What is the real costs of a corporate data breach? Workplace technology advancements in the past decade have enabled remote work, strengthened global enterprise and raised productivity on a massive scale.
Unfortunately, new business technology means that hackers have more avenues than ever at their disposal. Forbes forecasts large increases in cybercrime in the coming years, both in the sheer number of cyberattacks and in the sophistication of cyberattacks.
How much can these crimes cost a business, and how can businesses take advantage of new technology without risking data breaches? Smart cybersecurity strategies are integral in today’s digital business ecosystem.
How Can Large Companies Share Files Internally While Avoiding Breaches?
Many cyber criminals no longer use brute-force password systems or other high-tech techniques to access sensitive data. In many large data breach cases, a hacker only has to gain access to a few employees’ email inboxes. Digital collaboration in the workplace means that countless company files lie unprotected in nearly every inbox.
Savvy businesses must secure and protect sensitive files in emails. A secure file sharing service can dramatically increase cybersecurity by putting a barrier between the email inbox and cyber criminals. Secure file sharing is unobtrusive and can function on any device, including a phone or tablet.
These services can grant permission to view encrypted files and revoke permission once a task is complete. Hackers and phishing attempts target all levels of a company, so businesses should ensure that highly sensitive information is only available to those who are actively using it to reduce security risks. These solutions can prevent data breaches before they damage a business’s bottom line and reputation.
What Are the Costs of a Data Breach in Real Numbers?
It can be difficult to visualize the real-life costs of a corporate data breach. In some industries, a data breach can compromise customers’ credit card numbers and identity information. Breaches often require an overhaul of computer systems that take up IT departments’ time and energy for months or even years.
Leaking client information or upcoming plans to competitors can cost a business its competitive advantage and market share.
Computer industry giant IBM recently released a revolutionary report detailing the average cost of a corporate data breach. In the current climate, these breaches affect small businesses and global enterprise-level businesses alike.
The report found that the average data breach cost $4.35 million, and more concerningly, 83% of the organizations studied had weathered multiple data breaches.
Why Are Data Breaches So Common?
Outdated cybersecurity strategies fail to defend against modern threats. Rotating passwords and once-yearly training modules are no longer adequate defenses against corporate data breaches.
With increasingly sophisticated hacking and phishing techniques, these catastrophic breaches can be surprisingly difficult to avoid. Modern phishing attempts send thousands of emails to employees containing reputable-looking links and false applications to download.
Some attempts even use the name, email or image of high-level executives urging employees to engage with the message and cause a breach.
How Do Modern Cybersecurity Programs Defend Against Breaches?
Innovations in the booming cybersecurity marketplace have made headway against corporate hackers. New strategies give businesses a solid line of defense against sophisticated scams.
New Security Programs
Advanced secure file management programs can put extra barriers between email inboxes and secure information. Other programs can test a business’s attack readiness by sending out mock phishing emails.
Breach Response Teams
Breaches can be contained if caught in a timely manner. Unfortunately, most corporate data breaches are subtle enough to go unnoticed for months, prolonging damage to the company.
Large organizations should seriously consider forming a dedicated breach response team to oversee cybersecurity and routinely check for compromised information.
Updated Training Modules
Employee awareness is still one of the best defenses against cybersecurity threats. Businesses must train employees at all levels — especially executives and founders — to pause and evaluate before granting an application permissions or following an emailed link.
Teach employees how to secure files and keep them secure even with automated backups and cloud storage, which are common safeguards in many modern workplaces. Reward employees who report suspicious emails and phishing attempts to keep all employees on the lookout for attacks.
The best cybersecurity defense blends multiple strategies. Investing in software, training and a response team is a proactive way companies can reduce risk.