April 3, 2019
Today, all companies in every market segment face a perfect storm of risk as they are besieged by internal, external, regulator and reputational risk. Yet for CISOs and ISOs, getting the security budget to combat those threats can be a challenge. The newest report by Price Waterhouse Coopers (PWC)1 provides some undeniable facts that all CISOs and ISOs can use to support their security budget and receive the funding they need.
- 9% of the respondents stated that their company had been victimized by fraud or economic crimes, up from the 36% reported in 2016! In North America, that number was higher coming in at a whopping 54% for 2018.
- In direct contradiction to these facts, less than half of the organizations stated they have performed any type of risk assessment in the last two years, which would include the discovery, classification and protection of their sensitive data.
- By market segment, the hardest hit by reported cyber crime fraud were financial services and technology firms, reporting in at 41% and 39% respectively.
- Further supporting the need to protect the organizations sensitive data was the facts that 68% of all committed fraud was perpetrated by “Frenemies”, external and known agents, vendors, shared service providers and customers.
- It may be worthwhile to also mention to those who hold the funding purse strings that 54% of the financial services respondents stated that they had experienced an enforcement of an Anti-Money Laundering regulation in the last two years!
- In direct relation to these consequences, 54% of the respondents stated that they expect new regulatory changes to have an increased impact on their organization in the next 2 years.
The following infographic presents the total cost to your organization for not using a data protection solution such as Spirion;
To further support this information, the following data details the various types of cyber-attack fraud that organizations reported;
With IP and Asset theft at a substantial total of 36% of all cyber-attacks, not including the 30% reporting a cyber-attacks disruption of their business process, a proactive course of action regarding the protection of the very data at risk becomes an apparent approach.
Although these facts are sobering, we all realize that in a corporate culture ROI is the top mandate. The 9th Annual Cost of Cybercrime Study conducted by Accenture2 states that the total cost of cybercrime for each company compromised increased from $11.7 million in 2017 to $13 million in 2018.
In another piece of sobering news, the United States lead the world with an average annual cost of $27.37 million in 2018 with Japan a distant second at $13.57 million. On the individual organization level, you may also want to show the infographic that depicts the average annual cost of cybercrime by economic consequences. As shown, the loss of information has increased to a sobering total of $5.9 million in annual costs;
To combat this risk a ruggedized and enterprise wide security solution as provided by Spirion for data at rest and in use is essential. With 65% of United States firms stating they have experienced a cyber security breach as reported by Thales Security3, employing a Spirion solution for rapid data discovery, accurate classification and automatic remediation of your sensitive data is a strong counter defense. Don’t be a part of the 52% of financial firms that stated losing information was their most expensive consequence of a cyber-attack.1
1 Price Waterhouse Coopers Global Economic Crime and Fraud Survey 2018
2 Accenture 9th Annual Cost of Cybercrime Study 2018
3 2019 Thales Data Threat Report, Global Edition