BMGT301 Final Exam Study Guide PDF

BMGT301 Final Exam SG (Ch. 11,15,19 [T10-12] & Tableau [P13-16]) Chapter 11: The Sharing Econ, Collaborative Consumption, and Efficient Markets through Tech Tech allows diverse prod and service providers to connect w/ consumers ○ Offers far greater reach and efficiency Efforts are...

BMGT301 Final Exam SG (Ch. 11,15,19 [T10-12] & Tableau [P13-16]) Chapter 11: The Sharing Econ, Collaborative Consumption, and Efficient Markets through Tech Tech allows diverse prod and service providers to connect w/ consumers ○ Offers far greater reach and efficiency Efforts are enabling a gen of “citizen suppliers” ○ Prod owners become providers of rentals Rooms (Airbnb) Cars (Turo) Boats (Boatsetters) ○ New class of micro-entrepreneurs providing personal services Car rides (Uber) Pet Sitting (Rover) Meal prep (Feastly) Home Services (Care.com) Some firms are buying inv and renting it out ○ Rent the Runway ○ Zipcar ○ Chegg These categories of products are “collaboratively consumed” ○ Indiv takes possession of an item for a period of time then returns it for use by others ○ Consumers collab as financiers, pooling capital to back projs (Kickstarter, GoFundMe) and provide loans (LendingClub) ○ Internet-enabled market makers ○ Roots in eBay and Craigslist Goods: ○ Pre-owned: eBay, craigslist, thredUP ○ Loaner products: Zilok, Rent the Runway, Chegg ○ Custom Products: Etsy Services: ○ Professional: Upwork, crowdSPRING ○ Personal: Angie’s List, Handy, TaskRabbit ○ Delivery: Doordash, grubhub Transportation: ○ Services: Uber, Lyft, Didi ○ Loaner Vehicles: Turo, Zipcar Places to Stay: ○ Office space: LiquidSpace, ShareDesk  ○ Places to stay: Airbnb, HomeAway, Couchsurfing Money & Finance: ○ Money lending: LendingClub, Kiva, Prosper ○ Crowdfunding: Kickstarter, GoFundMe Many sharing econ firms were born during a prolonged, worldwide econ recession ○ Stagnant wages have boosted consumer interest in low-cost alts ○ Encouraged a whole new class of lay people to offer services for hire ○ Many of the services also have an environmental benefit by fostering reuse and diminished consumption Early players gain scale, brand, and fin resources Tech allows for peer-to-peer supply w/out need for inv ○ Airbnb doesn’t own its hotel rooms ○ Uber and Lyft don’t own cars Some services do oversee inv to gain more control + offer higher quality ○ Rent the Runway: packs prod for delivery, runs a massive in-house garment cleaning, and retires dresses that are noticeably worn In fragmented markets, marketplaces extend the value chain by connecting suppliers and customers w/ search and discover, scheduling, payment, reputation, mgmt, and more Social Media Word of mouth through social media accelerate the growth of the sharing econ ○ 47% of participants in the sharing econ learn by WoM ○ Uber=inherently viral. Every 7 riders attract 1 new Uber user. Uber coupons to rec friends ○ 91% recommend last service to a friend or colleague ○ Social proof: pos influence created when someone finds out that others are doing something ○ Drivers and customers link to lyft through their FB accs Some concerns include trust + safety issues ○ Audit trails help w/ trust ○ Ratings can help w/ trust, safety, service Can also reflect crowd’s bias and reinforce discrimination ○ Instilling trust doesn’t mean firms are w/out safety issues ○ Participating in sharing econ raises questions for insurers Will firms pay out if there is a “sharing econ” incident w/ a supplier, or will they try to refuse? Some sharing econ firms offer service providers additional coverage and protection guarantees  Some govts have explored additional insurance regulation for sharing econ participants ○ Many local firms also benefit from taxes and regulatory fees from inds threatened by the sharing econ Groups opposed to new, rival efforts can rep very powerful lobbies ○ Another major concern: uncertainty about ability of these firms to continue to consider their workers as indep contractors and not employees If improperly classified, employees may not receive important workplace protections: Min wage Overtime comp Unemployment insurance Workers’ comp Issue has gained state and federal attention, specter of class action lawsuits WePay Winning Big WePay is a firm that has stepped up to offer simple pmt solutions that specifically target challenges of buyer/seller platform operators ○ Veda fraud-fighting tech analyzes social profiles to get firms running w/ payments in a streamlined process ○ Has transac history from hundreds of thousands of customers currently sending billions of $ a year through the firm’s systems ○ ML tech continually updates the firm’s fraud models to adapt to new patterns it uncovers ○ Makes adding pmt capabilities to any site as easy as embedding a Youtube vid, w/ a cut-and-paste pregenerated code Future Outlook Alphabet & Toyota: invested in uber Alphabet & GM: invested in Lyft VW: invested