digital business. This role will explicitly work with non-IT executives in various capacities to better understand digital business risk and facilitate a balance between the need to protect the organization and the need to run the business." Proctor warns that the culture gap between IT and non-IT decision-makers poses a "significant challenge" and must be bridged, otherwise consequent business risk will "hit inappropriate levels." For the Gartner report (fee required), click here

 
 
 
  • CEOs to Hire Digital Leaders

    More than half of CEOs will have a senior digital leader on their staff by the end of 2015, according to Gartner's 2014 CEO survey.
    CEOs to Hire Digital Leaders
  • Expanding IT Security is Insufficient

    Just expanding your portfolio of IT security to include technology risk for all Internet-aware technology is not enough. Skills and tools beyond the competence of the IT security team will be managed outside the IT department.
    Expanding IT Security is Insufficient
  • Enduring a Major Service Failure

    By 2020, 60% of digital businesses will suffer a major service failure due to the inability of the IT security team to manage digital risk when it comes to new technologies.
    Enduring a Major Service Failure
  • The Emergence of Digital Risk Officers

    The DRO will start to emerge in the enterprise in 2015. DROs will need skills in the IoT, operational technology, physical security, privacy and digital marketing spaces.
    The Emergence of Digital Risk Officers
  • Digital Risk Officers in 2017

    By 2017, one-third of large enterprises engaged in digital businesses will have a DRO or the equivalent officer.
    Digital Risk Officers in 2017
  • Needed DRO Skills

    New skills, beyond those of today's Chief Security Officers, will be in demand. In security, for example, DROs will need to know about: Network and endpoint security, Security concerns in the integration of IT and operational technology, Embedded software and system security, Machine-to-machine security, Identity and access management across the business where digital identities are related to civil and social identities, Physical security management
    Needed DRO Skills
  • A New Approach to Digital Risk

    A unified and consistent approach to digital risk could deliver cost-efficiencies and improved risk insurance for businesses better than the fragmented approaches currently used by most enterprises.
    A New Approach to Digital Risk
  • Required Digital Risk Management Capabilities

    The Gartner report suggests the deconstruction and re-engineering of current organizational structures, the allocation of responsibility, and the development of new capabilities in security and risk assessment, monitoring, analysis, and control.
    Required Digital Risk Management Capabilities
  • Needed Risk Management Skills

    In-demand risk management skills will include risk management processes, risk assessments that span digital business models end-to-end, and risk management that supports decision-making at the senior executive level.
    Needed Risk Management Skills
  • Innovation and Risk Assessments

    DROs should investigate how digital innovation will change key business leaders' tolerance of risk in the enterprise.
    Innovation and Risk Assessments
 
 
 
 
 
Karen A. Frenkel writes about technology and science, innovation, and entrepreneurs and lives in New York City.

 
 
 
 
 
 

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