How the Lack of a Strong Cybersecurity Strategy can Impact an Organization
Cybersecurity is not an agenda item for business leaders to push off to next year’s planning meeting. As more firms move to a virtual work environment, they rely on their online networks to keep business moving forward. That’s why protecting your data is more important than ever. Without an effective cyber protection strategy against hackers and other bad actors, a firm could lose everything: profits, customers, employees, reputation and ability to recover.
The financial blow can be staggering. The average cost of a malware attack in 2021 will be $2.6 million, according to a recent report from Accenture. And that’s only one type of cyber attack. IBM reports that the average cost of a data breach in the U.S. in 2020 was $3.86 million and took firms on average 280 days to detect and contain. Cybercrime Magazine expects overall global cybercrime to cost the world $10.5 trillion USD annually by 2025. Cybercrime Magazine also reports 60 percent of small companies have to close within 6 months of suffering a cyber attack.
Even if a firm suffers a cyber attack and manages to recover, it can still face a public relations nightmare as it tries to rebuild trust with its customers and clients. Recent research from Price Waterhouse Cooper shows cyber attacks are a leading source of reputational damage.
Stats such as these highlight why business leaders should make their firm’s cybersecurity strategy front and center in all major business decisions. If not, this lack can have major implications for a firm:
- Cyber attacks can bankrupt an organization and result in legal trouble
- Data breaches can cause mistrust with customers, and
- Successful attacks can affect business continuity.