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Facebook’s market capitalization dropped as much as $60 billion after reports emerged that Cambridge Analytica, the data consulting firm used by the Trump Campaign, was given the data of around 50 million Facebook users without their consent.

The Cambridge Analytica scandal is the latest in a series of risk management failures that have plagued the social networking company, which has been grappling with its role in the dissemination of fake news propaganda during the 2016 U.S. presidential elect

The Forrester Wave™: Governance, Risk, and Compliance Platforms, Q1 2018 evaluates and ranks the 14 most significant GRC platforms available, and LogicManager has been named a Leader! But beyond measuring the current offering, strategy, and market presence of GRC providers, the report also dives into the current risk climate.

As the report states, “Managing risk is more important than it’s ever been.” In support of this statement, the report points to three growing trends in the corporate world:

The Securities and Exchange Commission charged Theranos Inc., its founder and CEO Elizabeth Holmes, and its former President Ramesh Balwani with raising more than $700 million from investors through an elaborate fraud in which they made false statements about the company’s technology, business, and financial performance. 

The way I look at it, the board was either in on the Theranos scandal, or they weren’t aware of what was going on. Either way, the board was not performing their moral and legal

This month, Tiger Brands, the major food conglomerate in South Africa, is entangled in a major scandal. 950 have fallen ill and 180 people have died from listeriosis, which makes this the biggest food-borne illness outbreak in history.

In the unraveling of this scandal, I see a proof point for two growing trends:

First, enterprise risk management, although a relatively new industry and discipline, is globalizing. In the U.S., companies like Chipotle and Wells Fargo fail to tie their scandals to th

This past weekend, companies started responding to consumer backlash for working with the National Rifle Association. Corporations like the First National Bank of Omaha, Delta, Hertz, and MetLife are ending discount programs with the NRA.

Before this pushback, NRA membership granted consumers access to a broad range of discounts, from special rates on auto insurance policies to cheaper flights when you booked through the NRA’s website.

But after the mass school shooting at a Parkland, Florida high

Here we are. February 2018. For many, February is a trying month. How well are those New Year’s resolutions holding up? Have the early-morning January gym visits started to fade? Are salads getting old? Personal goals aside, here’s one thing we hope won’t decline: the excitement over your freshly finished 2018 budget.

The new year tends to bring about an intense wave of optimism for what we can accomplish in the next 12 months. Too often, however, this optimism gets stomped on by the surprises of

Chipotle needs risk management rehab. In less than two years, the Mexican grill has changed CEOs twice in an effort to regain their once-held reputation as a beloved fast-food chain. A new CEO, however, isn’t the solution. Multiple cases of food-borne illness before, during, and since executive switch-ups have proven the restaurant needs to adopt a stronger enterprise risk management process.

Let’s consider a timeline of events:

• 2015 – coli outbreaks linked to Chipotle restaurants were detected by

2017 presented a whirlwind of corporate scandals: United Airlines, Wells Fargo, Facebook, Uber, Chipotle, Equifax, WannaCry…the list goes on and on. Many of these companies suffered second and even third scandals when they failed to learn their lesson from the first.

But for every company that’s suffered a failure in risk management, I believe there’s a company that’s looking over these headlines and doing everything they can to prevent a scandal of their own, for there are many lessons to be lea

This September, the Committee of Sponsoring Organizations of the Treadway Commission (COSO) published a much-anticipated update to their 2004 “Enterprise Risk Management—Integrated Framework,” a renowned and widely used risk management framework. The new release is formally called “Enterprise Risk Management—Integrating with Strategy and Performance.”

The COSO update comes to meet the rising expectations of risk management, according to Bob Hirth, COSO Chair: “The complexity of risk has changed,

The hot water in which Uber has been simmering has just reached new thermal heights. Back in October 2016, hackers stole the personal data of 57 million customers and drivers containing their names, email addresses, phone numbers, and in the drivers’ cases, their driver’s license numbers. They finally disclosed the breach this month.

Now, in comparison to the scope and nature of other breaches such as Equifax and Yahoo, the Uber hack may appear to pale in comparison. However, this company represe

LogicManager recently hosted IMPACT 2017, our annual ERM conference where risk professionals gather to share their challenges, successes, and insights in the risk management industry. For two days, LogicManager users lead educational sessions on how they’ve made vast improvements to their various risk and governance programs, such as third-party risk management, compliance, audit, and more.

This year, we heard from a particularly diverse group of experienced professionals hailing from Boston to H

Recently, Forrester Research published “GRC Vision 2017-2022: Customer Demands Escalate As Regulators Falter,” which explores challenges the GRC industry will inevitably face as it develops, and the proven solution that enterprise risk management provides. We’ve broken this report down to reflect our key takeaway: Approaches to governance, risk management, and compliance (GRC) must now consider the company’s consumer base, reputation, and ethical conduct.

Traditionally, approaches to GRC entail r

Back in June, the U.S. Justice Department declined to prosecute Boston-based engineering firm CDM Smith on foreign bribery charges, despite learning that the company had in fact paid $1.18 million to officials in India.

The firm paid the Indian National Highway Authority from 2011 to 2015 in exchange for contracts that resulted in about $4 million in profits. Such activity is a direct violation of the Foreign Corrupt Practices Act (FCPA).

How, then, did CDM Smith avoid prosecution? The declination

In an increasingly transparent world, failures in risk management within the widespread and nearly instantaneous reach of media outlets ranging from Facebook and Twitter to the Wall Street Journal have had destructive effects on companies like Uber. What started as an evidently ignored employee’s ‘incident report’ posted to a personal blog caught like wildfire only hours after she pressed the Share button. The blog caught the attention of the world’s most trusted news sources and cast a net so w

In less than 10 months, the General Data Protection Regulation (GDPR), the most important change in data privacy in 20 years, will take effect on May 25, 2018. The GDPR is a regulation by which the European Parliament, the Council of the European Union and the European Commission intend to strengthen and standardize personal data protection.

The new regulation will replace the current data protection directive of 1995, and is truly democratizing data privacy. Its objectives are to give European c