DOCSLIB.ORG

A Roadmap for Technology Oems Turning Demand for Services Into a Strategic Opportunity

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
A Roadmap for Technology Oems Turning Demand for Services Into a Strategic Opportunity WHITE PAPER A Roadmap for Technology OEMs Turning Demand for Services into a Strategic Opportunity Sponsored by SPONSOR PERSPECTIVE The road to business transformation can be a bumpy one, with unexpected detours and volatile conditions that can slow you down. For technology companies, these challenges are exacerbated by their need to aggressively adopt digital transformation (DX) internally while simultaneously adapting their solution portfolio to enable their customers’ DX journeys. The need for speed is becoming more pronounced as time goes on, potholes and roadblocks notwithstanding. Traditional IT is giving way to flexible “as-a-service” solutions at a rapidly accelerating pace. Leading technology research firm IDC predicts that the ability of enterprises to rapidly develop their own digital innovations will become a core Eileen Gibson competitive requirement by 2023, as more than half of the worldwide economy Vice President, Market will be digitally driven.1 Many companies are moving even faster. The CEO of Management and Strategy Hewlett Packard Enterprise (HPE), Antonio Neri, publicly pledged to deliver the Tech Data Global Lifecycle full HPE portfolio as a service by 2022. However, the Technology Services Industry Management Association reports that the transformation period for most tech companies is greater than five years2—and some have only recently started, suggesting that the pace of change is happening faster in the market than it is internally for many technology firms. Navigating the inverse relationships between cost and revenue in the transition from traditional to digital delivery models is difficult at best. It requires stalwart executive commitment, deft management of stakeholder expectations, and substantial finesse in deploying the optimal mix of resources—both capital and human. And all this should come without sacrificing quality and availability of legacy support. Nearly every technology company is using a blend of build, buy, and partner strategies for their unique journey. They are assessing what they are uniquely qualified to do and filling portfolio gaps with acquisitions and alliances. Business processes that don’t advance or accelerate the future state are high on the list for partnering or outsourcing, which enable tech firms to mitigate exit barriers from their legacy business while releasing capital from operations to increment investment and accelerate transformation. Tech Data Global Lifecycle Management has sponsored research with Harvard Business Review Analytic Services to examine how technology vendors are judiciously shedding legacy operations in the context of their need for speed on the road to the as-a-service world and digital transformation. Through interviews with industry experts and customers, this white paper encourages you to consider the accelerated transformation and extensive benefits that come with simplifying your business operations—while also expanding your reach—through purposeful partnerships. Transformation is inevitable, and it’s time to put the pedal to the metal and reach your destination faster. We invite you to read on and think again about your journey and how the right strategic, global partnerships can help get you there. Sources: 1 IDC, “Every Enterprise Is Becoming a Digital Innovation Factory,” January 2020, https://blogs.idc. com/2020/01/17/every-enterprise-is-becoming-a-digital-innovation-factory/. 2 Technology Services Industry Association, Technology & Services World conference 2019, Las Vegas, Nev., October 2019. A Roadmap for Technology OEMs Turning Demand for Services into a Strategic Opportunity It’s no secret that companies across most business HIGHLIGHTS sectors have had to rethink—and in some cases, rip up—their business models in order to battle traditional competitors and digital insurgents. The retail industry Original equipment manufacturers (OEMs) in the technology sector is redesigning brick-and-mortar operations while are struggling to invest in growing it innovates its online presence. Manufacturers of everything-as-a-service markets while simultaneously supporting industrial equipment are transitioning from just selling their declining hardware and the latest systems to providing preventive maintenance software businesses. services managed by monitors that analyze equipment performance in real time. To succeed, OEMs must focus on three important areas: gaining new In recent years, technology original equipment manufacturers (OEMs) have insights into the services market, added themselves to the list of companies that must successfully navigate addressing financial and workforce challenges associated with dual- dual-mode businesses, and the pressure to succeed is intensifying. mode initiatives, and investigating These OEMs are seeing demand for their traditional products continue to be strategic partnerships for managing outstripped by growth in everything as a service, or XaaS. The “X” may refer products and customers. to computing power, storage capacity, or applications that the technology vendors deliver on demand from remote data centers. By delivering a steady stream of digital innovation, these companies have been instrumental in The lessons technology OEMs helping their customers transform their businesses and stay competitive are learning can provide a model in their respective markets. Now it’s the technology companies that must for other industries struggling redouble their efforts to reinvent their businesses by finding new ways to to balance old and new revenue simultaneously support customer service and service level agreements streams. (SLAs) for