The Role of Digital Transformation in Enterprise Risk Management

Abstract

This research aims to study and evaluate the mutual impact between digital transformation and risk management in organizations. While digital transformation offers significant benefits in terms of increased efficiency and innovation, it also presents new challenges related to risk management. The main findings of the research indicate the following:

• Complexity of the risk landscape: Digital transformation leads to a more complex digital environment, increasing the types and number of risks faced by organizations, such as cyberattacks and data breaches.


• New opportunities for risk management: Conversely, digital technologies provide advanced tools such as artificial intelligence and big data analytics, enabling organizations to detect threats earlier and respond more effectively.


• Importance of digital culture: Building a strong digital culture within the organization, where all employees are aware of digital risks and how to address them, is crucial.


• Integration of technology and management: Organizations must integrate technology into their risk management strategies, considering human and organizational factors.

The research recommends the following Developing a comprehensive strategy: Organizations should develop a comprehensive strategy for digital risk management that covers all aspects, from technology to organizational culture.