Cyber, Climate Risks Threaten Businesses
Experts urge Zambian firms to prepare for disruptions as economic uncertainty, technology shifts and environmental shocks reshape the business landscape
By Francis Maingaila ♥️
Lusaka, Zambia24 — (9-06-2026) - Risk management experts have warned that survival in Zambia’s changing business environment will depend on how well companies prepare before crises strike, as businesses grapple with the effects of drought, power shortages, cyber threats and global economic pressures.
Experts at a business risk management forum said companies could no longer afford to wait until disruptions occur before taking action, urging firms to make risk management a central part of their operations and growth strategies.
They said risks should not only be viewed as challenges but also as opportunities for businesses that are prepared to adapt, innovate and strengthen their resilience.
The Institute of Risk Management Zambia (IRMZA) Executive Director Francis Ziba said businesses were operating in a period where uncertainty had become a major part of decision-making.
He said the focus should no longer be on whether risks would occur, but whether organisations were ready to respond effectively when they emerged.
“The question is no longer whether risks will occur, but whether organisations are prepared to respond effectively and turn those risks into opportunities for growth,” Ziba said during a panel discussion on business resilience.
Ziba said risk management had moved beyond traditional assessments and should now be integrated into strategic planning and everyday business decisions.
He said organisations were facing multiple and interconnected risks, including geopolitical tensions, climate change, technological disruption, supply chain challenges, inflation, health emergencies and skills shortages.
Ziba said global events such as conflicts involving Ukraine, Israel and Iran demonstrate how developments outside Zambia can affect local businesses through rising energy costs, disrupted supply chains and changing market conditions.
He stressed that businesses should not only focus on preventing losses but also identify opportunities that come from managing risks effectively.
“Every risk creates an opportunity for organisations that are resilient,” he said.
Ziba said companies that identify emerging risks early are better positioned to improve efficiency, introduce new solutions and maintain a competitive advantage.
He cited digital transformation as one area where businesses can turn risks into opportunities, saying technology investments can improve productivity, enhance customer experience and strengthen revenue collection.
However, Ziba cautioned that having risk management systems alone was not enough, saying leadership commitment and organisational culture were critical in determining whether companies can withstand uncertainty.
He urged boards and senior executives to make risk management a key component of governance and strategic planning.
Money Acumen Advisory Chief Executive Officer Lyapa Mpemmpulwa said many businesses remained exposed because they lacked formal risk frameworks, succession plans and clear strategies for managing emerging threats.
She said succession planning was a major challenge, particularly among family-owned and founder-led businesses.
“Most businesses are family-led or founder-led, and very few have put in place succession plans. We need to ask what happens when the founder or the person considered the subject matter expert is no longer around,” Mpemmpulwa said.
She warned that increased digital transformation had exposed businesses to growing cybercrime and fraud risks.
Mpemmpulwa said cybersecurity should not be treated as a responsibility for information technology departments alone because it affects the entire organisation.
She also highlighted climate change as a growing business risk, pointing to Zambia’s drought and electricity challenges as examples of how environmental shocks can disrupt operations.
“ESG should not just be a fashionable term but something businesses integrate into their operations,” she said.
Mpemmpulwa urged companies to use data, professional expertise and risk management frameworks to identify potential challenges before they develop into crises.
She further advised businesses to prepare for currency fluctuations, supply chain disruptions and political developments, especially as the country approaches an election period.
EIRS Zambia and Malawi Business Head Margaret Bandia said companies needed to focus more on preventing losses instead of only relying on compensation after disasters.
She said cyber threats, climate change and employee wellbeing were among the major risks affecting businesses.
Bandia said the increased use of artificial intelligence and digital technologies had expanded cyber risks, requiring companies to strengthen cybersecurity measures.
She also highlighted the impact of Zambia’s drought and power shortages, saying businesses that fail to adapt to climate-related challenges could face serious operational difficulties.
She said insurers were changing their approach by investing in technologies that help businesses identify and reduce risks before losses occur.
Bandia encouraged companies, especially those in agriculture, to invest in climate adaptation measures such as irrigation and other technologies to reduce exposure to weather-related shocks.
She added that insurers were also paying greater attention to employee wellness because healthier employees contribute to improved productivity and reduced business costs.
Makumbi Capital Management Business Development and Strategic Lead Mulenga Chanda said risk management should become part of corporate culture rather than remain the responsibility of one department.
She said companies must ensure employees understand their role in managing risks through continuous training, communication and shared responsibility.
Chanda said technological changes, economic shocks, supply chain disruptions, climate change and load shedding were among the major risks affecting sectors such as manufacturing, agriculture, finance and mining.
She also called for improved insurance awareness among businesses, saying some companies purchase insurance products without fully understanding the protection they provide.
Chanda said brokers have an important role in helping organisations identify their risks, select suitable insurance products and manage claims.
She said drought had affected agricultural production, reducing access to raw materials and putting pressure on manufacturers’ profitability.
Hamayobe added that global conflicts had contributed to higher fuel costs and supply chain disruptions, forcing businesses to adapt.
She said companies were responding by investing in energy-efficient technologies, digital solutions and Environmental, Social and Governance (ESG) practices.
Hamayobe said risk management should be viewed as an investment that supports profitability and growth rather than an additional cost.
“Businesses exist to make profit. If you are offering risk management services, you must demonstrate the value you are bringing by showing how managing specific risks can improve profits, increase sales and strengthen business performance,” she said.
She urged insurers and risk management providers to develop industry-specific solutions instead of offering generic products.
ETG Insurance & Risk Solutions (EIRS) Sales and Relationship Manager Rahul Mishra said collaboration between businesses, insurers and industry stakeholders was essential in addressing emerging risks.
“Whether it is the manufacturing industry or service industry, agriculture or any other industry, we always have different risk categories to take care of in this particular market,” Mishra said.
He said the forum provided a platform for business leaders and risk professionals to exchange ideas and develop practical strategies for strengthening resilience.
The discussions highlighted that companies that invest in preparedness, innovation and strong governance would be better placed to withstand future shocks and achieve sustainable growth.
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