in Gett (Get Taxi) Apple: invested in Didi Conde Nast: invested in rent the runway Walgreens: TaskRabbit partnership IBM: worked with Deliv Avis: acquired Zipcar Airbnb Multibillion-dollar hospitality industry empire ○ Over 200M guests so far ○ W/ listings in 81k cities and 192 countries, approaches firm’s worldwide reach  Listings include: ○ Yurts, Castles, Caves, Water towers, priv islands, igloos, glass houses, tree houses Trust is essential ○ No one is anonymous on Airbnb- guest identity is verified via a 2-step process ○ Firm offers a $1M guarantee for hosts, secure pmt guarantees, and 24/7 phone support Monitor transac and comm at deep level ○ Reservations ○ Pmt ○ Host/Guest comm ○ Subsequent rvws ○ Tech hunts for scams In many areas where Airbnb operates, providers are breaking law ○ Running a business in an area not zoned for it ○ Health and safety laws governing hotels req things like sprinkler systems, exit signs, and clean towels Competition threat, including HomeAway ○ Several hotel firms have experimented w home sharing (Marriott, Hyatt) ○ Travel sites like Booking.com and TripAdvisor now incorporate competitors into their search Uber Raised $21B so far, and boasts a priv valuation of over $70B Claims to create 50k new jobs a month, w nearly all being drivers ○ Uber drivers do better than taxi drivers (flexibility and pay) Uber services: ○ Trust and convenience ○ Customers summon ride w app ○ Riders can set pickup and drop off and get quote for trip ○ All pmt handled in app Product-Market fit: conveys degree to which a prod satisfies market demand. Successful efforts should be desired by customers, and scale into large, profitable business Runs a lean cost of doing business: ○ Eliminating capital cost of a fleet (cars owned by drivers, not Uber) ○ Customer feedback reduces cost associated with auditing driver quality and provides a continual eval of performance Customers regularly complain of 1 downside-surge pricing  ○ Uber raises prices when supply does not meet demand to encourage drivers to work Problems: ○ Strikes by drivers, protests by taxi ind, aggressive political push-back ○ Accusations of the theft of self driving car tech ○ Dishonesty = seen as Uber cultural trait ○ Rival Lyft accuses Uber of unethical behavior (including calling and cancelling Lyft rides to crater the efficiency) ○ Culture shown to be hostile to women and minorities ○ Has been hacked, exposing data of 57M riders and drivers Unclear how damaging fallout has been ○ Network effects may make customers remain w/firm, even if they’d rather not remain ○ Talent and fundraising wallet may be stronger in pushing a firm to recognize and deal w repellant behavior Tech helps Uber keep a high safety bar ○ Uber app knows who drivers are, who was picked up, and where they were taken ○ Bad performance is exposed and customers (and drivers) are empowered to shine spotlights on bad performance Unlike traditional cabs ○ Uber continues to invest in new technologies: Exploring voice recog and biometrics to further strengthen driver verification Implementing panic button linked to emergency services Employs mathematicians w/ PhDs Staff optimizes algorithms to determine # of drivers, where demand is and dynamic pricing “God View”: software system that shows maps, cars, and locations of customers Massive data haul allows it to cut prices and attract drivers to power continued growth and expansion Uber is embedding everywhere in digital world ○ Firm offers an API (app programming interface) : published guideline on how other developers can embed Uber into their own apps ○ Service launched w/ 11 partners: OpenTable, United Airlines, TripAdvisor, Hyatt, etc ○ UberHealth, offers APIs for integration into healthcare prods Ex of networking effects helping to solidify a firm as a winning platform Challenges include:  ○ Regulatory concerns ○ Maintenance of quality service ○ Uncertainty of expanding in global markets where competitors exist Analysts differ on Ubers val but some speculate firm may be laying groundwork for expansion into a variety of logistics businesses ○ Former CEO stated he sees firm as a “software platform for shipping and logistics” ○ Experimented w bike messenger, restaurant, and same-day delivery service ○ Begun to test its own self driving car tech ○ Firm has a prototype vertical take off and landing vehicle thats a cross btw helicopter and prop plane Network effects in Ubers favor ○ Riders choose apps w more drivers ○ Drivers make more $ if theres more riders Ubers growth concerns: ○ Rival Lyft put up growth numbers much stronger than Uber’s recent declines During Ubers 5.2B loss quarter, revs for Lyft up 72% and active riders up 41% Firm has made terrible invests Auto-leasing program Uber Freight Initiative Sloppy w excessive hiring and has had to cut jobs Chapter 15: Open Source, Cloud, Virtualized, and App-Driven Shifts Marginal Costs: associated with each