The Role of Information Technology Governance on Enhancing Cybersecurity and its Reflection on Investor Confidence

Abstract

Purpose: The aim of this study is to investigate the relationship between information technology governance and cyber security, and how this relationship affects investor confidence. Theoretical framework: The study drawing upon theories and concepts from information technology, risk management, and finance to provide a comprehensive understanding of the relationship between IT governance, cyber security, and investor confidence. Design/methodology/approach: The statistical software Smart-PLS was utilized to perform an analysis and extract relevant findings from the data collected from the sample group, which comprised 153 individuals. The results obtained through this process were integral to the successful implementation of the research in practice. Findings: The study found that investor confidence is impacted by cyber security, but neither investor confidence nor cyber security are significantly impacted by information technology governance. Research, Practical & Social implications: The study highlights the crucial role of information technology governance dimensions in financial reports of businesses that operate in the IT industry, particularly telecommunications firms and private banks. By including such information in their financial statements, these organizations can effectively enhance investor confidence in their operations. Originality/value: The study's originality and value lie in its critique of the inadequate transparency and lack of interest in information technology governance in the financial reports of banks, telecommunications companies, and other sectors listed on the financial market. The findings underscore the significance of including such information in financial statements to boost investor confidence in these organizations.