Cyber Security: An Opportunity Cost


Cyber security is often viewed simply as a cost, rather than an opportunity cost. Since the start of the pandemic, dialogue on cyber security has increased, however, common misperceptions exist and haven’t been dispelled. Amidst the confusion many SME’s have hoped their current systems and processes provide enough protection.

Where business leaders do grasp the scale of the threat, they are usually severely constrained by resources and expertise. Enterprises typically have advanced capabilities and systems keeping them safe, while SME’s are relatively unprotected.[1]

Vulnerability is not simply a cost; however, it is also an opportunity cost. Customers and clients need to trust their data is protected by companies they buy from, vulnerable websites that perform poorly drive customers away, and excellent cyber security sets the stage for seamlessly adopting new software and platforms.

The cost of cybercrime

In 2019, hackers using ransomware to lock files of SMEs, on average demanded £4,500 to unblock these files. However, this is only the beginning of the costs, which ballooned to £107,000 once downtime is factored in.[2]

While the short-term costs are eye-watering, the long terms costs pile up damaging relationships with customers, suppliers, and partners. High profile hacks of LinkedIn, Yahoo!, and Marriot International exposed personal data of hundreds of millions of customer and damaged these brands and the trust placed in them. SMEs can face the same issues on a smaller scale, where business partners and customers lose trust, or sensitive commercial data is exposed.

Don’t lose your head in the cloud

The pandemic has forced many businesses to rethink their routes to market and operating models, though, as we know, many of these changes were happening already. Businesses have had to find new ways of reaching customers and many turned to e-commerce, either expanding their online offering or creating a new sales channel. Managing partner relations has become increasingly digitised, as businesses move to sophisticated cloud-based partner relationship management (PRM) tools. On the operational side, as businesses look to offer remote and hybrid roles, employees must be able to access data and systems remotely, which again often means using cloud-based products and having remote access to networks.

All these platforms, tools and systems add scalability, new experiences, and powerful data management capabilities, and they are necessary to remaining a competitive business. However, they also fundamentally change the way SMEs need to approach cyber security.

Physical security, while still important, must be augmented by cyber security, as data and infrastructure move to the cloud.

What can SMEs do about it?

Avast Senior Security Architect Rob Krug says SMEs “should [firstly] take threats seriously and dispel any notion that SMEs are not on the hackers’ radar. Secondly, they should start adopting robust, scalable defensive capabilities that can manage the associated risks of changing working practices and ways of doing business.”[3]

The best way to protect yourself against cybercrime is to exercise sensible digital habits. Here are some common-sense browsing habits that will help you defend yourself daily:

  • Be wary of emails with sketchy links or attachments you didn’t expect.
  • Don’t download anything from unknown sources.
  • Check to make sure you’re on a legitimate website before entering any personal info.
  • Always apply software updates immediately (they fix security vulnerabilities).
  • Don’t use unencrypted public Wi-Fi (in coffee shops, airports, etc.) without a VPN.
  • Use strong, unique passwords — don’t reuse the same password across multiple accounts.
  • Use two-factor authentication whenever possible.
  • Boost your router security to protect your home network.

In addition to the common-sense tips mentioned above, the strongest line of defence against cybercrime is using a robust antivirus program. Most cybercrime uses some form of malware or another, which can infect your computer, pilfer through your personal data in search of info for identity theft, and lock up your files and demand money for their release.

When thinking about cyber security, SMEs need to recognise not only the cost of poor security, but the opportunity cost as well. Excellent cyber security will help create a platform for growth, allowing businesses to confidently add or expand online offerings, staff to work remotely and will create trust with clients and customers.

About Avast Business: Avast Business delivers easy-to-use, affordable, and award-winning cybersecurity solutions for small and growing businesses. Avast provides integrated security services to protect your devices, data, applications, and networks. Backed by 30 years of innovation, we have one of the largest, most globally dispersed threat detection networks in the world. Our cybersecurity solutions are built to provide maximum protection so that you can worry less about cyberthreats and focus more on growing your business offer maximum protection businesses can count on.

About Where Now Consulting Ltd: Where Now Consulting is a management consulting company that focuses on helping its clients to grow and compete. The company offers a range of consulting services, including business turnaround and performance improvement, formulating market entry strategies, mergers and acquisitions, joint ventures and alliances, and sales and distribution strategy and management.

[1] “5 cybersecurity issues SMBs should tackle to stay safe and how MSPs can help”. Avast Business& IDG Connect Whitepaper  https://www.avast.com/en-gb/business/resources#pc

[2] https://www.secureworld.io/industry-news/ransomware-hackers-raising-prices

[3] “5 cybersecurity issues SMBs should tackle to stay safe and how MSPs can help”. Avast Business& IDG Connect Whitepaper  https://www.avast.com/en-gb/business/resources#pc

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