Extract from Trudy Knockless’ article “Boards Want Big Innovation but Say They’re Not Ready for the Risk”
Boardrooms are doubling down on AI and M&A for growth, but fewer than half of directors say they’re equipped to manage the risks that come with it.
As directors push for technology transformation, a new survey reveals a striking confidence gap in risk oversight—especially around emerging tech. Just 41% of directors say their boards are “highly effective” at establishing risk tolerance and appetite, even as 74% plan to increase strategic investment in emerging technologies, and 53% say the same for M&A, according to the 2025 BDO Board Survey.
“This year’s survey reflects a legal function that is becoming more intentional, data-driven and operationally mature,” the report notes. “Companies must not only keep pace with competitors but also master implementation to drive meaningful ROI and mitigate risk.”
