Integrating Cyber Security with Business Continuity Management to Build the Resilient Enterprise
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1 February 11 14, 2018 Gaylord Opryland Resort and Convention Center, Nashville #DRI2018 Integrating Cyber Security with Business Continuity Management to Build the Resilient Enterprise Tejas Katwala CEO & Co-Founder Continuity
2 Our Focus for Today 1. How to align cybersecurity with the business 2. Identify why current response frameworks are incomplete 3. Avoid creating a security program silo 4. Create accountability across the organization 5. Create effective analytics that can speak to the business 6. Build an effective cyber response action plan The key: Accomplish the above by taking an integrated risk approach that leverages business continuity management
3 The Global Cyber Threat Landscape Continues to Increase in Velocity and Complexity In 2014, many consumers began feeling breach fatigue and 2015 is on another record setting pace ATTACKERS go undetected for 229 Days Source:2014 Mandiant Report CYBER ATTACKS could cost the global economy $3 TRILLION in lost productivity & growth Source:mckinsey& co report average cost of a data breach $3.5M increased 15% over the past year Source: 2014 study Phonemon Institute More than 140 Countries have some level of cyber weapon development program Source:fortune.com Data breaches tracked hit a record high in 2014 at 783 a 27.5% increase over ITRC 2014 Breach List
4 Understanding Your Threat Actors Evolution of Threats Cyber Espionage Well Funded, focused on high dollar assets like Intellectual Property Highly skilled/patient, State Sponsored Evolve with their targets Skilled Efficient Patient Motivated Pre-2009 Focus on defense against this scope of attackers Attackers looked for easy targets Address the basics Be better than the next company and they will move on Elite Attackers Skilled Aggressors Talented Bigger Agenda Enables Masses The Masses Use tools others develop Desire Status Want to be a part of something Cyber Espionage Cyber Warfare Cyber Crime Hacktivist Cyber Warfare Cyber Crime Hacktivist Internal Highly skilled and patient Focused on strategic targets Aligned with a much larger agenda Highly skilled and patient Focused on easily monetized assets Well versed in Global Cybercrime Laws Want to be a part of the cause Focused on embarrassment of target Less skilled, but organized and motivated Often Cyber Espionage related Data Leakage/Data Theft Inadvertent insider mistakes
5 The Need for Business-Driven Cyber Security Program Management Limited to IT Changing Role of the CISO Lack of Language Technology Lack of Financial Accountability Lack of Skills and Expertise Not Connected to Organizational Impact Planning Cyber Risk = Compliance Velocity of Change Lack of Mindset Lack of Process
6 What Should a Business-Driven Cyber Security Program Deliver? 1. Navigate away from the compliance check-box exercise with little regard to the real risks the organization faces 2. A modern communication approach that all stakeholders (board of directors, operations and IT) can understand: dollars and cents 3. Provide a decision-making framework for prioritizing risk mitigation, optimizing security investments and transferring risk 4. A financially-driven, risk based approach helps executives understand the business impact of decisions and select the controls that actually help the organization succeed
7 What Should a Business-Driven Cyber Security Program Deliver? 1. Navigating away from the compliance check-box exercise with little regard to the real risks the organization faces 2. A modern communication approach that all stakeholders (board of directors, operations and IT) can understand: dollars and cents 3. Provide a decision-making framework for prioritizing risk mitigation, optimizing security investments and transferring risk 4. A financially-driven, risk based approach helps executives understand the business impact of decisions and select the controls that actually help the organization succeed HOW DO WE ACHIEVE THIS?
8 Hey, Why not just use GRC
9 Challenges with GRC and Legacy Approaches Of the three promises of GRC, most organizations may be realizing only one: Compliance No standard cyber risk model and taxonomy Lack of timeframe estimates Misaligned likelihood and impact estimates Qualitative rating scale definitions Multiplying red, yellows and greens Does not help in a dynamic threat event
