This article will provide breakdown of what cyber risk management is, the process, the importance of risk management and a top-level look at the standards and frameworks.
What is Cyber Risk Management?
Cyber risk management means identifying, analysing, evaluating, and addressing your organisation’s cyber security threats.
The first step to carrying this out is to undertake a cyber risk assessment. This should provide you with an overview of the threats that your organisation’s might face, from this we can establish a priority and set out a plan to help mitigate the risks identified.
Cyber security risk management is influenced and determined by an organisations cyber risk appetite as well as how you prioritise and respond to those risks.
What Process can you Follow?
There are variations to the risk management process however, the majority should follow these steps:
- Identify the risks
Leveraging the collective knowledge and experience of the team. Asking the organisation to identify risks collectively because they have either experienced it before or may have additional insight around them. When identifying the risk you are looking for the what.
- Analyse the risks
Once you have identified the risk the next step is to identify the how. How likely is the risk to happen? What are the potential ramifications?
- Evaluate the risks
Ask yourself how each risk aligns to your organisations risk appetite. At this stage you look at both the likelihood of the risk and the potential impact that it will have.
- Prioritise the risks
Once you have evaluated the risk, taking into consideration the likelihood of it happening as well as the potential impact. You now need to create an action plan, what are you going to carry out and when.
- Respond to the risks
What are the appropriate responses to the risk and how can you carry this out. This should be the action stage, what steps can you take to mitigate the risks, this should however not take away from your team’s resource and should work alongside their day-to-day tasks to help reduce the impact or likelihood of risk.
- Monitor going forward
This should be a continual process that is monitored and amended as required, there should be a clear line of communication among the team and stakeholders. The point of monitoring your risk management or risk register is to enable you to track and follow how the risks are changing and the impact the risks could have as the threat landscape changes.
Why is Risk Management Important?
Information security standards play a big part in the importance of risk management for companies. Both The GDPR (General Data Protection Regulations) and NIS (Network and Information Systems Regulations 2018) dictate that risk management and having an organisational wide risk register is law.
Being aware of risks that could pose a threat to your business puts you in the best place to mitigate them. At CyberCrowd we love the saying “prevention is better than a cure” and having a risk register, which is documentation of your risk profile helps you in achieving prevention.
Mandates of a Risk Management Approach:
- ISO 27001: International standard for information security management. We have a dedicated article that you can read here, covering everything you need to know about ISO.
- NCSC’s (National Cyber Security Centre) 10 step to cyber security: 10 practical steps that organisations can take to improve the security of their networks and the information carried on them.
- The PCI DSS (Payment Card Industry Data Security Standard): Applies to organisations of any size that take card payments. Protecting digital cardholder data requires PCI DSS compliance.
Your approach to risk management should not simply be the result of a mandate but should be the attitude across your organisation to ensure that the correct steps and measures are being taken to mitigate as much risk as possible.
How can CyberCrowd help?
We always advice a risk adverse approach to security, our services that can help contribute to your awareness of the risks as well as outline plans to mitigate them going forward.
There is the old saying that what you do not know, cannot hurt you, when it comes to cyber security, this couldn’t be further from the truth.
Being aware of the threats, risks and vulnerabilities to your organisation puts you in the best position to mitigate against them.
If you would like to find out more about how risk management can help your business or what it could mean for you, contact us today.