Rapid technological advancement and rising global connectivity is reshaping the way the world is functioning. From higher productivity to improved customer satisfaction, technology has played a critical role in the growth of businesses across the world. However, the consequential bad news is that technological advancements have also made organizations increasingly vulnerable to digital risks. However, this does not mean that businesses must compromise on growth and advancement for the sake of security.
The security challenges within these digital environments can be better addressed if organizations knew how to identify these risks and incorporate preventative security measures and controls, along with proactive solutions and detailed plans, to overcome their digital vulnerabilities. Let us discuss the different types of digital risks you should be looking out for and how you can use this information to get a positive ROI.
Types of Digital Risks
Digital risks are increasing in the business world due to the rapid adoption of new disruptive technologies. These risks are seen in various industries and are more pervasive than cybersecurity risks. On a broader scale, digital risks can be classified into physical, technical and administrative risks.
The following risks are the most prevalent in today’s digital world and should be treated as top priorities for your business:
· Cybersecurity risk: Cyberattacks continue to evolve as businesses become more technology driven. Attacks like ransomware, DDoS, etc., can bring a halt to the normalcy of any business.
· Data privacy risk: As we move forward to a knowledge-based economy, data has become the most valuable commodity in the world. This has resulted in hackers targeting critical business data and misusing them for personal gains.
· Compliance risk: Businesses need to adhere to various regulations regarding data privacy, cybersecurity, organizational standards of practice, etc. Any violation can attract heavy fines and penalties for a business.
· Third-party risk: When you outsource certain services to third parties, it might compromise the security of your IT infrastructure. For instance, a software tool you develop with an external vendor may introduce some vulnerabilities to your otherwise intact digital environment.
· Resiliency risk: This concerns the ability of a business to bounce back and continue operations after an unexpected disaster.
· Risks due to human errors: In the UK, 90 percent of cyber data breaches were caused by human errors in 2019. Whether it’s falling for phishing scams or misusing work devices, human errors can be quite costly for organizations if they go unchecked.
· Automation risks: While automation is reshaping the tech industry for the better, it could also give rise to a range of risks such as compatibility risks, governance risks, etc.
· Cloud storage risks: The flexibility, ease-of-use and affordability offered by the cloud makes it one of the most popular options for backup and storage. However, the cloud is also prone to various risks such as lack of control over data, data leakage, data privacy, shared servers, etc.
Reach out to us today to perform a complete risk assessment of your digital infrastructure and help you build a resilient security posture against various threats.