TMI2053-SEM2-2023-24- LU6 Securing IS.pdf

TMI2053 Information Systems in Organisations Learning Unit 6: Securing Information Systems  Learning Objectives Why are information systems vulnerable to destruction, error, and abuse? What is the business value of security and control? What are the...

TMI2053 Information Systems in Organisations Learning Unit 6: Securing Information Systems  Learning Objectives Why are information systems vulnerable to destruction, error, and abuse? What is the business value of security and control? What are the components of an organizational framework for security and control? What are the important tools and technologies for safeguarding information resources?  MiniDuke Exposes EU Cybersecurity Gaps Problem Security breach infects government computers in over 20 European countries Leak of geopolitical intelligence Fragmented approach to cybersecurity in the EU leads to disjointed and disparate policies, and unequal levels of protection.  MiniDuke Exposes EU Cybersecurity Gaps ENISA urged implementation of a common cybersecurity strategy but EC3 has not been able to stipulate a clear definition for cyber security. Illustrates: Lack of a centralized and cohesive approach to cybersecurity Demonstrates: Need for updating security policies continuously and convincing member nations to participate in a consistent, common cybersecurity strategy. MiniDuke Exposes EU Cybersecurity Gaps  Why Are Information Systems Vulnerable? An unprotected computer connected to Internet may be disabled within seconds Policies, procedures, and technical measures used to prevent unauthorized access, alteration, theft, or physical Security damage to information systems Methods, policies, and organizational procedures that ensure safety of organization’s assets; accuracy and reliability of its accounting records; and operational Controls adherence to management standards  Why Systems Are Vulnerable? Breakdowns, configuration errors, Hardware problems damage from improper use or crime Programming errors, installation errors, Software problems unauthorized changes Disasters Power failures, flood, fires and so on Use of networks, Domestic or offshore outsourcing vendors computers outside of firm’s control Mobile devices  Contemporary Security Challenges and Vulnerabilities The architecture of a Web-based application typically includes a Web client, a server, and corporate information systems linked to databases. Each of these components presents security challenges and vulnerabilities. Floods, fires, power failures, and other electrical problems can cause disruptions at any point in the network.  Why Are Information Systems Vulnerable? Internet vulnerabilities Network open to anyone Size of Internet means abuses can have wide impact Use of fixed Internet addresses with permanent connections to Internet eases identification by hackers E-mail attachments, file downloading and sharing E-mail used for transmitting trade secrets IM messages lack security, can be easily intercepted  Why Are Information Systems Vulnerable? Wireless security challenges Radio frequency bands easy to scan SSIDs (service set identifiers) Identify access points. Broadcast multiple times. War driving Eavesdroppers drive by buildings and try to intercept network traffic With access to SSID, has access to network’s resources Rogue access points  Wi-Fi Security Challenges Many Wi-Fi networks can be penetrated easily by intruders using sniffer programs to obtain an address to access the resources of a network without authorization  Why Are Information Systems Vulnerable? Malicious Software: Viruses, Worms, Trojan Horses, and Spyware Viruses Malware Rogue software program that attaches itself to other software programs or data files in order to be executed Worms Independent computer programs that copy themselves from one computer to other computers over a network Trojan horses Software program that appears to be benign but then does something other than expected.  Why Are Information Systems Vulnerable? Malicious Software: Viruses, Worms, Trojan Horses, and Spyware In an SQL injection SQL injection attacks Spyware Small programs Record every Key loggers attack, malicious install themselves keystroke on code is entered into surreptitiously on computer to steal the database by one computers to serial numbers, or several users monitor user Web passwords, launch filling out typical surfing activity and Internet attacks online forms with serve up the intent of taking advertising over the database and downloading data to hacker Web sites  Why Are Information Systems Vulnerable? Hackers and Computer Crime Hackers versus Crackers Activities include: System intrusion Theft of goods and services System damage Cybervandalism — Intentional disruption, defacement, destruction of Web site or corporate information system  Why Are Information Systems Vulnerable? Hackers and Computer Crime Spoofing Misrepresenting oneself by using fake e-mail addresses or masquerading as someone else Redirecting Web link to address different from intended one, with site masquerading as intended destination Sniffer Eavesdropping program that monitors information traveling over network Enables hackers to steal proprietary information such as e-mail, company files, and so on  Why Are Information Systems Vulnerable? Hackers and Computer Crime Denial-of-service attacks (DoS) Flooding server with thousands of false requests to crash the network. Distributed denial-of-service attacks (DDoS) Use of numerous computers to launch a DoS Botnets Networks of “zombie” PCs infiltrated by bot malware  Why Are Information Systems Vulnerable? Hackers and Computer Crime Computer Crime Any violations of criminal law that involve a knowledge of computer technology for their perpetration, investigation, or prosecution Computer may be target of crime: Breaching confidentiality of protected computerized data Accessing a computer system without authority Computer may be instrument of crime: Theft of trade secrets Using e-mail for threats or harassment  Why Are Information Systems Vulnerable? Hackers and Computer Crime Types of Computer Crime Identity theft Phishing Evil twins Theft of personal Setting up fake Web Wireless information (social sites or sending e-mail networks that security id, messages that look pretend to driver’s license, or like legitimate offer credit card businesses to ask trustworthy Wi- numbers) to users for confidential Fi connections impersonate