Cybersecurity Breaches Emerge as Top Threat to India Inc, Says Survey

New Delhi – Cybersecurity breaches have been identified as the biggest risk to organisational performance by 51 per cent of Indian companies, according to a recent survey.

The FICCI-EY ‘Risk Survey’ revealed that shifting customer demands and expectations rank as the second major concern, cited by 49 per cent of respondents, while 48 per cent identified geopolitical developments as another significant risk factor.

The report is based on feedback from senior industry leaders across multiple sectors and highlights the growing importance of risk management in areas such as pricing strategies, supply chains, workforce planning, and technology investments.

Rajeev Sharma, Chair of the FICCI Committee on Corporate Security and Disaster Risk Reduction, stated that businesses are operating in an increasingly unpredictable environment. He noted that organisations are now integrating risk management into long-term planning, governance, and strategic decision-making instead of treating risks as isolated or occasional challenges.

The survey also highlighted the strong link between technology risks and business continuity. Around 61 per cent of respondents said rapid technological advancements and digital disruption are impacting their competitiveness. The same percentage viewed cyber-attacks and data breaches as serious threats to financial stability and corporate reputation.

Additionally, 57 per cent of participants expressed concern over potential data theft and insider fraud, while 47 per cent admitted difficulties in tackling increasingly complex cyber threats.

Artificial intelligence (AI) has emerged as another area of concern, presenting both opportunities and risks. According to the survey, 60 per cent of respondents believe that inadequate adoption of emerging technologies, including AI, could negatively affect operational efficiency. Meanwhile, 54 per cent felt that risks related to AI, such as ethical concerns and governance challenges, are not being managed effectively.

Sudhakar Rajendran, Risk Consulting Leader at EY India, emphasised that organisations are currently dealing with multiple interconnected risks rather than isolated ones. He explained that factors such as inflation, cyber threats, AI governance, climate risks, and regulatory changes are collectively influencing corporate performance and resilience. He added that company boards are increasingly being urged to enhance oversight mechanisms, improve data reliability, and incorporate resilience into their core business strategies.

With inputs from IANS