Most of the directors want to spend more time on IT-related risks in the coming year
An increasing number of corporate directors view IT as an important part of their business but don’t understand it, according to a new report from PricewaterhouseCoopers (PwC).
A third of coporate directors admitted they had insufficient understanding of IT matters while more boards are turning to outside consultants for advice on IT strategy and risk oversight, the report said.
The survey of 934 directors, 70% of whom serve companies with annual revenue of about $1bn, said 15% of respondents viewed IT as a critical part of their business, up 13% from 2012.
The study found that 61% of directors wanted to spend more time on IT-related risks during the coming year, while 55% said the same about IT strategy.
PwC said there was a jump in the number of boards asking outside consultants for advice on IT strategy and risk in 2013, up 35% from 27% in 2012.
And 22% of directors agreed that the company’s approach provides them with adequate information for effective oversight.
PwC center for board governance leader Mary Ann Cloyd said: "While directors have made notable strides to improve effectiveness of oversight, ensuring IT strategy and risk are woven into their company’s overall business plan remains a challenge," Cloyd said.