personal data to the Internet someone else  Why Are Information Systems Vulnerable? Hackers and Computer Crime Types of Computer Crime Pharming Click fraud Global threats Redirects users to a Fraudulent Cyberterrorism bogus Web page, even clicks on online Cyberwarfare when individual types ads correct Web page address into his or her browser  Why Are Information Systems Vulnerable? Internal Threats: Employees Security threats often originate inside an organization. Inside knowledge Sloppy security procedures User lack of knowledge Social engineering: Tricking employees into revealing their passwords by pretending to be legitimate members of the company in need of information  Why Are Information Systems Vulnerable? Software Vulnerability Commercial software Zero-day Vulnerabilities contains flaws that create Can’t protect against malware security vulnerabilities you don’t know about Hidden bugs (program code Surprise: there’s new malware defects) everyday Zero defects cannot be achieved Anti-malware and virus because complete testing is not programs always behind possible with large programs Flaws can open networks to intruders  Why Are Information Systems Vulnerable? Patches: Small pieces of software to repair flaws released by vendors However, amount of software in use, and shear number of malware programs, can mean exploits are created faster than patches can be released Large number of software applications Disparate operating systems Poor management of patches  What is the Business Value of Security and Control? Failed computer systems can lead to significant or total loss of business function. Firms now more vulnerable than ever. A security breach may cut into firm’s market value almost immediately. Inadequate security and controls also bring forth issues of liability.  Business Value of Security and Control: Legal and Regulatory Requirements for Electronic Records Management Firms face new legal obligations for the retention and storage of electronic records as well as for privacy protection HIPAA: medical security and privacy rules and procedures Gramm-Leach-Bliley Act: requires financial institutions to ensure the security and confidentiality of customer data Sarbanes-Oxley Act: imposes responsibility on companies and their management to safeguard the accuracy and integrity of financial information that is used internally and released externally Malaysian Cyber Law context Source: https://www.mcmc.gov.my/ho me  Business Value of Security and Control: Electronic Evidence and Computer Forensics Evidence for white collar crimes often found in digital form Data stored on computer devices, e-mail, instant messages, e- commerce transactions Proper control of data can save time, money when responding to legal discovery request Computer Forensics Scientific collection, examination, authentication, preservation, and analysis of data from computer storage media for use as evidence in court of law Includes recovery of ambient and hidden data  What are the components of an organizational framework for security and control? Information systems controls Controls are methods, policies, and organizational procedures that ensure safety of organization’s assets; accuracy and reliability of its accounting records; and operational adherence to management standards. There are two main types of controls, General controls Application controls  Components of an Organizational Framework For Security and Control Types of general controls General controls Software controls Govern design, security, and use of Hardware controls computer programs and security of Computer operations data files in general throughout controls organization’s information technology infrastructure. Data security controls Apply to all computerized Implementation controls applications. Administrative controls Combination of hardware, software, and manual procedures to create overall control environment. Components of an Organizational Framework for Security and Control Specific controls unique to each computerized application, such as payroll or order processing. Application Include both automated and manual controls procedures. Ensure that only authorized data are completely and accurately processed by that application.  Components of an Organizational Framework for Security and Control Application controls includes: Input controls Output controls Check data for accuracy and Processing controls completeness when they Ensure that the results of Establish that data are enter the system. There are complete and accurate computer processing are specific input controls for accurate, complete, and during updating. input authorization, data properly distributed. conversion, data editing, and error handling.  Components of an Organizational Framework for Security and Control Risk assessment Determines level of risk to firm if specific activity or process is not properly controlled Types of threat Probability of occurrence during year Potential losses, value of threat Expected annual loss EXPOSURE PROBABILITY LOSS RANGE EXPECTED ANNUAL LOSS Power failure 30% $5K - $200K $30,750 Embezzlement 5% $1K - $50K $1,275 User error 98% $200 - $40K $19,698  Components of an Organizational Framework for Security and Control Security policy Ranks information risks Identifies acceptable security goals Identifies mechanisms for achieving these goals Drives other policies Acceptable Use Policy (AUP) Authorization policies Provisions for identity management  Components of an Organizational Framework for Security and Control Identity management Business process and technologies for identifying valid users of system Creates different levels or roles of system user and access Allows each user access only to those portions of system that user role  Security Profiles for a Personnel System These two examples represent two security profiles or data security patterns that might be found in a personnel system. Depending on the security profile, a user would have certain restrictions on access to various systems, locations, or data in an organization.  