SUSTAINABILITY RISK MANAGEMENT AND INFORMATION TECHNOLOGY GOVERNANCE IN MALAYSIA

Abstract

Sustainability encompasses more than green and environmental protection. That is why the United Nations' sustainable development goals (SDGs) comprise 17 targets aimed at achieving global sustainability through shared prosperity and peace for people and the planet, both at present and in the future. SDG-9, which focuses on resilient infrastructure, sustainable industrialisation, and innovation, calls for investment in information technology (IT) to support sustainable development and community empowerment. Regardless of the amount to which IT can assist in accomplishing goals, it requires adequate control. Otherwise, it will exacerbate threats to the environment and society, as well as to the corporate organisation. IT governance is primarily motivated by the need for an organisation's risks to be transparent and its stakeholder values to be protected. By contrast, sustainable risk management (SRM) is a systematic strategy to managing an organisation's environmental, social, and governance risks (ESG). This conceptual paper discusses the function of information technology governance and its effect on the practise of SRM in Malaysia. The study highlights four IT governance functions that have an impact on sustainability risks: protection against reputational risk, guaranteeing equal access, reducing environmental impact, mitigation of online fraud and improper business, and protecting data integrity and confidentiality. This study would shed light on the sustainability hazards associated with information technology and raise awareness of their influence on society and the environment. As a result, it is envisaged that the objectives for IT investment are met while also mitigating IT risks. Hopefully, this study can serve as a stimulus for further research on related topics of IT governance and sustainable risk management on a worldwide scale, and particularly in the Malaysian context.