In today’s world of ongoing cyber threats, cyberattacks and online scams, cybersecurity is a significant component of any solid business strategy. While investing in cybersecurity might not always be on the CEO’s radar, the repercussions of sitting and hoping you won’t fall victim can be devastating. Cyberattacks now affect businesses of all sizes globally, underscoring the importance of proactive measures to safeguard company assets and reputation.
The good news is that cybersecurity solutions have evolved, offering a variety of tools and strategies to protect against these threats. This month, October, is recognized as Cyber Security Awareness Month—a time dedicated to emphasizing the significance of cybersecurity and encouraging actionable steps to enhance digital security. The theme for 2024, “Secure Our World,” calls on both individuals and organizations to bolster their cybersecurity practices.
Do you think your company is immune to facing a serious cybercrime? Consider the following examples that highlight the importance of preparedness and intervention:
• At a consulting firm, a Human Resources director unknowingly opened a resume containing ransomware, which immediately began encrypting data across the company.
• A marketing director at a manufacturing company received an urgent email from someone impersonating the CEO, requesting the corporate credit card numbers.
• An accountant at a commercial/HOA landscaping company wired a substantial amount of money after receiving a seemingly legitimate request, without verifying with the owners.
These incidents hopefully shed light on the reality of cybercrime and the necessity for comprehensive cybersecurity strategies. By prioritizing and recognizing that cybersecurity is integral to the business’s resilience and long-term success, you can be better prepared. Engaging with knowledgeable advisors and staying informed about the latest threats and solutions is essential. Investing in cybersecurity is an investment in the future security and the actual viability of the company. So, even if you are a small business owner, you really should take time this month especially to educate your teams on specific threats, what are the red flags, and what processes and protocols need to be in place to avoid your company being attacked.
Business Owner Checklist to Strengthening Your Cybersecurity
Kick Off with a Risk Analysis: Think of this as a health check-up for your company’s cybersecurity. Outside firms can perform these assessments and provide insights into your cyber risk profile. Once done, it’s clear where to focus your resources to fend off cyberattacks and prioritize systems in case of a breach.
Assign an In-House Cybersecurity Champion: While outside experts are great, having an internal point person you trust who can lead the task is extremely helpful.
Educate Your Team: Many cyberattacks succeed due to human error, so training employees to spot threats is essential. There are many off-the-shelf training solutions available. Sending test emails that mimic phishing can help employees recognize scams.
Develop Checks and Balances: Implement a multiple-person approval process and telephone confirmation for wire transfers. This extra step can help catch suspicious expenses before they go through.
Develop an Incident Response Plan: Cloud backups are handy, but can’t be relied on if an aggressive attack occurs. Many experts highly encourage companies to create disaster recovery plan. Identify which business functions can and cannot operate during recovery scenarios.
Stay Updated: Keep your software and hardware defenses current, including on mobile devices. Newer IT equipment and apps have the latest built-in defenses. Ensure devices are encrypted to enhance security.
Shop for Insurance: Cyber liability insurance is a smart move for businesses as it provides coverage for financial losses resulting from cyberattacks, data breaches, and other cyber incidents. It can be purchased as a stand-alone policy or added to a general business policy.
Approval Protocols: Implement a multiple-person approval process and telephone confirmation for wire transfers. This extra step can help catch suspicious expenses before they go through.
Over the years, countless CFOs have faced the stressful task of helping their companies recover from financial losses due to cyber-attacks. CFOs play a critical role in navigating these crises. They can conduct thorough risk assessments to identify vulnerabilities and implement robust security measures. Second, they can establish a detailed incident response plan to ensure a swift and coordinated reaction to any breaches. Third, they can oversee employee training programs to reduce the risk of human error leading to cyber incidents.
As October is Cyber Security Awareness Month, now is the perfect time to reinforce your company’s defenses and prepare for potential threats. Norris CFO is here to help!