traditional and new revenue streams alike. In the process, OEMs must reevaluate all aspects of their operations to find optimizations that can liberate more capital for investments in their XaaS portfolios. White Paper | A Roadmap for Technology OEMs Harvard Business Review Analytic Services 1 experienced growth in service revenues.1 And the Covid-19 pandemic appears to have added fuel to this trend, according to a new TSIA survey. All respondents to a survey conducted in April and May of 2020 say the Covid-19 crisis will accelerate Technology companies face business model transformations so that a greater percentage of revenues will come from XaaS offers. In another recent significant financial challenges as TSIA survey, less than a quarter (23%) of the respondents they launch or expand XaaS business anticipate that forecast bookings for recurring revenue lines while simultaneously trying to from XaaS business models will drop more than 10% due to the impact of Covid-19. This compares with more than sell hardware and software and meet half (56%) of executives who expect transactional revenue associated maintenance and repair from traditional business model bookings to decline by more commitments. than 10%. These numbers indicate that XaaS sales will not only grow faster in good economic times, but also be less vulnerable to large-scale market disruptions. One technology OEM experiencing these trends is Hewlett Packard Enterprise (HPE), an organization with a storied high- But finding extra cash isn’t easy. Technology companies tech past that began with two engineers working in a Palo Alto, face significant financial challenges as they launch or expand Calif., garage—and that helped spur the rise of Silicon Valley. XaaS business lines while simultaneously trying to sell Servers and other hardware still generate significant revenues hardware and software and meet associated maintenance for the company, but now XaaS is becoming the focus of its and repair commitments. That creates a difficult balancing act business model. “Everything as a service is critical to the for OEMs: the vendors must fund declining product business success of our go-to-market strategy,” says Greg Stafford, a lines while at the same time expanding their emerging service vice president at the company. offerings to achieve their profit potential. “[XaaS] gives customers a tremendous opportunity “Companies that launch these dual environments often to embrace digital transformation to differentiate their encounter conflicts that cost them financial performance,” businesses and grow revenues,” Stafford says. “To be says Glen Allmendinger, president of Harbor Research, a innovative at a very high speed, they need the freedom consulting firm for technology businesses. “Many companies to choose a combination of different technologies that fit we work with in this context eventually make more money their needs.” from services than with products, but their leadership had But moving to XaaS is more than just a way to support to understand that initially, at least, there was going to be a customers and give HPE a hedge against slowing revenues negative impact on finances.” in traditional product lines. It may also open new revenue The key is devising a strategy for overcoming these streams by helping customers quickly adopt emerging problems and accessing the resources technology OEMs technology, such as artificial intelligence and the internet need to turn XaaS into a solid and growing revenue stream. of things, to support business transformation strategies. In Technology firms are finding answers by focusing on three a study by the management consulting firm Deloitte, 40% of important areas: developing deeper insights into the services the respondents said their prime objective for adopting XaaS market, identifying the financial and workforce challenges is to gain access to the newest technology, while 37% named
Load more

Recommended publications
  • Better Market Intelligence with Smart Search Anaging Uncertainty and Risk in Business Requires a 1 Mcomprehensive Market Intelligence Approach
    Better Market Intelligence with Smart Search anaging uncertainty and risk in business requires a 1 Mcomprehensive market intelligence approach. But maintaining ongoing knowledge of competitor activity/strategies, not to mention the latest legal and regulatory shifts and economic factors, is more difficult than ever before. Defining a competitive set has never been more complicated A clear view of your competitor landscape is essential. Unfortunately, comprehensively tracking competitors can be imprecise and hard to measure when competitive lines are shifting such as: Entrenched players expand into a new vertical (e.g., Amazon buys Whole Foods) Disruptive startups radically change a competitive landscape overnight (especially since disruptors are hard to track due to a nascent digital footprint). Information overload + data fatigue Historically, market intelligence programs operated under the belief that analysis of competitors could be based exclusively on publicly available information.1 While some high quality secondary sources of A wealth of information information—for example, broker research—are not is a double-edged sword. free for the general public, it is true that a wealth of It creates noise, making it information about companies is readily available on difficult to hone in on the the Internet. most relevant information But a wealth of information is a double-edged sword. to your precise interests. It creates noise, making it difficult to hone in on the most relevant information to your precise interests. It’s easy to publish unverified, uncited information, making it too easy for a company to push a strategic communications message that’s impossible to verify (for example, “We’ll be first to market with this cancer-stopping drug”).