additional unit produced. ○ For software prods, MC=0 Software business is very attractive ○ Bill Gates and Oracle Founder (Larry Ellson) among wealthiest ppl Open-Source Software (OSS): free and where anyone can look at and potentially modify the code ○ Giant’s shudder: “how can we compete w free” Cloud computing: replacing computing w/ services provided over the Internet, on other’s hardware Software as a Service (SaaS): form of cloud computing where a firm subscribes to a 3rd party software and receives a service that is delivered online. No burden of buying, managing, or maintaining Virtualization: tech that can make a single computer behave like many separate computers. Helps consolidate computing resources and creates additional savings and efficiencies (Ex: VMWare) Open Source Linux: open source software op system Source code for OSS prods is openly shared Powers cell phones to stock exchanges, set-up boxes to super computers Can be changed and redistributed by anyone Contrast to practice of conventional software firms who ○ Treat their IP as closely guarded secrets ○ Almost never provide the source code for their commercial software prods Seen by some firms as a threat that undermines their econ model ○ Former Microsoft CEO called Linux a “cancer” Linux makes 92% of servers in AWS 40% Linux in Azure Cloud LAMP LAMP: Linux, Apache Web server software, MYSQL DB, and any of several programming languages that start w P (Perl/Python/PHP) ○ Powering many of sites today from FB to YT Why OSS? Cost: free alts to costly commercial code can be a tremendous motivator. Banking giant Barclays is helping to reduce costs by 90% by switching to OSS Reliability: open source community tries to improve quality. More people who look at a program’s code, the greater the likelihood an error will be caught and corrected. Quality of OSS outperforms commercial competitors  Security: by allowing “many eyes” to examine the code, the security vulnerabilities come to light and can be addressed quicker ○ Security-focused: tech products that contain particularly strong security features. Checking file size and others like code has not been copied Scalability: ability to either handle increasing workloads or to be easily expanded to manage workload increases ○ Allows a firm to grow from startup to blue chip w/out having to significantly rewrite their code Agility and Time to Market: vendors able to skip whole segments of software development process, allowing new prods to reach market faster than if entire software system had to be developed from scratch Lessons from OSS not showing up Many OSS projs are very well maintained w tightly coordinated contribution armies overseen by well-funded, paid professionals. Red Hat helped to improve Linux, Google for Python In spring 2014, some OSS prods which had been neglected were exposed to the Heartbleed bug ○ Heartbleed: error in OpenSSL security toolkit, a prod used by some ⅔ of internet websites, and underpinning security related when sending secure info over the internet ○ A routine coding error opened a hole that potentially could allow hackers to gather passwords, encryption keys, and other sensitive information, triggering “largest security breach in history of human race” Linux Foundation developed a multimillion $ proj (Core Infrastructure Initiative): to fund OSS projs that are in the critical path for core computing functions Heartbleed cautions: just bc a tool is used by many doesnt mean we shouldnt audit its software prods to understand strength of support + potential risks Ex of OSS WordPress- software for running a blog or website Firefox LibreOffice- competitor to MSOffice Gimp- graphic tool w features found in Photoshop Magento- ecommerce software TensorFlow- OSS ML Software Alfresco- collab sw that competes w MS Sharepoint and EMC’s Documentum Marketcetera- enterprise trading platform for hedge fund managers competes w FlexTrade and Portware Zimbra- OSS email sw that competes w Outlook server MySQL, Ingres, and PostgreSQL- OSS relational database sw packages that go head to head w commercial prods from Oracle, MS, SAP, + IBM  MongoDB, Hbase, and Cassandra- nonrelational distributed DBs, used to power massive file systems (on FB, twitter, LinkedIn, and Amazon) SugarCRM- customer relationship management sw that competes with Salesforce Docker- tools for containerization, an evolution beyond virtualization Asterisk- OSS implementation for running a PBX corp telephony system that competes w offerings from Nortel and Cisco, among others Git- version control sw, critical to managing most commerical sw prods Free BSD and Sun’s OpenSolaris- OSS versions of the Unix op system The Business of OSS OSS is a $60B ind, but it has disproportionate impact on trillion-$ IT market Lowers cost of computing and makes computing options accessible to smaller firms Encourages innovation OSS firms valued > $1B: ○ Hortonworks ○ Cloudera ○ MapR ○ MongoDB ○ Docker Red Hat= first OSS firm having market cap of $30B Vendors make $ on OSS by selling support and consulting services. Red Hat brings $3B/yr from customers subscribing to sw services Oracle provides linux for free: firm make more from services than from selling hw and sw Industry’s evolution (standards comp): ○ Pre-Linux days: almost every major hw manufacturer made its own incompatible version of the Unix operating system They had difficulty attracting 3rd party vendors to write app sw ○ Now all major hw firms run Linux, resulting in a large, unified market attracting sw developers Linux Common on mobiles, consumer electronics, and on enterprise solutions, but not desktops ○ Not easy to install ○ Complexity can raise total cost of ownership bc no specific gains from free sw ○ Total cost of ownership (TCO): all of costs associated with design, dev, testing, implementation, documentation, training, and maintenance of a sw system  ○ Small # of desktop users also dissuades 3rd party firms from porting popular desktop apps over to Linux Legal Risks and OSS Certain prods difficult to install and maintain Adopters w/out support contracts may have to rely on an uncertain community of volunteers to support their probs and provide innovative upgrades Legal Exposure: ○ Firms adopting OSS may be at risk if they distribute code and arent aware of licensing implications ○ Some commercial sw firms have pressed legal action against users of OSS prods when there is a perceived violation of sw patents or other unauthorized use of their proprietary code ○ Complicated by varying OSS license agreements, each w slightly diff provisions- evolving over time Cloud Computing 2 categories: ○ SaaS ○ Utility Computing: firm develops own sw and then runs it over the internet on a service provider’s computers, includes: Platform as a service (PaaS)- delivers tools including programming langs, DBs, OS prod testing and deployment sw so an org can develop, test, and deploy sw in a cloud Infrastructure as a service (IaaS): offers a more bare bones set of services that are an alt to buying its own physical hw Some are developing own priv clouds (Virtualization)- pools of computing resources that reside inside an org and that can be served up for specific tasks as need arrives Evolution of cloud computing has huge implications: ○ Fin future of hw and sw firms ○ Cost structure and innovation of adopting orgs ○ Skill sets likely to be valued by employers Software in the Cloud Firms using SaaS prods can lower several costs (sw licenses, IT staff, server hw, system maintenance) SaaS- an assault on traditional sw firms Most SaaS firms earn $ via usage-based pricing model similar to subscription Other SaaS firms: ○ Offer free services that are supported by ads ○ Promote sale of upgraded or premium versions for additional fees ○ Compete directly w biggest names in sw  NetSuite: ERP suite bought by oracle Workday: launched by peoplesoft for managing HR HubSpot: provides marketing sw Splunk: SaaS based analytical techniques ServiceNow: manages firms IT infrastructure Benefits of SaaS: ○ Lower Costs ○ Faster deployment times ○ Variable operating exp (bc they never buy) ○ Mitigate fin risk (reduce pmt during slow season) ○ Scalable systems ○ Higher quality and service levels (huge customer case pushes) ○ Remote access and availability ○ SaaS provider develops, tests and supports single platform Unlike SAP that provide diff versions for Windows, Linux, etc ○ Tighter feedback loop to understand why prods fail ○ Ability to instantly deploy bug fixes and prod enhancements ○ Lower distribution costs ○ Less sw piracy Risks of SaaS ○ Dependence on a single vendor ○ Concern abt long-term viability of partner firms ○ Users may be forced to migrate to new versions-possibly incurring unforeseen training costs and shifts in procedures (Traditional software do not change) ○ Reliance on a network connection that may be: Slower Less stable Less secure ○ Firm allowing employees to view data from remote locations can be vulnerable to abuse and infiltration ○ Contract or legal issues from another country ○ Limited configuration, customization, and system integration options compared to packaged sw or alts developed in-house ○ Costs might be lower in homegrown solutions ○ UI of web-based sw is less sophisticated and lacks the richness of most desktop alts ○ Ease of adoption may lead to pockets of unauthorized IT being used throughout an org PaaS, IaaS  Sometimes a firm develops its own custom sw but wants to pay someone else to run it for them- cloud offerings ○ Hw and sw exists “in the cloud” ○ Only pay for amnt of processing, storage, and telecommunications (Gartner- 80% of spend is on data maintenance) ○ Cloud vendors typically host your sw on their systems Ex of hw cloud services: ○ Salesforce.com offers Force.com Includes several cloud-supporting tools to write apps specifically tailored