352CIS-3 Chapter 5

Shifting the financial cost of a cyber risk to a third party.

Covers financial losses from data breaches, ransomware, and business disruptions.

Acknowledging a risk and choosing not to take immediate action.

Reducing the likelihood or impact of cyber risks with controls.

Security measures like firewalls, encryption, and multi-factor authentication (MFA).

Policies and procedures like employee training and incident response plans.

An organization's tolerance for risk.

Regular updates to software and hardware to fix vulnerabilities.

Ensuring only authorized users access systems.

Frameworks and guidelines to manage risks for technologies, individuals, and entities.

Different industries face varying cyber risks based on data sensitivity and attacker attraction.

Following cybersecurity regulations affects risk management activities' scope and priority.

A strong security culture means employees understand and actively manage cyber risks.

Digital transformation and technology usage affect a company's cyber risk exposure.

The reliance on third-party vendors impacts cyber risk management strategies.

Communicating cyber risks clearly to stakeholders ensures informed risk management.

Use simple language for non-technical audiences (like executives).

Focus on risks that directly affect the audience.

Provide updates on emerging threats quickly.

Use a standardized framework (e.g., NIST CSF) for risk communication.

Incorporate key risk indicators (KRIs) for measurable insights.

Create a glossary of terms to ensure everyone understands the terminology.

Dynamically incorporating lessons learned from incidents and emerging threats to improve risk management strategies in cybersecurity.

Analyzing the costs, benefits, and trade-offs associated with implementing cybersecurity strategies to make optimal resource allocation decisions.

Evaluating cybersecurity investments by comparing mitigation costs with predicted losses from cyber incidents.

(Probability of Attack x Potential Loss) - Mitigation Cost

Models like Return on Security Investment (ROSI) help organizations assess the profitability of cybersecurity spending.

(Risk Reduction Value - Mitigation Cost) / Mitigation Cost

Transferring financial risk associated with cyber incidents (e.g., data breaches, ransomware) to insurers.

Finding the optimal balance between over-investing (waste of resources) and under-investing (increased threat exposure).

Involves focusing on a smaller subset of key security measures that yield the greatest risk reduction.

Identifying and prioritizing high-risk assets for protection.

Combining technical, organizational, and insurance strategies to mitigate risks.

Engaging executives and departments to align risk management with organizational goals.

Keeping cybersecurity strategies dynamic by monitoring and adapting to evolving threats.

Guidelines, best practices, and regulations to effectively manage cybersecurity risks.

Comprehensive sets of practices providing a holistic view of cybersecurity risk management.

Understanding what assets need protection and identifying potential vulnerabilities.

Evaluating the likelihood and impact of cyber threats on assets.

Implementing technical, organizational, and procedural controls to reduce risks.

Continuously observing and adjusting risk management activities as new threats emerge.

Planning and executing a response to mitigate damages and recover from cyber attacks.

A cybersecurity standard focusing on risk management.

A cybersecurity framework for US organizations.

Data security standard for payment card processing.

General Data Protection Regulation (EU data privacy rules).

Control Objectives for Information and Related Technologies.

International risk management framework.

Factor Analysis of Information Risk (method for quantifying risk).

Cybersecurity controls to improve the security posture of organizations.

A framework for internal control.

Requires encryption of sensitive data both in transit and at rest.

Outlines protocols for data recovery during incidents.

Defines appropriate use of company resources (email, internet).

Requires regular training to recognize cyber threats (like phishing).

Specifies password complexity, expiration, and reuse rules.

Provides guidelines for reporting suspected security incidents.

Requires assessing risks associated with vendors, contractors etc.

Specifies security expectations in contracts with third parties.

Regulates how data is shared with external entities.

Requires all suppliers to follow cybersecurity best practices.

Larger organizations have more complex IT systems and more attack points.

Shifting the financial burden of a cyber risk to a third party.

Acknowledging a risk and choosing not to take immediate action.

Implementing measures to reduce cyber risk.

Coverage against financial losses from cyber incidents.

Organization's tolerance for risk.

Regular software updates for vulnerability fixes.

Limiting access to systems to authorized users.

Frameworks and guidelines for managing cyber risks.

Different industries have varying cyber risks based on their data sensitivity and attractiveness to attackers.

Following cybersecurity rules influences how organizations manage risk, deciding priorities and scope.

A strong security culture ensures employees actively participate in risk management.

Digital transformation and reliance on technology affect cyber risk levels.

Interdependence on third-party vendors impacts cyber risk management.

Communicating cyber risks clearly to stakeholders enables informed decisions and proactive risk management.

Using simple language for non-technical audiences.

Focusing on risks impacting stakeholders directly.

Providing updates on emerging threats or incidents quickly.

Using a standardized framework for communicating risks across departments.

Using measurable indicators like key risk indicators (KRIs) for risk assessment.

Creating a glossary of cybersecurity terms for clear understanding.

Dynamically adjusting cybersecurity strategies based on past incidents and new threats.

Analyzing the costs, benefits, and trade-offs of cybersecurity measures to optimize resource allocation.

Comparing the cost of cybersecurity measures to the expected loss from cyber incidents.

A formula used to calculate the difference between the expected loss reduction and security investment.

Methods used to assess the financial return of security investments like Return on Security Investment (ROSI).

Calculating return on security investment by comparing risk reduction value with mitigation costs.

Shifting financial risk of cyber incidents to insurance companies.

Balancing over-spending (waste) and under-spending (increased risk).

Focusing on a small set of security measures which yield the greatest impact.

Identifying high-risk assets and vulnerabilities to prioritize protection.

Combining technical, organizational, and insurance strategies to minimize risk.

Ensuring executives and departments align their risk management goals.

Constantly reviewing and adjusting cybersecurity policies as threats evolve.

Guidelines, best practices, and regulations for effectively managing cybersecurity risks.

Comprehensive sets of practices providing a holistic view of cybersecurity risk management.

Understanding what assets need protection and identifying potential vulnerabilities.

Evaluating the likelihood and impact of cyber threats on assets.

Implementing technical, organizational, and procedural controls to reduce risks.

Continuously observing and adjusting risk management activities as new threats emerge.

Planning and executing a response to mitigate damages and recover from cyber attacks.

A cybersecurity standard focusing on risk management.

A cybersecurity framework for US organizations.

Data security standard for payment card processing.

General Data Protection Regulation (EU data privacy rules).

Control Objectives for Information and Related Technologies.

International risk management framework.

Factor Analysis of Information Risk (method for quantifying risk).

Cybersecurity controls to improve the security posture of organizations.

A framework for internal control.

Requires encrypting sensitive data both when being transferred (in transit) and when stored (at rest).

Establishes procedures for backing up data and restoring it if there's a problem—like a system failure or attack.

Specifies how company assets, like email and internet access, can be used.

Regular training to help people identify and avoid cyber threats, like phishing scams.

Rules about how strong, complex, and unique passwords should be, and how often they need to be changed.

A plan for reporting suspected security problems or breaches quickly, enabling proactive response.

Evaluating the security risks associated with partnering organizations (vendors, contractors, etc.).

Security requirements outlined in agreements with third parties.

Rules for sharing data with external groups to maintain compliance with regulations.

Requiring all suppliers to follow cybersecurity best practices to prevent attacks targeting the supply chain.

Larger organizations usually have more complex IT systems and more potential entry points for attackers.