Australian CEOs have identified cybersecurity as their primary concern for 2024, eclipsing other critical issues like talent acquisition and digital transformation. 

This heightened awareness stems from a series of high-profile cyberattacks, including those on St Vincent’s Health and Victoria’s court system, which have put the corporate world on high alert.

A report by KPMG, titled ‘Keeping us up at night’ (PDF), surveyed over 300 Australian CEOs in late 2023, revealing a unanimous agreement on the urgency of managing cyber risks in the immediate and medium-term future. 

The importance CEOs are placing on cybersecurity mirrors the results of an Australian Financial Review survey, which also pinpointed cybersecurity as the most under-addressed risk. Recent attacks, such as the ransomware incident at Victoria’s court system and the sophisticated breach at St Vincent’s Health, underscore the growing sophistication and frequency of these threats.

In response to this escalating threat landscape, Yates stressed the need for collective action. 

“There’s not a competitive advantage in having superior risk management in this space. I think it’s a case of needing to invest and work together as a business community, along with the government as well,” he said.

Beyond cybersecurity, the report identified other key challenges for businesses in the coming years. These include developing digital-savvy staff, harnessing value from digital transformations, and navigating emerging technologies like generative AI.

Interestingly, the concern for attracting employee talent, a top priority in 2023, has significantly decreased. 

Dr Brendan Rynne, KPMG's chief economist, expressed surprise at this shift. 

“The one area that surprised me was just how much of a large drop we saw with regards to talent acquisition, and how quickly businesses have been able to manage their labour demand,” he said. 

This change is partly attributed to Australia's substantial migrant intake in the past year, enriching the talent pool and altering the employment landscape.