for web-based delivery ○ Google’s App Engine offers developers several tools- including a DB prod called Bigtable ○ MS offers Windows Azure PaaS: cloud providers offer services for customers to build their own apps on the provider’s infrastructure. Provide one complete platform (op system, DB, tools, and hosting hw) for clients to build their own apps IaaS: cloud providers offer services that include running the remote hw, storage, and networking. Client firms can choose the sw used ○ Good alt for firms that want even more control ○ Offered by a wide variety of firms including Amazon, CSC, Rackspace, HP, IBM, and VMWare Clouds in Action Cloudbursting: use of cloud computing to provide excess capacity during periods of spiking demand. Scalability solution provided as an overflow service, kicks in as needed (seamlessly shift part of workload to IBM’s cloud) Black swans: events that can not be predicted but can cause an impact. Scalable computing resources can help a firm deal w spiking impact from Black swan events Challenges Firms considering cloud computing need to do thorough fin analysis ○ System maintenance costs often include need to clean up old files or put them on tape ○ Costs can add up if unlimited data is stored in the cloud Firms should enter cloud cautiously, particularly where mission-critical systems are concerned ○ If a cloud vendor fails, you and all your eggs are in one basket, then you’re down, too Cloud firms argue their expertise translates into less downtime and failure than corp data, but no method is w out risk Clouds and Tech Ind Impact  In past, firms seeking to increase computing capacity invested heavily in expensive high-margin server hw ○ Now IBM saw server sales fall Shifting to cloud computing alters margin structure Server Farm: massive network of computer servers running software to coordinate their collective use. Provide the infrastructure backbone to SaaS, hw cloud efforts, and many large-scale internet services Cloud computing can accelerate innovation ○ Changes desired skill mix ○ Enables orgs to spend less on hw infrastructure and reinvest in strategic innov Firms need to think abt the strategic advantages that can be created Area surrounding Columbian River in Pacific NW is tailor-made for creating the kinds of massive data installations needed for cloud computing ○ Cheap land ○ Low-cost power ○ Ultrafast fiber-optic connections ○ Mild climates Google, Sun, MS, IBM, and HP have all developed rapid-deployment server farm modules MS Data Center (Server Farm) in Holland is over 27 acres + worth >$2B Virtualization Can be used to reduce an orgs hw needs Create a firms own priv cloud of scalable assets Cut energy consumption + lower carbon footprint Containers: type of virtualization that allows for shared op systems for more resource savings and faster execution Virtual Desktops: running an instance of a PC’s sw on another machine and delivering the image of what is executing to the remote device ○ Allows firms to scale, back up, secure, and upgrade systems far more easily than if they had to maintain each indiv PC VMWare owned by Dell= current leader in virtualization sw Apps Compared w packaged sw, apps lower the cost of sw distribution and maintenance Apps offer a richer UI and integrate more tightly w a device’s op system Huge firms have leveraged smartphone apps as their only or primary interface w consumers Critics say apps force consumers into smartphone walled gardens and raise consumer switching costs Make, Buy, or Rent To satisfy sw needs of companies, manager needs to consider: ○ Competitive Advantage: do we rely on unique processes or tech that create competitive advantage? ○ Security: risk? Secure + reliable? Trust prospective vendor? Policies for on-site auditing? ○ Legal and Compliance: Is firm prohibited outright from using techs? Are there specific legal and compliance requirements related to deploying our products or services? ○ Skill, Expertise, and Available Labor ○ Cost ○ Time ○ Vendor Issues- reputability, guarantee, provisions in case of failure, standards, certifications, trust Chapter 19: Information Security Info is the oil of 21st century Large data breach occurred in summer 2017 against Equifax ○ Grabbed data of 143M customers (credit card + SSNs) ○ Impacted those beyond US (400k in UK and 100k in Canada) ○ Equifax confirmed their high-profile, high impact data breach was due to exploit of vulnerabilities in OSS component, Apache Struts product Target Hack Hackers installed malware in Target’s security sys in 2013 before thanksgiving ○ Every credit card used in company’s US stores ○ 40 M credit cards stolen + additional personal info on 70M consumers exposed ○ Breach followed by firms largest ever decline in transactions, falling profits, lawsuits, and CEO’s dismissal Target had sw security from FireEye: ○ Paid $1.6M for sw ○ Warnings ignored several times - had they been listened