Now, we live in the middle of the AI revolution. Firms regardless of their size need the internet in one form or other in order to operate and it opens them to cyber attacks. Regardless of whether it is caused by corrupted software or trojans, one thing is clear: not everyone is prepared for it. As the threat is too large, it should be every business owner’s top priority to create a Cyber Incident response plan.
Having clear protocols brings a sense of security and the employees will be better equipped to handle the situation. Furthermore, having a response plan acts like a key component of cybersecurity strategy.
Cyber Incident Landscape
Unfortunately, with time, hackers have also evolved. Now, the scammers more likely work as part of organised groups and have a hierarchy. The main threats posed by them are as follows.
- Phishing – Sneaky way of cloning a legitimate portal/platform to steal sensitive information.
- Ransomware – The main goal is to hold your data hostage until their demands are met.
- DDoS attack – Distributed Denial of Service can overwhelm a network and cause severe downtime.
The methods mentioned above are the popular go-to’s for scammers. As you can imagine, the risks are unimaginable and it is our duty to have a strategic system in place to mitigate or eliminate the threats.
Financial Implications of Cyber Incidents
Anything that follows a cyber threat incident is usually a loss. According to recent studies, the average cost of data breaches can cost at least a few million dollars. Additionally, businesses also have to face additional consequences such as operational downtime, legal penalties and reputational damage.
Disruptions because of downtime leads to lost revenue which is a big negative. With regards to penalties, non-compliance with regulations can lead to costly fines(they are industry specific). Lastly, loss of customer’s trust also impacts the companies in ways that are quite hard to quantify.
Preserving Customer Trust
Customer trust is the most valuable asset for a company and it has to be treated as such. Whenever customers share data, they expect it to be handled securely and it is the duty of businesses to take care of that element completely. If clients feel like the data is not handled in the best possible manner, it would create a negative feedback loop and sooner or later, it will reflect in the other parameters.
To maintain the trust, businesses should communicate with them and the stakeholders effectively and take proactive measures. Once the communication is cleared and transparent, the resilience of the underlying firm will be evident and that is something everyone involved will appreciate. After all, a sense of security is something everyone craves for, right?
Minimizing Downtime and Operational Disruption
After a cyberattack occurs, literally, every second counts. Minimising downtime and operational disruption are the things that are at the top of the to-do list in those times. Any kind of delays in getting the system back up means monetary loss and damage to the reputation.
A cyber incident response plan helps address this kind of situation by creating a clear guideline on how things should be handled, defining roles and tasks for response teams. Simply put, it brings order and structure after the chaos strikes.
Protecting Intellectual Property and Sensitive Data
For any firm protecting intellectual property and sensitive data is important and they are what is called non-negotiables. The other priority stuff are proprietary research, customer database and trade secrets. It goes without saying that loss of these items have unimaginable consequences and it is essential to implement measures to safeguard them.
A Cyber incident response plan plays a big role in protecting all the relevant data and in providing containment measures. Also, always ensure that the data is encrypted so that there will be additional layer of protection. After all, you cannot be overly careful nowadays, right?
Employee Preparedness during Cyber Incident
Employees have to be ready for a cyber incident at any moment and the only thing that can help them maximize effectiveness is running them through drills. Of course, guidelines and documents play a huge role. However, when people run through mock trials, it forces them to think on the spot and helps them navigate the scenario better.
If employees learn to recognise the phishing attempts and report any kind of abnormalities in general, it would be a great addition and helps mitigate the threat. Overall, employee preparedness can make or break a firm and as such, it should be an aspect that should be taken care of.
Cyber Incident Response Plan Conclusion
As Cyber Incidents/threats are growing, firms have to evolve to handle them. While it is impossible to detect the attacks ahead of time, having a Cyber incident response plan is a must. Awareness is the key to detection and without detection, it is impossible to mitigate or address the attacks.
So, create protocols and ensure that everyone is aware of the steps involved. Now, the most important question you need to ask yourself is – Does your firm have a cyber incident response plan in place?