Why Cyber Risk Management?
October marks Cyber Security Awareness Month and Mitigo Cybersecurity is focused on providing valuable information and tools to enhance your cyber security practices. Discover Mitigo’s new interactive guide: Cyber Security Matters.
Lindsay Hill, CEO of Mitigo Cybersecurity introduces their new interactive guide. It aims to demystify cyber security, debunking common myths, explore the cyber criminal ecosystem, plus providing takeaway tips on technical security and spotting phishing attacks.
Managing cyber risk is a complex ever-evolving field, with numerous interconnected elements that must be considered to ensure comprehensive protection. Like pieces of a jigsaw puzzle, each component - from risk assessment to governance - must fit together seamlessly to create a robust defence. To combat the advanced threat landscape, firms need a proactive, well-coordinated strategy that leaves no pieces missing in their defences.
It’s a board level matter
The stakes are high. Cyber risk should have the same prominence as serious financial or legal risks, and responsibility and ownership of cyber resilience is a board level matter. Governance must include proper management information which is discussed by the senior leadership team at regular intervals.
Recognise the threat
You must understand the modern criminal ecosystem. Sophisticated and professionally organised gangs act with almost infinite geographical reach and frightening speed of execution. The returns are high and the chances of arrest are almost zero. Ransomware gangs develop and sell malicious software as a service to affiliates on the dark web, host data leak sites and manage ransom negotiations. Initial access brokers act as access lead generators. Attack techniques continue to evolve and so must your defences.
Cyber risk management is different to IT
Your IT people may be brilliant at their job. But assuming they are also cyber security experts with the up-to-date knowledge and experience to be responsible for advising on and implementing proper cyber risk management is the most basic error which can turn out to be fatal. That simply will not cut it, and it is the reason why so many firms suffer a cyber breach.
It’s not all about tech
The security and configuration of your technology is of course a big part of risk management. But there is much more involved in keeping safe. Your risk assessments come first. People and the activities they undertake are important. Provide training. Test it with simulated attacks. Governances should include the right policies and procedures for your firm, with an ongoing programme to evaluate the measures in place. Security is not a one-off MOT – it is a continuous process.
Operational resilience
The protection of confidential proprietary and client data is of crucial importance. But a lack of operational resilience can be more devastating. Few firms recover from a successful ransomware attack within a few days, most remain crippled for weeks or months, wrecking their financial position. Few backups are correctly configured to survive an attack. Incident response and disaster recovery planning and rehearsal is needed so that the firm can continue to provide services and function.
Comply with the law
Data protection legislation requirements include regular written risk assessments to enable clear visibility of risks and vulnerabilities relevant to the security of personal data; the determination and implementation of technical and organisational measures appropriate to control those risks (which must include people training, technical security and a governance regime); and the implementation of a process for regularly testing, assessing and evaluating the effectiveness of the measures you have in place. To understand just how widely the ICO interpret legal obligations, take a look at the cases of Tuckers (ICO fine £98,000) and Interserve (ICO fine £4.4m).
Regulatory compliance
All regulators of professional service businesses expect compliance with the law, as well as adherence to separate regulatory responsibilities including the duty to report breaches. Such obligations are not limited to personal data. In the case of a breach, expect the SRA and the ICO to scrutinise amongst other things, the SRA Code of Conduct.
Supply chain management
It’s not just about you. You must consider your connected supply chain and how a breach could affect you or them. Who has access to your data or systems. Which organisations do you share them with. What are your critical supplier dependencies and what is your plan B if they go down. What checks and due diligence do you undertake to understand their security standards and back up arrangements, and do you have too many eggs in one basket.
The importance of independent assurance
Information that is business critical needs to be reliable. Good governance must include independent assurance carried out by genuine cyber security specialists with in-depth knowledge of the latest security risks and experience of the attacks taking place in your sector. They must be independent of your IT provider, because having your IT mark their own homework is a nonstarter from a risk management perspective. Your assurance should be in writing and intelligible to those who are not experts in cyber risk management, including those responsible at board level for managing the big risks in your firm.
The role of certifications
A variety of certifications are available. Cyber Essentials Plus and ISO 27001 are best known, and can be useful as part of the risk management journey. They are sometimes necessary for contract tender purposes and can be helpful for marketing. But it would be quite wrong to assume they provide proper cyber security. So reliance on either is misplaced.
The role of insurance - not a substitute for risk management
Insurance may be part of your risk management plan, but recognise its limitations - it is no more than the transfer of residual risk once you have taken the right steps to manage your cyber security in the first place. It will not prevent a breach, it will not satisfy your legal and regulatory compliance obligations and it can never repair all the damage to your reputation/business/finances.
The difference between having a cyber breach or withstanding attacks is not about luck. It’s about a thoughtful programme which involves properly assessing your risks; implementing the right controls across technology, people and governance; assessing their effectiveness on an ongoing basis; and getting some assurance so you can sleep at night.
Download the Guide
For further insights, explore our preferred supplier Mitigo’s new guide, Cyber Security Matters. Or, for assistance with your cyber security, get in touch here.