Q & A BDO ADVISORY SERVICES
How do you see the role of risk advisory evolving within the public sector, especially considering the increasing emphasis on digital transformation and cybersecurity?
Risk advisory in the public sector has shifted from a compliance function to being a key driver of transformation. As South Africa digitises government services, advisors play a critical role in managing complexity, safeguarding public assets, and building trust in digital governance. Initiatives such as the 2025 Digital Transformation Roadmap – focusing on Digital Identity, Digital Payments, Data Exchange, and a Single Digital Channel for Services – are supported by SITA’ s platforms for secure authentication, data sharing, and cybersecurity.
Today, risk advisory spans four interconnected areas. Cybersecurity risk management strengthens resilience, protects data, and guides incident response. Governance and compliance ensure digital initiatives meet regulations and ethical standards, particularly around AI and data. Strategic risk assessment identifies threats, manages change, and integrates legacy systems. Public trust and reputation management safeguard citizen-facing services and promote ethical governance.
The public sector faces persistent challenges, including fiscal pressures, cybersecurity vulnerabilities, digital capacity gaps, climate and supply chain risks, talent shortages, regulatory uncertainty, and evolving citizen expectations. Effective advisory integrates risk intelligence across domains; embeds resilience in digital initiatives; supports agile governance; anticipates emerging threats, and fosters collaboration across government, the private sector, and civil society. In doing so, risk advisory enables secure, accountable, and sustainable public sector transformation.
What are the most common misconceptions public sector leaders have when it comes to risk management, and how do you address them?
Despite the National Treasury ERM Framework being in place since 2006, many public sector entities still struggle to embed enterprise risk management effectively. Risk management is often either treated as a compliance exercise, or it’ s over-engineered – focusing only on threats while overlooking opportunities. Common misconceptions include seeing risk management as purely compliance, assuming that risks are only negative, delegating responsibility to a single department, relying solely on risk registers, overlooking risk appetite, or believing external risks are uncontrollable. In reality, effective risk management is strategic, enterprise-wide, and opportunity-focused. It requires shared ownership, regular review, integration with organisational strategy, and scenario planning to anticipate emerging risks such as those posed by AI, climate change, or political shifts. By addressing these misconceptions, the public sector can strengthen resilience, improve decision-making, and unlock opportunities for innovation.
What are the key trends shaping public sector risk advisory today?
The shift from a compliance function to becoming a driver of transformation is shaped by rapid digitalisation, growing cybersecurity concerns, and the increasing complexity of governance. Governments are adopting integrated, enterprise-wide approaches that embed risk intelligence, scenario planning, and agile governance, all while emphasising ethical culture and accountability.
Climate and environmental risks, supply chain vulnerabilities, and talent gaps are increasingly central to risk agendas, requiring adaptive planning and workforce development. Digital transformation presents both opportunities and risks from AI adoption to cybersecurity threats, while regulatory and policy uncertainty demands proactive compliance strategies. Across all these areas, public trust and reputation remain critical, highlighting the need for transparent, citizen-focused governance. Effective advisory integrates these domains, embeds resilience, and fosters collaboration with private and civil society actors, enabling secure and sustainable public sector transformation.
What’ s the x-factor that helps BDO South Africa stay ahead in public sector risk advisory?
BDO’ s strength rests on four pillars. A collaborative approach integrates risk, audit, technology, supply chain, and sustainability considerations to deliver holistic solutions. We combine global best practice with deep local insight, ensuring strategies are both internationally informed and tailored to South Africa’ s unique public sector context.
Continuous innovation underpins our advisory, with investments in digital tools, AI, analytics, and adaptive methodologies helping clients anticipate emerging risks and manage technological change. Finally, capacity building ensures our teams and clients remain resilient and future-ready through targeted training, professional certifications, and leadership development. Together, these pillars allow BDO to guide public sector institutions confidently through a rapidly evolving risk landscape. ■
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