Annual global EY survey finds organizations are still unprepared for inevitable cyber attacks

- Over a third (37%) of organizations have no real-time insight on cyber risks, lacking agility. They also lack budget and skills to combat rising cybercrime

- #1 vulnerability to cybercrime revealed as careless or unaware employees, while #1 threat is the theft of financial information

- Organizations need to be in a constant state of readiness, anticipating where new threats may arise

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Oct 29, 2014, 08:01 ET

LONDON, Oct. 29, 2014 /PRNewswire/ -- Most organizations (67%) are facing rising threats in their information security risk environment, but over a third (37%) have no real-time insight on cyber risks necessary to combat these threats. This is one of the topline findings of EY's annual Global Information Security survey, Get Ahead of Cybercrime, which this year surveys 1,825 organizations in 60 countries.

Companies are lacking the agility, the budget and the skills to mitigate known vulnerabilities and successfully prepare for and address cybersecurity. Forty-three percent of respondents say that their organization's total information security budget will stay approximately the same in the coming 12 months despite increasing threats, which is only a marginal improvement to 2013 when 46% said budgets would not change.

Over half (53%) say that a lack of skilled resources is one of the main obstacles challenging their information security program and only 5% of responding companies have a threat intelligence team with dedicated analysts. These figures also represent no material difference to 2013, when 50% highlighted a lack of skilled resources and 4% said they had a threat intelligence team with dedicated analysts.

"Careless or unaware employees" is revealed as the number one vulnerability companies face, with 38% of respondents saying it is their first priority, and "outdated information security controls or architecture" and "cloud computing use" are second and third respectively (35% and 17%). "Stealing financial information," "disrupting or defacing the organization" and "stealing intellectual property or data" are the top three threats (28%, 25% and 20% respectively say it is their first priority).

This year's survey finds that organizations need to do a better job of anticipating attacks in an environment where it is no longer possible to prevent all cyber breaches, and where threats come from ever more resourceful and well-funded sources.

Paul van Kessel, EY's Global Risk Leader, says:

"Organizations will only develop a risk strategy of the future if they understand how to anticipate cybercrime. Cyber-attacks have the potential to be far-reaching – not only financially, but also in terms of brand and reputation damage, the loss of competitive advantage and regulatory non-compliance. Organizations must undertake a journey from a reactive to a proactive posture, transforming themselves from easy targets for cybercriminals into more formidable adversaries.

"Too many organizations still fall short in mastering the foundational components of cybersecurity. In addition to a lack of focus at the top of the organization and a lack of well-defined procedures and practices, too many of the organizations we surveyed reveal they do not have a security operations center. This is a major cause for concern."

The report encourages organizations to embrace cybersecurity as a core competitive capability. This requires keeping the organization in a constant state of readiness, anticipating where new threats may arise and shedding the "victim" mindset of operating in a perpetual state of anxiety. To reach this state, the report recommends:

Remaining alert to new threats: Leadership should address cyber threats/risks as a core business issue, and put in place a dynamic decision process that enables quick preventative action.
Understanding the threat landscape: Organizations should have a comprehensive, yet targeted, awareness of the wider threat landscape and how it relates to the organization, and invest in cyber threat intelligence.
Knowing your "crown jewels": There should be a common understanding across the organization of the assets that are of greatest value to the business, and how they can be prioritized and protected.
Focusing on incident and crisis response: Organizations should regularly test the organization's capabilities.
Learning and evolving: Cybersecurity forensics is a critical piece of the puzzle. Organizations should closely study data from incidents and attacks, maintain and explore new collaborative relationships and refresh their strategy regularly.

Ken Allan, EY's Global Information Security Leader, says:

"Beyond internal threats, organizations also need to think broadly about their business ecosystem and how relationships with third parties and vendors can impact their security posture. It's only by reaching an advanced stage of cybersecurity readiness that an organization can start to reap the real benefits of its cybersecurity investments. By putting the building blocks in place and ensuring that the program is able to adapt to change, companies can start to get ahead of cybercrime, adding capabilities before they are needed and preparing for threats before they arise."

For further information and to download the 2014 report, visit www.ey.com/GISS

Notes to editors

About EY

EY is a global leader in assurance, tax, transaction and advisory services. The insights and quality services we deliver help build trust and confidence in the capital markets and in economies the world over. We develop outstanding leaders who team to deliver on our promises to all of our stakeholders. In so doing, we play a critical role in building a better working world for our people, for our clients and for our communities.

EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. For more information about our organization, please visit ey.com.

This news release has been issued by EYGM Limited, a member of the global EY organization that also does not provide any services to clients.

About the report

EY's Global Information Security Survey was conducted between June and August 2014. The 1,825 respondents were from across all major industries and in 60 participating countries.

For the survey, EY invited chief information officers, chief information security officers, chief executive officers and other information security executives to take part. The majority of the survey responses were collected during face-to-face interviews. When that was not possible, the questionnaire was conducted online.

Gregor Ridley
EY Global Media Relations
+44 207 980 0597
[email protected]

SOURCE EY