Origami Risk 2024 Report Reveals a Gap Between Perceived and Actual Preparedness in Risk Management

Origami Risk, a leader in risk management solutions, released its third edition of the State of Risk Report for 2024, drawing attention to the substantial gap between perceived and actual preparedness among risk management professionals. This year’s report, "Avoiding Complacency in an Era of Novel Risks," surveys over 240 organizations across 20 industries, offering a comprehensive overview of current risk management practices and challenges.

The report underscores a troubling trend: while most risk professionals express optimism and a sense of preparedness, their actions—or lack thereof—suggest a different reality. Despite the rapid adoption of technologies like artificial intelligence (AI) and the increasing complexity of risks from geopolitical instability to climate change, many organizations are not taking the necessary steps to truly fortify their risk management strategies.

Key findings from the report reveal that 46% of surveyed professionals have not invested in risk management technology over the past year, doubling the previous year’s figures. Additionally, over half of the respondents reported making no changes to their supply chain strategies, a critical area of vulnerability highlighted during the COVID-19 pandemic.

Origami Risk’s report also explores the role of emerging technologies in risk management. It notes that while AI presents unprecedented opportunities for innovation and efficiency, it also introduces new risks that organizations must navigate carefully. The report emphasizes the importance of adopting a balanced approach to these technologies, advocating for a combination of enthusiasm and caution.

"2024 will redefine business as we know it," predicts Sharyn Leaver, Chief Research Officer at Forrester, as quoted in the report. This sentiment is reflected in the pressing need for risk professionals to evolve their strategies to keep pace with rapidly changing global conditions.

The State of Risk Report serves as a wake-up call for organizations to align their perceived readiness with actual risk management actions. It stresses the importance of continuous improvement and adaptability in the face of novel risks, urging organizations to move beyond complacency and actively engage in effective risk management practices.

Origami Risk’s annual report continues to be an essential read for industry leaders, providing insights and recommendations that are critical in shaping robust and responsive risk management frameworks.