American businesses are under attack on a daily basis by hackers trying to steal just about anything of value that can be stored and transmitted electronically. Because information technology and connectivity are keys to success in today’s economy, this means that a broad range of vital corporate assets can be at risk, such as customers’ private financial data, a company’s competitively-sensitive strategic plans, and the core intellectual property underlying a company’s products and processes.
Cybersecurity has become a critical issue for corporate America. Given the ubiquitous nature of the risks and the potentially high stakes of data breaches, it is incumbent upon business leaders to exercise due care in overseeing an appropriate response to cyber threats. If they fail to do so, they may find themselves answering to shareholders and regulators about what went wrong when a cybersecurity breach causes harm to their business.