How To Effectively Communicate Cyber Risks To Executives
Written by: Bruno Aburto
According to CFO.com, 75% of security professionals said they have seen an uptick in attacks over the past year.
Business operations can come to a screeching halt because of a cyber attack.
When cybersecurity risks are understood by business executives, action can be taken to remediate the risks and protect the organization from cyber-attacks.
This article will explore how to effectively communicate these risks to business executives.
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Understanding The Risks
Ponemon Institute’s State of Cybersecurity Report states that 60% of organizations surveyed have experienced a cyber attack in the past 12 months.
Cyber attacks are happening so frequently that executives must manage cyber risks effectively to protect their organization financially and reputationally.
According to IBM’s Cost of a Data Breach Report 2023, the global average cost of a data breach in 2023 was USD 4.45 million.
It’s paramount that cybersecurity professionals communicate cyber risk effectively so business executives can make the best decisions for the organization.
Know Your Audience
Business executives hold unique perspectives, priorities, and concerns when it comes to cybersecurity within their organizations.
For executives, cybersecurity is not just a technical issue but a strategic enabler that directly impacts the overall business operations, reputation, and bottom line.
Their primary concern revolves around maintaining business continuity, safeguarding sensitive data, and protecting the organization's brand and reputation from cyber threats.
According to the Ponemon Institute, executives are also tasked with ensuring regulatory compliance and mitigating legal and financial risks associated with data breaches and cyber incidents.
An article by Harvard Business Review says that businesses are increasingly aware of the potential impact of cybersecurity on shareholder value, customer trust, and competitive advantage in the marketplace.
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Communicating The Risks
To effectively engage business executives on cybersecurity matters, it is essential to tailor communication strategies that resonate with their strategic objectives and business priorities.
Executives often prioritize clear and concise information that highlights the business implications of cybersecurity risks and the return on investment in security initiatives.
Communication efforts should focus on quantifying cyber risks in:
Executives value actionable insights and recommendations that enable them to make informed decisions and allocate resources effectively to mitigate cyber risks.
By speaking the language of business and demonstrating the value of cybersecurity in driving business success, organizations can foster executive buy-in, support, and engagement in cybersecurity initiatives across the enterprise.
Simplifying Complex Concepts
Another important aspect of effectively communicating cybersecurity is simplifying complex concepts.
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Not all business executives know what encryption, zero trust, or a VPN is. It’s vital that we as cybersecurity professionals explain cyber concepts in a way that all business stakeholders can understand.
This allows for everyone to be on the same page and for cyber professionals to get their point across effectively.
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An unmitigated cyber risk is like not having locks on your house.
If a criminal discovers this vulnerability, they can exploit it to steal valuable items from your home.
In the same way, not having multifactor authentication makes it easier for a hacker to figure out a username and password that will gain them access to your systems.
In a business context, this can be harmful to operations and cost the business millions of dollars to recover from.
Focus On Business Impact
Another critical part of effectively communicating cyber risk is focusing on business impact rather than technical details.
Although technical details are important, business executives want to know what impact cyber risks have on the organization.
It’s better to communicate technical details to technical stakeholders and business impact details to business executives.
Business executives tend to care more about the probability and impact of a cyber risk rather than what protocol and port need to be closed to address the cyber risk.
The potential consequences of cyber incidents include:
As mentioned earlier, the global average cost of a data breach reached USD 4.45 million in 2023. If you’re a small or mid-sized business, this figure is the difference between continuing operations or not.
Another consequence is reputational damage.
Fewer prospects are going to want to do business with a company that has a history of cyber incidents and data breaches.
For Example, in an article in the Journal of Cybersecurity, in 2014, Yahoo! Experienced the largest data breach on record.
Their handling of the incident led to a $350 million decline in the final acquisition price from Verizon Communications.
Conclusion
I encourage cybersecurity professionals to prioritize improving their communication skills.
We must invest in building strong relationships with executive leadership so that cybersecurity risks can be identified and appropriately mitigated.
When we’re able to do this, we protect our companies, our employees, and our customers. It keeps us in business, ensuring a strong company financially as well as reputationally.
I also hope that executive leadership would invest in gaining a baseline understanding of cybersecurity terminology so they can understand the impact that cyber risk can have on the organization and make well-informed decisions.
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Bruno Aburto, CISSP, CRISC
With over a decade of experience in cybersecurity, Bruno brings practical and hands-on expertise from his work with the U.S. Air Force, U.S. Space Force, and the Air Force Research Laboratory. He is the co-founder of Aburto Kinney Consulting, LLC, and a member of PurpleSec's Cybersecurity Council.