    [Show full text]
  • Competitive Intelligence: Systematic Collection and Analysis of Information
    Journal of Critical Reviews ISSN- 2394-5125 Vol 6, Issue 5, 2019 Competitive Intelligence: Systematic Collection and Analysis of Information Kundharu Saddhono1, Jacky Chin2, Apriana Toding3, Muhammad Nuzul Qadri4, Ismail Suardi Wekke5 1Universitas Sebelas Maret, Indonesia. E-mail: [email protected] 2Industrial Engineering Department, Mercu Buana University, Jakarta 11650, Indonesia 3Department of Electrical Engineering, Universitas Kristen Indonesia Paulus, South Sulawesi, Indonesia 4Sekolah Tinggi Ilmu Ekonomi Enam Enam, Kendari, Indonesia 5Sekolah Tinggi Agama Islam Negeri (STAIN) Sorong, Indonesia Received: 17.11.2019 Revised: 14.12.2019 Accepted: 18.12.2019 Abstract: Nowadays data is that the economic basis of every company. One has to understand the merchandise, the technology behind it, however additionally the client, the contestant and different circumstances that influence the business. The scientific term for the need information of data gathering and its transformation into applicable knowledge is Competitive Intelligence. This thesis focuses on three queries concerning competitive intelligence that area unit coupled during a model. First off it offers an outline concerning the foremost vital styles of competitive intelligence. Supported three sorts, specifically Market Intelligence, contestant Intelligence and Internal Intelligence, it raises the question if there area unit industry- specific necessities and general key aspects of the activity. The main focus cluster consists of fifteen international corporations from completely different industries that were analyzed with regard to military operation and kinds of competitive intelligence activities. Secondly the thesis considers legal aspects. It asks however effective international treaties and European laws area unit in terms of legal action of unfair competition and protection of material possession rights.
    [Show full text]
  • Open Source Intelligence and Osint Applications
    Sanna Tuominen OPEN SOURCE INTELLIGENCE AND OSINT APPLICATIONS OPEN SOURCE INTELLIGENCE AND OSINT APPLICATIONS Sanna Tuominen Bachelor’s Thesis Spring 2019 Information Technology Oulu University of Applied Sciences ABSTRACT Oulu University of Applied Sciences Degree Programme in Information Technology, Option of Intelligent Systems Author: Sanna Tuominen Title of the bachelor’s thesis: Open Source Intelligence and OSINT Applications Supervisor: Eino Niemi Term and year of completion: Spring 2019 Number of pages: 55 + 3 appendices Emerge of the Internet as a global platform for sharing and exchanging information world-wide has increased exponentially the amount of publicly available data. Open source intelligence [OSINT] aims at addressing specific intelligence requirements utilising this data. Open source intelligence is traditionally associated with military intelligence, yet users of OSINT today are ranging from governments to businesses and regular citizens. The objective of this thesis was to study what open source intelligence is and demonstrate the use of selected OSINT tools. In the theory sections, this thesis considered the current state of OSINT and evaluated its future. The popularity of OSINT is increasing, and the usage of OSINT is expanding into new arenas. The main challenge with OSINT is the trouble of finding the meaningful bits from massive data amounts. Hence, this thesis introduced and demonstrated three OSINT solutions displaying the nature and the differing attributes of the selected OSINT solutions. The study of the solutions was conducted as a demonstration assessment, where the use and the results of selected OSINT solutions were recorded and observed. The thesis findings show that the range of OSINT solutions is wide and scattered.