Components of an Organizational Framework for Security and Control Disaster Recovery Planning and Business Continuity Planning Disaster Recovery Planning: Devises plans for restoration of disrupted services Business Continuity Planning: Focuses on restoring business operations after disaster Both types of plans needed to identify firm’s most critical systems Business impact analysis to determine impact of an outage Management must determine which systems restored first  Components of an Organizational Framework for Security and Control The Role of Auditing: MIS Audit Examines firm’s overall Lists and May even security Reviews ranks all simulate Assesses environment technologies, control disaster to test financial and as well as procedures, weaknesses response of organizational controls documentation, and estimates technology, IS impact of governing training, and probability of staff, other each threat individual personnel their employees information occurrence. systems  Sample Auditor’s List of Control Weaknesses This chart is a sample page from a list of control weaknesses that an auditor might find in a loan system in a local commercial bank. This form helps auditors record and evaluate control weaknesses and shows the results of discussing those weaknesses with management, as well as any corrective actions taken by management.  Identity Management What are the most and Firewalls, Authenticatio important tools and Ensuring n Intrusion Detection technologies for Software Systems & Quality Antivirus safeguarding Software information resources? Most important Security tools and Issues for Securing technologies for the Mobile Wireless Digital safeguarding Networks Platform information resources Security Encryption & Issues for Public Key Cloud Infrastructur Computing e Ensuring System Availability  Identity Management and Authentication Definition: ability to know that a person is who he or she claims to be Password systems Tokens Smart cards Authentication Biometric authentication Fingerprints, irises, voices What you know? What you have? What you are?  Firewalls, Intrusion Detection Systems, and Antivirus Software Combination of hardware and software that prevents unauthorized access to network Technologies include: Packet filtering Stateful inspection Firewall Network address translation (NAT) Application proxy filtering  A Corporate Firewall The firewall is placed between the firm’s private network and the public Internet or another distrusted network to protect against unauthorized traffic. Firewalls, Intrusion Detection Systems, and Antivirus Software Monitor hot spots Examine events Intrusion on corporate as they are detection networks to happening to detect and deter discover attacks systems intruders. in progress. Check computers Antivirus and for presence of Require continual antispyware malware and can updating. often eliminate it software as well. Unified Threat Management (UTM) systems  Securing Wireless Networks WEP security can be improved: Activating it Assigning unique name to network’s SSID Using it with VPN technology Wi-Fi Alliance finalized WPA2 specification, replacing WEP with stronger standards Continually changing keys Encrypted authentication system with central server  Encryption and Public Key Infrastructure Encryption: Transforming text or data into cipher text that cannot be read by unintended recipients Two methods for encryption on networks Secure Sockets Layer (SSL) and successor Transport Layer Security (TLS) Secure Hypertext Transfer Protocol (S-HTTP) Encryption and Public Key Infrastructure Two Methods of Encryption Symmetric key encryption Sender and receiver use single, shared key Public key encryption Uses two, mathematically related keys: public key and private key Sender encrypts message with recipient’s public key Recipient decrypts with private key  Public Key Encryption A public key encryption system can be viewed as a series of public and private keys that lock data when they are transmitted and unlock the data when they are received. The sender locates the recipient’s public key in a directory and uses it to encrypt a message. The message is sent in encrypted form over the Internet or a private network. When the encrypted message arrives, the recipient uses his or her private key to decrypt the data and read the message. Encryption and Public Key Infrastructure Digital certificate Data file used to establish the identity of users and electronic assets for protection of online transactions Uses certification authority (CA) to validate a user’s identity CA verifies user’s identity, stores information in CA server, which generates encrypted digital certificate containing owner ID information and copy of owner’s public key Public Key Infrastructure (PKI) Use of public key cryptography working with certificate authority Widely used in e-commerce  Digital Certificates Digital certificates help establish the identity of people or electronic assets. They protect online transactions by providing secure, encrypted, online communication.  Ensuring System Availability Online transaction processing requires 100 percent availability, no downtime. For continuous availability, e.g., stock markets Contain redundant hardware, software, and power Fault-tolerant supply components that create an environment that computer systems provides continuous, uninterrupted service Helps recover quickly from crash High- Minimizes, does not eliminate, downtime availability computing  Ensuring System Availability Designing systems that recover quickly with Recovery- capabilities to help operators pinpoint and correct oriented faults in multicomponent systems computing Deep Packet Inspection (DPI): (video and music Controlling blocking) network traffic Managed security service providers (MSSPs) Security outsourcing  Security Issues for Cloud Computing Cloud computing Highly distributed computing, difficult to track unauthorized activities Cloud users should ask for proof of security and privacy procedures, including encryption Service level agreements (SLAs)  Security Issues for the Mobile Digital Platform Mobile platforms Mobile device management tools for authorization and inventory Data loss prevention technology Mobile security policies: platform, software, procedures, security products Encryption BYOD Mobile protective software products  Ensuring Software Quality Software Metrics: objective assessments of system in form of quantified measurements, e.g.: Number of transactions Online response time Payroll checks printed per hour Known bugs per hundred lines of code Early and regular testing Walkthrough: review of specification or design document by small group of qualified people Debugging: process by which errors are eliminated  References Laudon, K. & Laudon, J. (2015). Essentials of MIS, Global Edition (11th ed.). England: Pearson Education Limited.