A Study of Challenges Towards Risk Assessment and Management Strategies in the IT Sector Due to Global Recession

Abstract

Risk Assessment has always been a cornerstone to a prudent IT practice. An understanding of risk and the application of risk assessment methodology is essential to being able to efficiently and effectively create a secure computing environment. Unfortunately, this is still a challenging area for information professionals due to the rate of change in technology, the relatively recent advent and explosive growth of the Internet, and perhaps the prevalence of the attitude (or reality) that assessing risk and identifying return on investment is simply too hard to do. Undoubtedly all IT companies are prone to the risk atmosphere which may threaten the companies’ survival and success. For this reason, efficient risk management is absolutely required. The process of assessing risk is to determine the likelihood of the threat being exercised against the vulnerability and the resulting impact from a successful compromise. The purpose of IT companies is to ensure timely security, maximize revenues and offer the most value to shareholders by offering a variety of IT services, and especially by administering risks. The essence for the effective risk management either in non-banking firms or in banking entities is to enhance the value of the firm and shareholder wealth. The purpose of this article is to highlight on how IT Companies in India cold effectively manage risk during this global economic downturn or recession by implementing risk management strategies and practices.