    [Show full text]
  • Market Intelligence Surveillance Market Intelligence, Surveillance
    Market Intelligence, Surveillance Systems and Techniques to Detect and Deter Securities Market Fraud Ester Saverson, Jr., Assistant Director Office of International Affairs U.S. Securities and Exchange Commission* *The U.S. Securities and Exchange Commission, as a matter of policy, disclaims responsibility for any private publication or presentation of its staff. The views expressed herein are those of the authors and do not necessarily reflect the views of the Commission, individual commissioners, or the author’s colleagues on the staff of the Commission. Three Major Types of Market Fraud Trade Based Market Manipulation – Pre-arranged Trades • Washed Trades • MthdTMatched Tra des – Marking (pegging and capping) the Close – Short Squeeze – Controlling the Supply of a Security AtiAction B ased dM Mark ktMet Man ipu ltilation – Misrepresentation or False Statement IfInformat ion B ased dMk Market Man ipu lat ion – Insider Trading – Front Running Why is Market Fra ud Bad? Fraud affects the integrity of the market – Drive pppeople out of market – Keep capital on the sidelines MiltidittthidManipulation distorts the independ dtent trading and pricing mechanism – Raises the cost of capital – Lowers cost of securities Securities regulation is intended to ensure tha t mar ke ts are fa ir, effi ci ent and transparent Areas of Concern TdiTrading at or near th hCle Close Spikes in volume or price Block Trading Offerings Redemptions Program Trading Short Sales Mergers and Acquisitions Spikes Before a material announcement Key Elements
    [Show full text]
  • BIS Quarterly Review September 2007 International Banking and Financial Market Developments
    BIS Quarterly Review September 2007 International banking and financial market developments BIS Quarterly Review Monetary and Economic Department Editorial Committee: Claudio Borio Frank Packer Paul Van den Bergh Már Gudmundsson Eli Remolona William White Robert McCauley Philip Turner General queries concerning this commentary should be addressed to Frank Packer (tel +41 61 280 8449, e-mail: [email protected]), queries concerning specific parts to the authors, whose details appear at the head of each section, and queries concerning the statistics to Philippe Mesny (tel +41 61 280 8425, e-mail: [email protected]). Requests for copies of publications, or for additions/changes to the mailing list, should be sent to: Bank for International Settlements Press & Communications CH-4002 Basel, Switzerland E-mail: [email protected] Fax: +41 61 280 9100 and +41 61 280 8100 This publication is available on the BIS website (www.bis.org). © Bank for International Settlements 2007. All rights reserved. Brief excerpts may be reproduced or translated provided the source is cited. ISSN 1683-0121 (print) ISSN 1683-013X (online) BIS Quarterly Review September 2007 International banking and financial market developments Overview : credit retrenchment triggers liquidity squeeze.................................... 1 Credit markets sell off as mortgage exposures are reassessed ............. 2 Box: Liquidity risk and ABCP mechanics ............................................ 7 Bond yields plunge as investors flee risky assets .................................
    [Show full text]
  • Introduction to Competitive Intelligence
    INTRODUCTION TO COMPETITIVE INTELLIGENCE GIA WHITE PAPER 1/2004 Executive Summary Competitive intelligence can be defined as The intelligence terminology has always been knowledge and foreknowledge about the somewhat blurred, and new terms emerge as the external operating environment. The ultimate intelligence discipline matures within the corporate goal of each intelligence process is to facilitate setting. decision-making that leads to action. • Competitive Intelligence, Successful business strategy requires awareness • Business Intelligence, about the company’s external environment, • Market Intelligence and including its customers, competitors, industry • Corporate Intelligence structure, competitive forces etc. Information about these issues is the key target of competitive are often used interchangeably or as synonyms, intelligence. Competitive intelligence can be while defined as knowledge and foreknowledge about the external operating environment. The ultimate • Strategic Intelligence, goal of each intelligence process is to facilitate • Customer Intelligence, decision-making that leads to action. • Competitor Intelligence and • Technology Intelligence The intelligence process enables turning information into intelligence by processing it via analysis, add a dimension of specificity to the subject. interpretation and synthesis and utilizing it in the Eventually, all intelligence terms refer to using future-oriented decision-making. Managing the systematic methods to collect, analyze and future does not only mean being able to anticipate disseminate information that supports decision- what will happen outside the company but also making. being able to shape the happenings through own actions, i.e. to proactively create one’s future. According to one of the views, Competitive Intelligence (CI) is regarded as the broadest Competitive Intelligence is not market research scope of intelligence activities covering the whole or industrial espionage.
    [Show full text]
  • January 26, 2021 | for Informational Purposes Only This Is
    • ARK Investment Management LLC Big Ideas 2021 January 26, 2021 | For Informational Purposes Only This is not a recommendation in relation to any named securities and no warranty or guarantee is provided. Any references to particular securities are for illustrative purposes only. There is no assurance that the Adviser will make any investments with the same or similar characteristics as any investment presented. The reader should not assume that an investment identified was or will be profitable. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE PERFORMANCE, FUTURE RETURNS ARE NOT GUARANTEED. www.ark-invest.com 2 • Big Ideas 2021 ARK aims to identify large-scale investment opportunities by Introduction focusing on who we believe to be the leaders, enablers, and beneficiaries of disruptive innovation. While we believe innovation is the key to growth, the opportunities it creates can be missed or misunderstood by traditional investment managers who are more focused on sectors, indexes, short-term earnings, and price movements. ARK’S BIG IDEAS ARK seeks to gain a deeper understanding of the convergence, market potential, and long-term impact of disruptive innovation by researching a global universe that spans sectors, industries, and markets. Today, we are witnessing an acceleration in new technological breakthroughs. To enlighten investors on the impact of these breakthroughs and the opportunities they should create, we began publishing Big Ideas in 2017. This annual research report seeks to highlight the latest developments in innovation and offers some of our most provocative research conclusions for the year. About ARK Headquartered in New York City, ARK Investment Management LLC is a federally registered investment adviser and privately held We hope you enjoy our “Big Ideas” for 2021.
