Information risk management is the process of identifying the ways an organization can be affected by a disruptive incident and how it can limit the damage.
It encompasses any scenario in which the confidentiality, integrity and availability of data is compromised.
As such, it’s not just cyberattacks you should worry about. Information risk management also includes threats within your organization, such as negligent or malicious employees, as well as residual risks.
For example, the framework can help you deal with misconfigured databases, software vulnerabilities, and poor security practices at third parties.
In this blog, we take a closer look at how information risk management works and how organizations can use its guidance to strengthen their security defenses.
Why is information risk management important?
Faced with ever-increasing cyber threats, it can be difficult for an organization to protect its information assets.
Last year, the World Economic Forum ranked cybercrime alongside COVID-19, climate change and the debt crisis as the biggest threats facing society over the next decade. Clearly, organizations need a plan to identify and address security risks.
With an information risk management system, organizations better understand where their information assets are located, how to protect them, and how to respond in the event of a breach.
One way to do this is to require organizations to not only identify but also assess their risks. This ensures organizations prioritize the scenarios that are most likely to occur or will cause the most damage, allowing them to make informed decisions within their security budget.
How Risk Management Works
To understand how risk management programs work, we need to take a closer look at what “risk” really is.
In an information security context, risk can be defined as the combination of a vulnerability and a threat.
As we have already discusseda vulnerability is a known flaw that can be exploited to compromise sensitive information.
These are often related to software flaws and how hackers can exploit them to do things they weren’t intended for.
They can also include physical vulnerabilities, such as inherent human weaknesses, such as our susceptibility to phishing scams or the likelihood of us losing a sensitive file.
This is different from a threat, which is defined as actions that result in information being compromised.
So, using the examples above, threats include a criminal hacker exploiting a software flaw or tricking an employee with a fake email.
When a threat meets a vulnerability, you get a risk. In the event that the hacker phishes an employee, the risk is that the attacker will gain access to the employee’s work account and steal sensitive information. This can lead to financial loss, privacy breach, reputational damage and regulatory action.
A risk management system helps organizations identify how vulnerabilities, threats, and risks intertwine. More importantly, it gives organizations the ability to determine which risks should be prioritized and identify which controls are best equipped to mitigate the risk.
Start protecting your business
At the heart of risk management is risk assessment. It is the process by which threats and vulnerabilities are identified. Organizations can use the result of the assessment to plan their next actions.
This process can be laborious, but you can simplify the task with our vsRisk risk assessment tool.
With vsRisk, you will receive simple tools specifically designed to address each part of risk assessment.
This software is:
- Easy to use. The process is as simple as selecting some options and clicking a few buttons.
- Able to generate audit reports. Documents such as the statement of applicability and the risk treatment plan can be exported, modified and shared within the company and with auditors.
- Designed for repeatability. The assessment process is performed consistently year after year (or whenever circumstances change).
- Simplified and precise. Significantly reduces the risk of human error.
We currently offer a 30 day free trial of vsRisk. Simply add the number of licenses you need to your cart and proceed to checkout.
The post office What is Information Risk Management? Definition and explanation appeared first on Vigilant Software – Compliance Software Blog.
*** This is a syndicated blog from the Security Bloggers Network of Vigilant Software – Compliance Software Blog written by Luke Irwin. Read the original post at: https://www.vigilantsoftware.co.uk/blog/what-is-information-risk-management-definition-explanation