Cyberthreats and a changing workforce are among top business risks
- The Travelers Companies, Inc. identified the top risks facing businesses and consumers, including: cyber breaches, distracted drivers and a changing workforce. But there is some good news. The 2017 Travelers Risk Index shows that 37% of business leaders feel the business environment is growing riskier, down from 48% in 2014.
- Businesses have financial concerns about the cost of healthcare, with 61% of business leaders somewhat worried about medical cost inflation, 55% worried about benefits costs and 51% concerned about attracting and retaining talent. Despite these concerns, only one in four businesses makes risk management a high priority.
- Consumers find financial issues the most worrisome of all risks, although the percentage dropped from 70% last year to 64% this year. Consumers' second concern was identity theft, and the third was personal safety and cyber threats.
Businesses should be worried about cybersecurity; massive breaches occurred this year that showcased just how sneaky — and business-threatening — cyber threats are today. According to a MediPro study, 70% of employees don't know how to prevent a workplace breach. Bad cyber habits remain a top threat to business cybersecurity. To add to the trouble, many employers are still struggling to find IT workers who specialize in cybersecurity.
Employers might lower their cyber risks by investing in training their IT staff in cybersecurity and instructing IT to teach employees how to take precautions against hackers and phishers. Employers also might offer identity theft coverage as a benefit.
Businesses must also focus on agility and adaptability to cope with the coming major workforce changes. By 2020, various studies predict that 50% of the workforce will be working on a contingent basis, which will inevitably shift how employers must approach talent sourcing.