Study Finds Increasing Risk Complexity Amid Uneven Enterprise Oversight
A report from the AICPA and North Carolina State University's Enterprise Risk Management highlights growing risk complexity in organizations, driven by a volatile and unpredictable environment. Based on responses from 331 executives, nearly 69% noted an increase in both the number and complexity of risks over five years, with 74% experiencing significant operational surprises during that period. Geopolitical uncertainty is affecting business models for 72% of respondents, yet only a third described their risk oversight as mature or robust. Strategic planning remains underdeveloped: just 29% have formally defined risk appetite and 22% require leaders to consider long-term risks in decision-making. While governance structures are expanding—such as appointing chief risk officers—the report notes that informal discussions still dominate strategic decisions over data-driven insights. The study emphasizes a gap between rising exposure to risk and the ability of organizations to leverage risk intelligence for better business outcomes, with many focusing on compliance rather than addressing broader strategic threats.
Topics: enterprise risk environment executive survey risk management