10 How about Integrate with your Business Continuity Program?
11 Benefits of Integrating with the Business Continuity Program 1. Cost savings 2. Connected to the business 3. Rich database of dependency relationships between people, process, technology, assets, product lines, and third parties 4. Focus on response plan development and testing 5. Continuous improvement process 6. Experience
12 The largest component of the total cost of a data breach is lost business Components of the $3.62 million cost per data breach Lost business cost $1.51 million Abnormal turnover of customers, increased customer acquisition cost, reputation losses, diminished goodwill $3.62 million Detection and escalation $0.99 million Forensics, root cause determination, organizing incident response team, identifying victims Ex-post response $0.93 million Help desk, inbound communications, special investigations, remediation, legal expenditures, product discounts, identity protection service, regulatory interventions Notification $0.19 million Disclosure of data breach to victims and regulators IBM Ponemon 2017 Cost of Data Breach Study
13 What you can do to help reduce the cost of a data breach Amount by which the cost-per-record was lowered Areas that can be supported by the Business Continuity Program Incident response team Extensive use of encryption Employee training Business Continuity Management involvement Participation in threat sharing Use of security analytics Use of DLP Data classification Insurance protection CISO appointed Board-level involvement CPO appointed $6.80 $6.20 $5.70 $5.40 $5.20 $5.10 $2.90 * $8.00 $12.50 $10.90 * $16.10 * $19.30 IBM Ponemon 2017 Cost of Data Breach Study Savings are higher than 2016 * No comparative data Currencies converted to US dollars
14 BCM reduces cost per day and total number of days in a cyber incident Lost Business is the biggest financial consequence of a data breach followed by detection and response BCM saves on average 43 days on identification and 35 days on containment per cyber incident BCM significantly reduces the cost per breach both record and incident BCM reduces the likelihood of a breach by 25% BCM reduces material disruptions to business by 28% and improves IT resilience by 23% BCM diminishes negative impact on brand reputation by 18% IBM Ponemon 2017 Cost of Data Breach Study
15 Business Continuity Requires Cross Functional Alignment and Business Ownership Oversight Authority Accountability Visibility Consistency Coordination BCM oversight Sponsor BIA refresh Align BCM with business strategy Provide BCM Governance Provide metrics and reporting Conduct training and awareness Drive BIA refresh ERM Team BCM Team Crisis Management Team BC/DR Plan Activation Crisis communications Command and control Assessment Management Responsibility IT Disaster Recovery Site Continuity Work Force Resilience Mitigation Reporting Maintenance Align DR with BC requirements Develop/update DR plans Coordinate DR Tests Report on DR status Site emergency response plans Coordinate with local authorities (PD, Fire, EMT) Conduct site tests Provide metrics and reporting Identification of Resources Cross Training Succession Planning Periodic Training/Update
16 Synergies Achieved through Alignment of Risk Management Programs Risk Stakeholders Cyber Security Program Deter Detect Respond Recover Enterprise Risk Privacy Program Data Protection Data Use Legal & Regulatory Compliance Crisis Management Team Incident Response Business Continuity Management Business Impact Analysis Disaster Recovery Site Continuity Workforce Resilience Intelligence Fusion Center Clear Delineation of Risks Becomes More Difficult Unifying Processes Drives Consistency and Preparedness
17 Shift from Qualitative to Quantitative Analysis Current Risk Approach is Qualitative (ie NIST CSF) Need to adding the economic dimension to your reporting
18 Shift from Qualitative to Quantitative Analysis BCP supports Quantitative (ie Business Impact Analysis) BCP adds an economic dimension to NIST CSF assessments by quantifying cybersecurity risk in financial terms, dollars and cents.
19 Shift from Qualitative to Quantitative Analysis Benefits The combination of both NIST and BCP enables organizations to: 1. Assess where the biggest loss exposures are 2. Conduct cost-benefit analyses for initiatives that improve risk activities 3. Prioritize risk mitigation initiatives based on business impact 4. Improve how you communicate to the business
20 By Integrating with BCP You Can Build the Cyber Resilient Enterprise Leverage a building mindset around resilience Enable ongoing business impact and threat assessment analysis Categorize threats, users, digital assets and locations into priority classifications Report against policy Build prevention and response plans with workflow and automation by threat category Empower Incident Response and ongoing testing and exercising to improve capabilities Enable security training and awareness in the same platform as the response plans Operationalize and unify multiple aspects of the enterprise security operations, governance & risk Integrate all sources of record and truth related to security operations and intelligence
21 A NEW APPROACH TO INTEGREATED RISK MANAGEMENT
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