Aftermath of a Breach: What to Do If Your Data is Exposed
A data breach creates the worst possible options that leave your data security broken and your company’s private information available to outsiders. As the age of the digital world begins expanding, so do the criminals and their options to make use of private data. Cybersecurity with advanced technology can easily prevent any illegal attempts by criminals. However, there are always risks, even with all the protection you have utilized to ensure the safety of your company’s information. Regardless of whether you have enhanced cybersecurity or not, what do you do if the worst-case scenario happens? In other words, what to do if your data has been breached? Panicking is a natural response to something you lose control of. To keep the risks isolated and your company less damaged, taking steps and taking back control is necessary, especially when it comes to something unforeseen like a data breach. What is a Data Breach? The definition of a data breach is when private information is taken without any authorisation by an unknown user. The worst part about a data breach is when the company employees and founders don’t recognise that their data has been exposed. You can identify suspicious activity to investigate whether or not your data is compromised. The key is to have consistent maintenance, organised reports, and monitoring. This is because you can find unnatural behaviours to identify a breach. What Data Might Be Exposed? Exposed data can be used for many illegal activities such as identity theft, ransom, and sensitive credit card information of customers. Cybercriminals can also take advantage of the trade secrets, private medical records, or financial information of the company and its members. The most dangerous part of a data breach, aside from using credit card numbers and identity theft, would be illegally stealing national security documents if the company works for government departments. Effects of Data Breach Aside from the potential stealing of documents, the aftereffects create a gap in your company’s structure that weakens it entirely. There are 4 consequences of a data breach for a company. What it does to the morale, reputation, and capital of a brand can be fatal.  Legal Penalties The biggest problem will be the legal penalties your company is liable for. Fines can lead up to billions of dollars depending on how much impact and information was stolen by the cybercriminals. The higher the risk of information taken, the higher the fines. It doesn’t just end there. Depending on the trial your company will face, your customers will also receive compensation for the loss of their private information due to the breach. An example of this would be Equifax in 2019, who experienced a breach and was fined 700 million dollars. It was a cause of uproar then, with consumers of the brand and the public outraged after learning the breach occurred for months while the company itself didn’t even notice. Loss of Employees There are also consequences of a data breach for an employee. Because of an ensuing panic and historical events, insider threats can create doubt within the company. Employees will feel the pressure of trying to prove their innocence and distrust will spread between one another. This results in an unhealthy environment wherein many employees will choose to leave the company. Hiring new employees just recently after a breach will prove difficult, adding more pressure and stress to those who stayed as they pick up the empty slacks of those who left. Damage to Brand Reputation The impact of a data breach on individuals who placed their trust in your brand and were affected can erase all trust built up. If a person learns that their disclosed information has been leaked and used maliciously, it is only natural that said person would lose faith in the company that promised to safeguard their information. The damages to your brand’s reputation will be severe if not handled properly. If the criminals manage to get the information of numerous individuals, there is a certain guarantee that the breach itself will reach the public. This creates an image of dubious security for your brand. Such negative effects on a brand’s reputation can cause loss of customers and employees. Potential customers will also lose interest in even inquiring about your brand for fear of its flimsy security. Revenue Loss Regardless of whether or not your company handled the breach well, revenue loss is to be expected. Locking in and resolving the breach, facing any potential penalties, and all the other risk mitigation instructions will still require a stop to specific functions of your business. By doing so the company either proceeds slowly in processing their business or halts it altogether until the matter is resolved. In worst-case scenarios, uncoordinated solving of a breach can create giant losses in revenue and even higher debt in terms of penalties and compensations. Steps to Take After a Data Breach In the digital age, there will always be cyber threats. While cybersecurity helps a company protect itself, many tend to overlook what a company should do after a data breach. Listed below are preparations to protect yourself and your company should enhanced cybersecurity still fail. Create and Implement an Incident Response Plan The first step after a data breach is to follow an incident response plan (IRP). Creating an incident response plan and briefing the employees on what to do in such cases can make collaboration to prevent more damage from a breach. Incident response plans vary depending on what companies decide or prioritise. However, it is necessary to alert cybersecurity specialists and IT teams immediately to find a solution together. Furthermore, alerting all employees and announcing the breach may induce panic without a proper meeting that teaches them what to do and what not to do. Isolate Breach Location Now that you have all the staff prepared and taking the necessary steps to mitigate the damage of the data breach, it’s time to isolate it. Thanks to the help of your IT
Aftermath of a Breach: What to Do If Your Data is Exposed Read More »