to, firm could have prevented data theft  ○ Firms security sw has an option to automatically delete malware as detected but Target’s team turned that function off Security=Priority Firm suffering a data breach can experience direct fin loss, exposed proprietary info, court costs, damaged rep Loss of $45B in >2M cyber incidents in 2018 95% of attacks seen as preventable Annual worldwide cybercrime costs $600B/yr No text can provide 100% secure approach Determine whether firm has tech, training, and policies in place to assess risks, lessen likelihood of damage and respond in event of breach Why, who, what? Data harvesters: cybercriminals who infiltrate systems and collect data for illegal resale Cash-out Fraudsters: criminals that purchase assets from data harvesters to be used for illegal financial gain. They might buy goods using solen cc’s or false accounts Extortionist might leverage hacked data to demand payment ○ US based extortionist plot against VA threatened to reveal names, SSN, and other info stolen from medical records DB ○ Victims of French cyber-extortionist group included Domino’s, Swiss Banks, and European medical testing firm Cyberware has become legit threat Tech disruptions by terrorists are devastating 60 min news program showed by white hat hackers: ○ Key component in oil refinery force it to overheat + cause explosion ○ Taking out key components of US power grid is devastating Equip is expensive Not made in US 3-4 months to replace Stuxnet (new era of cyberwarfare) showed that w computers at heart of so many systems, its now possible to destroy critical infrastructure Twitter brought down and FB hobbled as hackers target accounts of Georgian blogger (Cyxymu- outspoken critic) Revenge by employees: San Fran city govt lost control of a large portion of its own computer network over 10-day period when an employee refused to share critical passwords Is your govt spying on you?  Govt surveillance came under scrutiny when former CIA employee and NSA contractor, Edward Snowden, gathered over 1.7M digital docs from US, British, and Australian agencies and began leaking them to the prpess ○ Disclosures revealed several US govt agencies had data-monitoring efforts far more pervasive than many realized ○ XKeyscore, allows collection of data on “nearly everything a user does on the internet” Hackers Hacker : term that may be applied to 1) someone who breaks into a computer or 2) particularly clever programmer White hat hackers: someone who uncovers computer weaknesses wout exploiting them ○ Contribute to improving system security ○ Share their knowledge in hopes security will be improved Black hat hackers: computer criminals/bad guys User and Admin Threats Bad Apples: dishonest employees who steal secrets, install malware, or hold a firm hostage Social Engineering: con games that trick employees into revealing info or performing other tasks that compromise a firm ○ Ex of methods used in social engineering: Impersonating management or staff Identifying key individuals by name or title Making claims w confidence Baiting someone to add, deny, or clarify info Using harassment or guilt Using an attractive person to charm others into getting info or access Answering bogus surveys Passwords: most users employ inefficient or insecure password systems ○ Some sites force users to change passwords regularly, but this results in compromises (ppl only make minor tweaks) ○ Building a better password: biometrics (measure and analyze human body characteristics for id or authentication), Multi-factor Authentication: when identity is proven by presenting 1+ item for proof of credentials Tech Threats Malware: seeks to compromise a computing system without permission Methods of infection: ○ Viruses: infect other sw or files  ○ Worms: programs that take advantage of security vulnerability to automatically spread. Unlike viruses, worms do not require an executable. ○ Trojans: mislead users of its true intent by disguising itself as a standard program The Encryption Prescription Deploying encryption dramatically lowers the potential damage from lost or stolen laptops, or from hw recovered from dumpster diving ○ Encryption: scrambling data using a code, thereby hiding it from those who do not have the unlocking key ○ Key: code that unlocks encryption ○ Brute-force attacks: exhausts all possible password combos to break into an acc Tips for Users Surf smart Stay vigilant Stay updated Stay armed- install full suit of sec sw Be settings smart- secure home networks and encrypt hard drives Regularly update passwords Be disposal smart Regularly back up your system Check w your admin Taking Action as an Org Follow frameworks, standards, and compliance ○ ISO27000 series provides a “model for establishing, implementing, operating, monitoring, reviewing, maintaining, and improving an IS Mgmt System” ○ Compliance Reqs: legal or professionally binding steps that must be taken