    [Show full text]
  • Market Intelligence in Large Companies
    Market Intelligence in Large Companies Global Study 2007 GIA White Paper 2/2007 This is the second time the 1. EXecUtiVE SUmmaRY For this report, 281 companies were interviewed in order to Global Market Intelligence identify the present status, organization, IT tools and future Study has been carried out; outlook of Market Intelligence activities. the first time was in 2005 Companies from the following countries took part in the study: Belgium, Finland, UK, the Netherlands, United States, India, and it is now one of the most Brazil, Germany, and Spain. Member companies in the Global Intelligence Alliance in these countries were responsible for data comprehensive, if not the most collection. comprehensive, global Market In general, the vast majority of large companies in all markets conduct Market Intelligence activities which are mostly aimed Intelligence study based on at acquiring further information on competitors, industry and interviews. customers. Market Intelligence activities are mainly conducted to support corporate strategic planning and business development, while sales and marketing remain another typical user group of the collected business information. Market Intelligence is currently still a relatively nascent practice within companies, however, across all the markets companies do appear to conduct all forms of MI activities (continuous monitor- ing, regular reviews, ad-hoc reports). GIA White Paper 2/2007 Market Intelligence in Large Companies - Global Study 2007 The vast majority of companies conduct their own Market Intelligence information process- 2/2007 ing within a centralized unit. However, MI activity is still relatively small-scale given that the global average for personnel allocated to MI activities is below ten.
    [Show full text]
  • Market Intelligence Utilization by Small Food Companies: an Application of the Grounded Theory Method in Exploratory Research Aaron J
    Market Intelligence Utilization by Small Food Companies: An Application of the Grounded Theory Method in Exploratory Research Aaron J. Johnson, Thorsten M. Egelkraut, and Cyrus Grout Insights into how small agribusinesses acquire, process, and use market intelligence are critical to improving their marketing competencies and to understanding practices that lead to better business performance. However, the cur- rent body of literature is limited in this topic. We apply the exploratory research method of grounded theory to better understand how small- to medium-sized food companies fi nd and utilize information in their decision-making process. We develop a taxonomy of information types sought and provide insight into how and when these fi rms utilize this information. In addition, we develop a conceptual model that demonstrates different relationships between informa- tion, knowledge, and actions. Decision-makers continuously face the challenge their decision-making process? Grounded theory, of identifying and interpreting market intelligence which was effectively introduced to agribusiness and balancing the costs and benefi ts of acquiring researchers by Bitsch (2001, 2005), is particularly and using that information. While larger agricultural well suited to this study’s objective, as it provides companies have separate marketing departments, a rigorous and systematic framework to inductively small agribusinesses often lack the resources and generate new understandings and to capture unex- skills for extensive market research and intel- pected results that may be missed by other meth- ligence processing. As a result, small businesses ods that rely on ex ante hypotheses (Finch 2002). are likely to conduct market research haphazardly, Employing grounded theory, we generate nine if at all (Carson, McGowan, and Hill 1996; Udell, testable hypotheses of how small food companies Knotts, and Jones 2002).
