The 2021 HP New Zealand IT Security Survey has found that small businesses have this year suffered double the amount of cyberattacks as in 2018. Despite growing investment in IT security in recent years, small businesses have endured additional costs associated with the attacks. The average cost for each attack has now risen to as much as $159,000. Small businesses are estimated about $41,000 per year on IT security versus $280,000 spent by midsized businesses. The survey found that 41% of SMBs had suffered a cyberattack over the last year.
According to HP New Zealand’s Enterprise Sales Leader, Mike Jamieson, though these businesses have boosted their security preparedness, the problem lies in the increasingly sophisticated attacks they now face. He pointed to increased vulnerabilities created by the need for businesses to support remote working for employees. Though remote working was helping to ensure productivity, flexibility and mobility, it was also opening up networks to new risks. About 80% of businesses now have staff working from home, drastically increasing the risk of security breaches. Internet connected devices while remote working and employee carelessness were identified as key threats. The use of outdated software and connections with unsecured devices like printers were also noted as issues of concern.
Over a third of respondents confirmed having increased their investment in cybersecurity since the pandemic. Jamieson added that besides this additional funding for IT security, businesses had also developed security policies and procedures, and boosted training in response to the growing threats. He is advocating for heightened use of endpoint security to protect networks for organisations that now operate hybrid workplaces.
This research is in line with the results of another survey conducted by Gartner on Australian and New Zealand CIOs. 73% of the CIOs surveyed verified that cybersecurity would be the biggest technology expense in 2022. Although the boosted budgets would give technology executives more flexibility in choosing where to invest, Gartner found that it was also likely to impair investment in other areas like innovation and termed it a cybersecurity tax.
The survey recommended a need for CIOs to master business composability that would better prepare them to deliver business value during periods of volatility. Business composability refers to the use of technologies, knowledge and operating capabilities in enabling businesses to innovate and adapt to the changing business demands. Gartner’s VP and Research Director, Andy Rowsell-Jones, said that composable businesses were invested in flexibility and agility, with modular structures that allow for assets to be reconfigured to suit conditions. Though they were of great value, he noted that Australian and New Zealand organisations did not as yet feel pressurised to change.
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