Current Issue

Cyber risks lurk beyond organizations’ walls: Report

Comments Email

By Mark A. Hofmann, Crain News Service

WASHINGTON (April 17, 2014) — Current cyber risk management does not give much consideration to “digital distant perfection.”

That is the aggregation of cyber risks that can lie far beyond an organization’s own four walls, according to a report issued April 16.

The report—“Beyond Data Breaches: Global Interconnections of Cyber Risk”—was released during a discussion at the Atlantic Council, a Washington-based think tank. It was the result of a yearlong study of the issue by the Atlantic Council and Zurich Insurance Group Ltd.

Atlantic Council President and CEO Frederick Kempe told attendees that governments and “forward-looking” organizations must take a holistic view of cyber risk. The report said that while the Internet has proved to be “incredibly resilient,” the Internet of the future may not be as resilient and robust as today. “It will also be more likely to initiate and cascade global shocks,” the report said.

The Heartbleed computer bug “really shows us how quickly cyber landscapes can change,” said Michael Kerner, CEO of general insurance at Zurich. He advised his audience to look outside their own organizations for cyber risks that need to be addressed.

The report recommended steps for organizations to take in order to be more resilient to cyber shocks. These include:

• Putting the private sector at the center of crisis management, since government management of cyber risk lacks the agility needed;

• Developing plans within organizations that have system-wide responsibility that ensure the stability of the system as a whole, rather than risks to an individual organization;

• Investing in trained teams ready to respond with defined procedures; and

• Conducting simulations of the most likely and most dangerous cyber risks to better prepare.

The report is available here.

This report appeared on the website of Crain’s Business Insurance magazine, a Chicago-based sister publication of Tire Business.

More Polls>

TB Reader Poll

Previous | Published January 16, 2018

What is the top story from tire and automotive service industry in 2017?

Icahn Automotive buys more than 225 retail and two other franchise groups with nearly 1,000 locations.
36% (44 votes)
Nokian and Triangle announce plans to build tire plants in North America, while Hankook and Giti officially open their N.A. plants.
22% (27 votes)
Love’s Travel Stops open 36 travel stops, acquire Speedco and the establish a retread business unit.
11% (13 votes)
Tire manufacturers hike prices as raw material prices fluctuate.
17% (20 votes)
K&M expands into New England by acquiring MotoStar.
4% (5 votes)
eBay Motors launches tire installation service for U.S, as well as automotive technician search service.
10% (12 votes)
Total votes: 121
More Polls »