More than 50% of companies believe they are inadequately prepared for crises, according to a new Deloitte survey.

And about 70% of respondents say it takes up to three years to repair reputations following a crisis.

The Crisis in Confidence study questioned 317 non-executive board members worldwide.

The two most serious threats to business are loss of reputation and cyber crime, according to the respondents.

Deloitte Managing Partner Risk Advisory Harvey Christophers says 49% have capabilities or processes in place to achieve the best outcome following a crisis.

In the Asia-Pacific region only 34% are confident of their resilience.

In Australia almost 60% of big businesses surveyed say it takes one to three years to recover reputations and operations. Half say it takes the same time for financial recovery.

Only 32% of respondents engage in crisis simulations or training.

The report says the potential to lose customers and shareholder value due to reputational damage after a data breach, denial of service, or corrupted or stolen assets is significant.

Only 37% of Asia-Pacific businesses have a crisis resolution plan for natural disasters, while 40% have a plan for workplace violence.

“Given that stress levels have a significant impact on our decision-making abilities in times of crisis, it is absolutely critical that a pre-formulated, thoroughly tested response plan is in place to ensure the business takes quick action,” the report says.