IT security is an increasingly important part of business safety. Cyber threats are becoming more frequent, from simple scams via email and Facebook to something more cynical and complex. Your business is always under threat. But while there are plenty of articles telling you cyber security is important, there’s very little explaining the consequences of a cyber breach and how these can impact your business in both the short and long term. We’ll attempt to do this further down the blog.
Until then, let us introduce you to cyber security.
Cyber Security Basics
It’s true that those who don’t know much about cyber security are unlikely to know the correct protocol. Smaller businesses are easy targets because they have less money to invest in their digital security. They’re also less likely to challenge suspicious activity, which makes scamming easier, and maintaining IT security harder.
Most people will be familiar with the scam of direct messages being sent to an email address. These emails are often requesting confidential details or asking you to click a link that is suspicious. But there are cyber criminals that can access your banking and accounts and threaten business systems. In every business there is information that is confidential – these cyber security threats can find this information and hold it against you.
Cyber Security in Law
There are a number of laws associated with cyber security. These impact your business, but some will be focused on the requirements of your business to keep your data safe. Knowing these can help educate you on your responsibilities as a business owner.
UK Data Protection Act 2018
The UK Data Protection Act is the main piece of legislation that protects people in the U.K. from data misuse. It operates as a best practice for organisations across the country, and ensures that the principles of data protection are always followed. The basis of these rules is that data obtained should be used fairly and lawfully, with it only kept for as long as genuinely necessary.
Having someone that is in control of your businesses data protection processes is usually necessary. This is the foundation of exactly why your IT security processes are important.
UK GDPR
UK GDPR is another similar IT security legislation in the same vein as the data protection act. GDPR is mostly focused on managing risk and ensuring the right steps and appropriate action is taken to keep people’s data and company data safe. The key level of ownership of the data and responsibility is put on the companies. If they are investigated for a potential breach, it will be for the defending party to prove their compliance.
Networks and Information Systems Directive
The Networks and Information Systems Directive is a regulation that is aimed at raising the level of knowledge of cyber security and digital resilience across the UK. While this is seen as an important framework, it is mainly viewed as a directive for essential services. The main aim, as addressed on their website here is to “improve the functioning of the digital economy”. It’s important to understand that this is not a law in itself, more a way for essential businesses to focus and understand their own responsibilities.
Computer Misuse Act 1990
The basis of this act is simple. This act makes it illegal for anyone to assume access of a computer or digital device without permission of the owner. This also includes making changes to any files or other software. This act is the foundation of all data protection laws that followed. Brought in as the digital boom of the 1990s began, this is an over-arching law that protects all digital appliances and gives the owners of these machines extra legal help in the event of theft.
Consequences of a Cyber Breach
There are plenty of consequences to allowing a cyber breach to happen on your watch. We’ve listed just a few of the consequences of a cyber breach.
Fines
This is one of the more obvious consequences. But if you’re found to have allowed a cyber-attack and not done all you can to avoid it, you could be slapped with a hefty fine. The size of the fine depends on the seriousness of the crime. There are plenty
Jail Time
If your breach is serious enough you can find yourself in deeper water than just a fine. Jail time may be an ultimate last resort, but it’s the one option that anybody would want to avoid. And there are examples of people getting prison sentences for data breaches. There have been plenty of cases of employees being liable for data breaches which in turn also means employers are responsible too. Ensure your employees are aware of their responsibilities by training them and educating them on their responsibilities.
Reputational
Small businesses will always struggle if they get a negative reputation. And, depending on what your business actually does, it could be a bigger problem. If your business is in the legal sector, or one that deals with people’s sensitive personal data, it would be embarrassing and criminal to allow a data breach to happen. If this happens and news gets out, it would be the end of your business, regardless of any fine coming your way.
Legal Problems
This is pretty obvious but if you’re found to have allowed data to fall into the wrong hands, you’re likely to get yourself into some pretty big trouble. There could be a chance that the problems you’re encountering aren’t of your doing. If you’ve taken the correct measures to reduce risk, and can prove that, you’re likely to be safe. But when you haven’t done so, that’s when the legal problems arise.
Job Losses
Job losses are a serious consequence of a cyber security breach and can come through two ways. Firstly, if there’s one person that is responsible, they are likely to be in serious breach of their workers’ contract. If the business as a whole is deemed responsible, the fine that follows could risk many people’s jobs. The best way to prevent these two things from happening? Being prepared by educating employees and taking the right precautions against cyber-attacks and leaks.
There’s a lot of information to take in here, but the long and short of it is that you need to be aware of the dangers and consequences of poor cyber-security preparation. Spending time going through training with employees and system processes as an organisation could save you a massive headache in future.
Direct365 can’t help you with your cyber-security issues, but our range of compliance-based services stretch from fire safety to waste management and more. For further details on how we can help your business, fill out the form below. A member of our team will get back to you within 24 hours.