Friday, October 30, 2015

Week 9- "Risk Management: Assessing and Controlling Risk"

Week 9
October 29, 2015
Risk Management: Assessing and Controlling Risk

This week we discussed about risk management and risk control strategies.
Lets talk about some security mistakes we do in our everyday work.
·             The not-so-subtle Post-it Note. Yes, those sticky yellow things can undo the most elaborate security measures.
·             Leaving unattended computers on
·             Opening Email form strangers “I Love You Virus”
·             Poor password selection. A good example is: "I pledge allegiance to the flag" becomes "ipa2tf."
·             Laptops have legs. Physical security
·             Loose lips sink ships. People talk about passwords
·             Plug and Play (technology that enables hardware devices to be installed and configured without the protection)
·             Unreported security violations
·             Behind the times in terms of patches
·             Not watching for dangers within your own organization.
So, to keep up with the competition, organizations must design and create a safe environment in which business processes and procedures can function. This environment must maintain confidentiality and privacy and assure the integrity and availability of organizational data. These objectives are met via the application of the principles of risk management.
Once ranked vulnerability risk worksheet complete, must choose one of four strategies to control each risk:
1.    Apply safeguards (avoidance)
    Avoidance is accomplished through:
·    Application of policy
·    Application of training and education
·    Countering threats
·    Implementation of technical security controls and safeguards
2.    Transfer the risk (transference)
This may be accomplished by rethinking how services are offered, revising deployment models, outsourcing to other organizations, purchasing insurance, or by implementing service contracts with providers.
3.    Reduce impact (mitigation)
Mitigation is the control approach that attempts to reduce, by means of planning and preparation, the damage caused by the exploitation of vulnerability.
This approach includes three types of plans:
                               i.                    The disaster recovery plan (DRP),
                              ii.                    Incident response plan (IRP), and
                            iii.                    Business continuity plan (BCP).
Mitigation depends upon the ability to detect and respond to an attack as quickly as possible.
4. Understand consequences and accept risk (acceptance)
This control, or lack of control, assumes that it may be a prudent business decision to examine the alternatives and conclude that the cost of protecting an asset does not justify the security expenditure.
    The only valid use of the acceptance strategy occurs when the organization has:
§     Determined the level of risk to the information asset
§     Assessed the probability of attack and the likelihood of a successful exploitation of a vulnerability
§     Approximated the ARO of the exploit
§     Estimated the potential loss from attacks
§     Performed a thorough cost benefit analysis
§     Evaluated controls using each appropriate type of feasibility
§     Decided that the particular asset did not justify the cost of protection
Some rules of thumb on strategy selection are:
§  When a vulnerability exists: Implement security controls to reduce the likelihood of a vulnerability being exercised.
§  When a vulnerability can be exploited: Apply layered controls to minimize the risk or prevent occurrence.
§  When the attacker’s potential gain is greater than the costs of attack: Apply protections to increase the attacker’s cost, or reduce the attacker’s gain, using technical or managerial controls.
§  When potential loss is substantial: Apply design controls to limit the extent of the attack, thereby reducing the potential for loss.

References:

Michael E. Whitman and Herbert J. Mattord, “ Management of Information

Security”, Published by Cengage Learning, Fourth Edition

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