It is no secret that business risks come in all shapes and sizes. Risks are everywhere, from a company’s business data to business information systems. With 60% of companies going out of business due to unaddressed network risks and cyberattacks, security should always be a top priority.
But what is the best way to reduce these kinds of risks? The answer is performing an IT risk assessment. IT risk assessments can help your company identify internal and external risks before they happen.
If you want to protect your business data and reduce risks, here is what you need to know about an IT risk assessment.
What Is an IT Risk Assessment?
An IT risk assessment is a process where businesses identify, check, and rank risks. Risks are determined based on an organization’s current security position.
Risk assessments also help map out the threat landscape. Once identified, risks are then evaluated based on their likelihood and potential impact. From there, IT prioritizes the chances of a risk based on the severity of its potential impact.
What Is The Purpose of an IT Risk Assessment?
Risk assessments are essential. They provide businesses with a roadmap for improving their security. Companies can make more informed decisions with risk assessments. This is because there will be data about where to divide your resources.
Security can be improved if you know how to use your resources correctly. This is one of the best ways to mitigate the most significant threats.
Another purpose for risk assessments is to identify and prioritize risks. Risk assessments can help you identify where your systems are vulnerable. This will help your team make plans for mitigating those vulnerabilities.
Risks could potentially impact the achievements and objectives of your business. Risk Assessments can help pinpoint business risks as well.
There are risk indicators that you should be aware of. They will help in the process of conducting an IT risk assessment. For instance, where is your company most at risk? Is it operational or technological?
Operational risk can arise daily due to a security breach of business data. Leadership changes, poor internal controls of processes, and internal inefficiencies increase risks.
Technological risk indicators are system failures or other malfunctions. Either way, IT risks assessments can pinpoint risk indicators.
How Are IT Risk Assessments Conducted?
The first step in risk assessment is to identify the assets that need protection. These assets include business information, business data, networks, and individual computer systems. Once you choose the assets, the next step is to determine the value of those assets.
This step is vital because it will help to determine the potential impact if those assets were compromised or lost. After the assets have been identified and valued, the next step is identifying the threats. You want to consider everything that could potentially compromise those assets.
These threats can come from various sources. For example, external attackers or malicious insiders can compromise assets.
You must also consider errors and omissions. There is the possibility of equipment or system failures. The threat can be environmental hazards too.
Ranking the threat according to likelihood is of equal importance. Once this is completed, you want to begin planning. You want to develop mitigation strategies right away.
Reducing the likelihood or severity of any threat is valuable for your business.
Of the mitigation strategies most used, there are a few different techniques.
For starters, you want to put in place security controls. Increasing employee security awareness or investing in redundant systems or components works too. An essential fact about redundant solutions is that they are usually easier to implement, less expensive, and easier to manage.
This can be an added benefit to protecting your company assets. After the mitigation strategies have been developed, they must be implemented. You should also be regularly testing them to ensure they are effective.
How Often Should an IT Risk Assessment Be Completed?
Typically companies perform one at least once every 12 months. In today’s risk-prone world, this is the bare minimum. It’s a good rule of thumb to do ongoing risk assessments. It can help diagnose significant hazards and weak points early.
Finding a Company That Performs IT Risk Assessments
Sometimes, you want to hire a third-party company to complete your IT risk assessments. If you have never done an IT risk assessment, it can be an excellent choice to go this route.
If your company is small and a risk assessment will use many vital resources, you should outsource this
When searching for a company that performs business risk assessments, you want to check their credentials first.
How long have they been in business? How many risk assessments have they performed? What risks were the able to prevent?
Answering questions such as these will help you in your decision. Another thing to consider when looking for a company is its reviews. A company that has significant social proof is a good indication of quality.
You also want a responsive company that knows how to help businesses of all sizes. You want a company that has the potential to grow with you until you can perform the assessments in-house. Following these simple tips can help you find the right company.
Have You Conducted an IT Risk Assessment?
An IT risk assessment is an essential process. All businesses should undergo one regularly. It helps you make informed decisions about where to divide your resources.
You can learn ways to mitigate the most significant threats. Risk assessments help you identify and rank risks. They can also help you identify potential vulnerabilities in your system. Finally, risk assessments make it easier to mitigate those vulnerabilities.
Your business security is vital. Let our dedicated team help you identify business risks before it’s too late. Reach out to our team to get started today!