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  • Need to Show the Tangible Value of Cybersecurity? Here’s How
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The importance of cybersecurity in SMB’s can’t be overstated. Especially in an era dominated by digital advancements. Businesses and organisations are increasingly reliant on technology to drive operations. This makes them more susceptible to cyber threats.

66% of small businesses are concerned about cybersecurity risk. Forty-seven percent lack the understanding to protect themselves. This leaves them vulnerable to the high cost of an attack.

It can be difficult to persuade decision-makers of the benefits of cybersecurity initiatives. Protection is important, but business owners expect solid evidence to justify the costs.

In this post, we run through how to demonstrate the tangible advantages of implementing cybersecurity measures. This will enable you to advocate for more robust protection at your company and to evaluate the return on your investments.

How to Show the Monetary Benefits of Cybersecurity Measures

Measuring the monetary value of digital security measures is challenging because they often provide indirect and preventive benefits. Unlike tangible assets that can generate direct revenue, cybersecurity does not have a clear return on investment.

Successful cybersecurity measures do not generate immediate financial returns, but rather reduce potential risks. They are like insurance policies that aim to prevent or minimize the damage from breaches or data loss. However, it is hard to quantify the exact monetary value of these avoided incidents, because they are hypothetical and depend on how effective the cybersecurity measures are.

Moreover, the absence of incidents does not clearly show the economic impact of cybersecurity measures. Therefore, companies struggle to find reliable metrics that can demonstrate this value.

Here are some ways to express the tangible value of successful cybersecurity measures.

1. Quantifying Risk Reduction

A powerful way to demonstrate the importance of cybersecurity is to measure how much it reduces risk. Cybersecurity initiatives aim to protect companies from possible threats. By using historical data and threat intelligence, organisations can show tangible proof of how they have lowered the chances and consequences of incidents.

2. Measuring Incident Response Time

A swift response to a cyber incident can minimize the damage. Metrics that show the incident response time can be a key indicator. They can measure the effectiveness of cybersecurity efforts.

It’s also possible to estimate the costs of downtime. And then relate them to the reduction in the time needed to detect and respond to a security incident. This shows the potential savings from faster response.

According to Pingdom, the average cost of downtime is:

Up to $427 per minute (Small Business)
Up to $16,000 per minute (Large Business)

3. Financial Impact Analysis

Cybersecurity incidents can have significant financial implications. Businesses can quantify the potential losses averted due to cybersecurity measures. Businesses do this by conducting a thorough financial impact analysis.

This can include costs associated:

  • Downtime
  • Data breaches
  • Legal consequences
  • Reputational damage

4. Monitoring Compliance Metrics

Many industries have regulatory requirements for data protection and cybersecurity. Demonstrating compliance with these regulations avoids legal consequences. It also showcases a commitment to safeguarding sensitive information. Track and report on compliance metrics. This can be another tangible way to exhibit the value of cybersecurity initiatives.

5. Employee Training Effectiveness

Human error remains a significant factor in cybersecurity incidents. Use metrics related to the effectiveness of employee training programs. This can shed light on how well the company has prepared its workforce. Prepared it to recognize and respond to potential threats. A well-trained workforce contributes directly to the company’s cybersecurity defences.

6. User Awareness Metrics

Beyond training effectiveness, there are user awareness metrics. These gauge how well employees understand and adhere to cybersecurity policies. Use metrics such as the number of reported phishing attempts. As well as password changes and adherence to security protocols. These metrics provide insights into the human element of cybersecurity.

7. Technology ROI

Investing in advanced cybersecurity technologies is a common practice. Showcasing the return on investment (ROI) can be a powerful way to show value. Use metrics that assess the effectiveness of security technologies. Specifically, in preventing or mitigating incidents. Such as the number of blocked threats. This can highlight the tangible benefits.

8. Data Protection Metrics

For organisations handling sensitive data, metrics related to data protection are paramount. This includes monitoring the number of data breaches prevented. As well as data loss incidents and the efficacy of encryption measures. Show a strong track record in protecting sensitive information. This adds tangible value to cybersecurity initiatives.

9. Vendor Risk Management Metrics

Many organisations rely on third-party vendors for various services. Assessing and managing the cybersecurity risks associated with these vendors is crucial. Metrics related to vendor risk management showcase a comprehensive approach to cybersecurity. Such as the number of security assessments conducted. Or improvements in vendor security postures.

Schedule a Cybersecurity Assessment Today

Demonstrating the tangible value of cybersecurity starts with an assessment. One that uncovers the status of your current security measures. Knowledge is power when fostering a culture of security and resilience.

Give us a call today on 02 4228 2000 or click here to schedule a chat.