Importance of Reputational Risk Monitoring & Management

**Executive summary:** This article explains how rising customer concern about data privacy and the reputational and financial effects of data breaches increase pressure on organizations to be transparent and secure; it summarizes survey and stock-impact research and recommends continuous external security ratings (e.g., SecurityScorecard) as an easy-to-understand, shareable way for IT and marketing to communicate security posture and manage reputational risk.