A recent report from Piper Jaffray found that 75% of companies expected to increase their IT security spending in 2015, following a year of high-profile hacks and data breaches in 2014.
A recent report from Piper Jaffray found that 75% of companies expected to increase their IT security spending in 2015, following a year of high-profile hacks and data breaches in 2014. But are there ways businesses can save money on their security spend?
Some of the top tips of recent years – particularly the encouragement for businesses to switch to cloud storage and enterprise software – are being received with caution after notable attacks on cloud providers. And while old adages about “getting what you pay for” remain as true as ever, there are ways to reduce company spending on IT – or rather, ensure you don’t over-spend.
Educate your employees
The number one tip to save money on security is continuing to educate employees. Staff should be trained on: recognizing security threats; the importance of installing updates; using stronger passwords (and changing them more often); and perhaps most of all this year, to recognize that mobile access represents a significant threat.
At the same time as trying to instill good practice in employees, companies need to set more stringent top-down security policies. Ask who really needs access to what data, and don’t put everything in the control of one single person; even your CIO or IT security manager. Track who accesses sensitive data.
Make sure you have a system that can disable USB ports if necessary, and do not allow employees to change security settings on their devices.
Security policies must be kept up-to-date – if you’re using cloud storage and off-premises enterprise software, or if your employees do more and more work on tablet or mobile, your security policy needs to reflect the systems you’re using.
Assess the real risks – don’t panic buy
Save money by engaging security consultants to thoroughly assess which areas of your business need the highest levels of security. While you don’t want to introduce weak links, if your data policy is properly laid out and followed, there may be some areas that need top-level protection more than others.
Risk assessment will also help save money in the event of a hack: if you are aware of your potential weak spots you can develop a policy to reduce their vulnerability – again saving money in the long run.
Many big brand applications are mirrored by lesser-known open source platforms – and the “own-brand” alternatives are rarely such big targets for hackers. You could save money on software and minimize your exposure to hacks by using open source CRM, CMS, bookkeeping and e-commerce apps. BUT open source can be unwieldy and less frequently patched. Make sure your CIO is well versed in the platforms you’re using.
Spend money to save money
While large-scale IT spending can often seem like a major outlay – whether it’s on hardware, services or manpower – but the costs of combating a hack will almost certainly far, far outweigh them.
As the Wall Street Journal’s Steven Norton noted last week, large businesses are starting to treat cyber attacks as a case of “not if, but when”: with that logic in mind, it makes sense to spend now rather than spend later.
Smaller businesses would do well to follow the same logic; while Sony or Microsoft are always going to be a headline-grabbing target for hackers, cybercriminals know that small businesses are more likely to be ‘low-hanging fruit’. 80% of small businesses that experience a major hack either go bankrupt or suffer severe financial losses in the following two years, according to Price Waterhouse Coopers.