More emphasis on Cybersecurity Policies
2022 will witness an augmented digital transformation. In contrast, cyber threats and ransomware incidents are likely to rise because of digitalization, remote work, and increased use o third parties; the focus would therefore be on security measures, incident response, board reporting, and communication.
The ESG will steal the show
Organizations all over the world are prioritizing sustainability, not just from the branding perspective, but also to keep the shareholders happy.
More Independence for Independent Directors
The one thing that external/independent directors relish is the feeling of being independent and heard. As of January 1, 2022, the new policies by SEBI allows the Independent Directors to play a vital role in strengthening corporate governance in an organization.
Managing Supply Chain Risk
Companies are changing the way they manage their supply chain risk. Earlier, supply chain risk management was often focused on the risk or procurement function. This offered fluidity to the business, but at the cost of flexibility and speed.
Increased Importance of “S” in ESG
Social issues are now among the most pressing concerns, it can be something like hindrances in destitute households, unemployment, lack of financial support and incentives for companies to retain their staff, or challenges in liquidity provisions to small and medium businesses that employ millions.
A strategic and long-term focus on the social element helps alleviate these issues and provides an opportunity to discover the role we play in society and our greater purpose for the world.
The Social element may be more difficult to define and quantify as compared to E and G, but it can make a big difference to trust, confidence, inclusion, and effective stakeholder engagement.
With so many key corporate developments around, as well as increased scrutiny of data privacy and ESG, 2022 is shaping up to be a busy one for directors.
