Updated: May 13
Does the shortage of cyber security skills mean businesses put cyber security risk management in the too hard basket? There is a simple and effective solution: OUTSOURCING.
Cybercrime in Australia during 2020 was estimated to have cost $29 billion, and today, the average cost of a cybercrime breach to an Australian business is an alarming $275,000! The Morrison Government estimates, cybersecurity incidents cost Australian businesses $29 billion each year.
On the evidence available, the number, sophistication and impact of cybercrimes in Australia continues to grow and poses a serious and evolving threat to Australian businesses.
These rapid changes in the cyber security environment mean all businesses need to be prepared to deter and respond to threats. All businesses carry a high level of risk in managing their digital activity and often bear the loss caused by malicious activity. Many believe that their Antivirus software keeps them safe from attacks, however this is not the ultimate solution against cybercrime.
How can Australian Businesses Safeguard Against Cybercrime?
While the technology sector is the cornerstone of our growing digital society and digital economy, it is critical for all businesses to stay ahead of the rapidly expanding, and highly sophisticated Cybercrime threats.
Small to Medium Businesses are being battered on all fronts when it comes to cybercrimes and are considered by cyber criminals to be vulnerable low-lying fruit. They are also the hardest hit by the cyber security skills gap, as the short supply of qualified talent is being snapped up by corporate firms. These firms can afford to pay the high salaries and provide the “Rolls Royce” benefits and perks that these skills demand.
Does that mean that businesses need to muddle their way through by themselves (or worse yet, put it in the too hard basket altogether)? There is a simple and effective solution: Outsourcing.
5 reasons for Outsourcing Cyber Risk Management
1. Reduced Costs and Overhead Expenses
You do not want to trade quality for price but outsourcing often allows you to get the best of both worlds. When you outsource, you can pay your help as a contractor. This allows you to avoid hiring an employee and saves you money on everything from salary, benefits and training. Also partnering with an outside organisation will allow them to stay focused on the task at hand: keeping your business better protected from cyber threats.
2. Access to a level of expertise most companies do not have internally
The cyber risk landscape is constantly changing, and it is often difficult for employees to stay on top of changes. However, Outsourcers focus on their specialty, stay abreast of industry changes and trends, and constantly develop new techniques and skills.
Furthermore, cyber security is a highly specialised field and requires knowledge that is different than those in other IT areas. It is multifaceted and requires operational risk, governance and compliance knowledge. To find one person with all these skills is quite a challenge, however, Outsourcers have a network of specialists with complementary skills that they can access.
3. Provides Continuity in Risk Management
Employee turnover is painful, can disrupt your operations and cause costly problems. What happens when you are the victim of a ransomware attack if your in-house cybersecurity risk manager, who is responsible for putting cybercrime incident response plan into action, is absent or on leave?
Outsourcing builds a level of consistency in your business. It provides continuity by reducing the risk that a substandard level of operation could bring, even over a short period of time. This ensures your operations can continue smoothly without interruption or risk.
4. Level the Playing Field
The increased frequency of supply chain cyber-attacks has seen most organisations scrutinize the cyber security standards of their third-party suppliers. Those that demonstrate an efficient cyber security posture become preferred suppliers. Most businesses simply cannot afford the level of security and risk management of the in-house services of larger corporations; thus, they are missing out on valuable contracts.