    [Show full text]
  • Basel “IV”: What’S Next for Banks? Implications of Intermediate Results of New Regulatory Rules for European Banks
    Basel “IV”: What’s next for banks? Implications of intermediate results of new regulatory rules for European banks Global Risk Practice April 2017 Authored by: Sebastian Schneider Gerhard Schröck Stefan Koch Roland Schneider 2 Implications of intermediate results of new regulatory rules for European banks Contents Executive summary 5 1 Beyond Basel III 6 1.1 Regulatory changes ahead 6 1.2 Need for a comprehensive view of regulations’ coming impact 6 2 Expected capital impact for the European banking industry 9 2.1 Impact at sector level 9 2.2 Variations in capital impacts between geographies … 10 2.3 ... size of institution 12 2.4 ... and business model 12 2.5 Expected impact on ROE 13 3 Implications and reactions: How banks can react 15 3.1 Mitigating actions 15 3.2 “No-regret” actions until Basel IV rules are finalized 22 Appendix 24 Global rules analyzed 24 Further regulatory initiatives 24 Methodology 26 Implications of intermediate results of new regulatory rules for European banks 3 Executive summary Many European banks will face significant capital shortfalls under the so-called Basel “IV” reforms proposed by the Basel Committee on Banking Supervision (BCBS). The current state of the suggested changes (a mix of consultation papers and finalized standards) would rework the approach to risk-weighted assets (RWA) and possibly internal ratings, as well as set regulatory capital floors. According to our analysis, if banks do nothing to mitigate their impact, these rules will require about €120 billion in additional capital, while reducing the banking sector’s return on equity by 0.6 percentage points.
    [Show full text]
  • Oaklins PE Newsletter Oct2020.Pdf
    Navigating through the cycle PRIVATE EQUITY NEWSLETTER, THE NETHERLANDS | Q3 2020 “In the past decade the private equity (PE) and M&A UPDATE (pg.2) Deal flow in the Netherlands decreased dramatically related industries have experienced a tailwind in Q2 on the back of COVID-19, but Q3 shows there is like never before. The outbreak of COVID-19 once again an upward trend. drastically changed the direction of the wind, DEBT UPDATE (pg.6) and portfolio companies suddenly needed their Leverage multiples maintain their levels in these support to cope with the new environment. turbulent times, though pricing shows a step-up. SECTOR IN THE SPOTLIGHT: MEDTECH (pg.10) Now that the dust has settled, investment Software and related technology companies dealing managers are starting to look for deals again. in healthcare are in high demand. And with the abundance of capital available and many sectors still performing strongly, deal ABOUT OAKLINS (pg.14) Our newly published market-intelligence reports can flow and valuations do not seem to be hit as give you the best insights into your sectors of interest. hard as was seen in 2008. The impact of the pandemic on the Dutch M&A landscape has, however, been quite different from other countries, as can be read on the next pages.” FRANK DE HEK PRIVATE EQUITY SPECIALIST OAKLINS M&A update M&A ACTIVITY IN Numbers of deals in the Netherlands THE NETHERLANDS 304 310 308 295 The M&A deal flow has been 288 293 278 261 relatively stable in recent years. 103 90 241 107 95 81 79 But the COVID-19 crisis is radically 91 60 211 79 changing the landscape.
    [Show full text]
  • Cyber Risk Toolkit
    CYBER RISK TOOLKIT American Academy of Actuaries Cyber Risk Task Force, Casualty Practice Council AUGUST 2021 ACTUARY.ORG The American Academy of Actuaries’ Cyber Risk Toolkit, developed by the Academy’s Cyber Risk Task Force, is comprised of a series of papers addressing issues pertinent to cyber risk insurance and cyber exposure. This toolkit is intended to be a resource for interested readers of the general public, public policymakers, the actuarial profession, the insurance sector, and other stakeholders. Cyber risk issues have been in the news regularly recently, and those using the toolkit can benefit from the perspectives offered in the papers. While each is a standalone paper, in total they offer a cohesive overview of the challenges posed in the cyber insurance market. The toolkit may be updated periodically to reflect new and emerging work from the task force. The American Academy of Actuaries is a 19,500-member professional association whose mission is to serve the public and the U.S. actuarial profession. For more than 50 years, the Academy has assisted public policy makers on all levels by providing leadership, objective expertise, and actuarial advice on risk and financial security issues. The Academy also sets qualification, practice, and professionalism standards for AMERICAN ACADEMY OF ACTUARIES actuaries in the United State 1850 M STREET NW, SUITE 300, WASHINGTON, D.C. 20036 202-223-8196 | ACTUARY.ORG © 2021 American Academy of Actuaries. All rights reserved. Cyber Risk Toolkit CONTENTS An Introduction to Cyber 3 Cyber Threat Landscape 29 Silent Cyber 37 Cyber Data 43 Cyber Risk Accumulation 50 Cyber Risk Reinsurance Issues 56 Ransomware 60 CYBER RISK TOOLKIT 1 2 CYBER RISK TOOLKIT An Introduction to Cyber This introductory paper addresses some of the key aspects of cyber risk and insurance such as general product market, and insurance coverages and features.
    [Show full text]