10 Cybersecurity Risk Management Best Practices You Need to Know

Cybersecurity is crucial for businesses of all sizes, and failing to implement proper cybersecurity measures can lead to devastating consequences. A cyberattack can result in a data breach, reputational damage, revenue loss, fines and penalties, and litigation. Therefore, businesses must prioritize cybersecurity risk management to protect their operations and customers’ content. In this article, we’ll explore the best practices to help businesses stay ahead of cybersecurity risks.

What Is Cybersecurity Risk Management?

Businesses face myriad threats from cybercriminals who seek to exploit vulnerabilities in their systems. These threats include malware, phishing attacks, ransomware, DDoS attacks, and more. Cybersecurity risk management seeks to identify these and other vulnerabilities and mitigate the risk of them harming the organization.

Cybersecurity risk management begins with identifying the assets that need to be protected. These assets include content, systems, networks, and applications. Once these assets have been identified, businesses need to assess the likelihood and impact of a potential cybersecurity threat on these assets. Once again, the impact can be extremely costly in terms of financial and reputational loss.

One of the biggest challenges facing organizations today is the sheer scale of the threat landscape. Cyberattacks are becoming more sophisticated, more frequent, and more damaging. The 2023 Hybrid Security Trends by Netwrix, for example, reveals that 68% of organizations experienced a known cyberattack within the last 12 months. Out of these, 1 in every 6 (16%) of those organizations estimated the financial damage to be at least $50,000. These numbers underscore the importance of effective cybersecurity risk management and the need for businesses to take proactive measures to protect themselves.

Top Cybersecurity Risks to Anticipate

As cyberattacks become more frequent and sophisticated, it’s essential to understand the different types of cybersecurity risks. Below are some of the most prevalent cybersecurity risks to look out for:

Malware: Malicious Software or Code Designed to Infect, Damage, or Gain Access to Systems

Malware is an umbrella term for malicious software designed to damage, disrupt, or control a computer or network system. It can come in many forms, such as viruses, worms, trojans, ransomware, and spyware. Once malware infects a device, it can steal sensitive content, corrupt files, or hold the system hostage.

Some of the most common types of malware include:

• Viruses: A type of malware that replicates itself to infect other files and systems
• Worms: A self-replicating malware that spreads over networks without any human action
• Trojans: A type of malware that disguises itself as legitimate software to trick users into downloading malicious code
• Ransomware: A kind of malware that encrypts users’ content and demands payment before unlocking it (sometimes permanently, sometimes temporarily)
• Spyware: A type of malware that secretly collects users’ content without their knowledge

Phishing: Fooling Employees Into Providing Sensitive Information

Phishing is a social engineering technique used to trick individuals into divulging their sensitive information, such as login credentials, credit card details, or other personal content. Phishing usually involves an email, text message, or phone call that appears to be from a trustworthy source, such as a bank, social media platform, or government agency.

Some of the most common types of phishing scams include:

• Spear phishing: A targeted phishing attack aimed at specific individuals or organizations
• Whaling: A type of spear phishing that targets high-ranking executives or company leaders
• Pharming: A type of phishing that redirects users to a fake website to steal their information
• Smishing: A type of phishing that uses text messages to trick users into clicking on malicious links or downloading malware

Password Attacks: Maliciously Authenticating Into Password-protected Accounts

Password attacks refer to a range of techniques cybercriminals use to steal users’ login credentials or bypass authentication mechanisms. It can involve guessing passwords, stealing passwords from a database, or tricking users into revealing their passwords.

Some common types of password attacks include:

• Brute-force attacks: A method used to guess passwords by trying different combinations of characters until the correct one is found
• Dictionary attacks: A type of brute-force attack that uses a list of commonly used passwords to guess login credentials
• Phishing attacks: A social engineering technique that tricks users into revealing their passwords voluntarily
• Keylogging: A type of malware that records users’ keystrokes, including their login credentials

Man-in-the-Middle Attacks: Eavesdropping on Communications and Intercepting Sensitive Content Exchange

Man-in-the-middle (MITM) attacks are a type of cyberattack where an attacker intercepts communication between two parties. The attacker can then eavesdrop on the conversation or manipulate it by altering the content of the messages.

To prevent MITM attacks, it’s essential to use secure communication channels such as encrypted messaging apps or virtual private networks (VPNs). It’s also crucial to ensure that the websites you visit have a valid HTTPS connection and a digital certificate.

Insider Threats: Identifying and Preventing Threats From Within Your Organization

Insider threats refer to security breaches caused by individuals within an organization, such as employees or contractors. It can involve intentional or unintentional actions that put sensitive content or systems at risk.

Some common, inadvertent insider threats include:

• Falling for phishing scams or social engineering tactics
• Using weak passwords or sharing login credentials
• Mishandling sensitive information or failing to follow security protocols

Common malicious insider threat examples include:

• Espionage: An employee steals trade secrets or confidential information from their employer and shares it with a competitor or sells it to a foreign government
• Sabotage: An employee intentionally causes damage to their employer’s systems, equipment, or infrastructure, either for personal gain or out of revenge
• Malware insertion: An employee secretly installs malware onto their employer’s network that allows them to gain unauthorized access or steal data
• Data exfiltration: An employee steals sensitive data, such as customer information, intellectual property, or financial records, and sells it to third parties or uses it for personal gain
• Social engineering: An employee uses social engineering tactics to gain access to sensitive information or systems, such as by phishing or pretexting
• Intellectual property theft: An employee steals patents, copyrights, trademarks, or other intellectual property from their employer and sells or shares it with others

Other Cybersecurity Risk Factors and How to Address Them

While cyber threats can come in many forms, there are also risk factors that can increase the likelihood of a security breach. Here are some of the most common risk factors for cybersecurity:

Outdated Software: Keep Your Software Up to Date and Secure

Outdated software can pose a significant cybersecurity risk, as it can have unpatched vulnerabilities that cybercriminals can exploit. It can also be incompatible with newer security measures, leaving it more vulnerable to attack.

To minimize the risks of outdated software, it’s important to:

• Keep software up to date with the latest patches and updates
• Conduct regular vulnerability assessments to identify and address potential security gaps
• Consider using automated patch management tools to streamline the process

Best Practices for Cybersecurity Risk Management

Now that we’ve established the many risks businesses face with holding and sharing sensitive content, let’s turn our attention to risk mitigation. Implementing the following best practices can help businesses effectively manage their many cybersecurity risks.

Cybersecurity Risk Management Best Practice #1. Asset Inventory: Know Your Assets to Identify Weaknesses and Protect Your Network

Creating an inventory of all assets is one of the first steps toward effective cybersecurity risk management. It is important to know what assets are in your network, what content they hold, and how they are connected to each other. An effective asset inventory would include not just hardware and software, but also content, people, and processes. The best way to achieve this is by conducting a thorough asset discovery process using automated tools and manual checks.

Once you have a complete inventory, it is important to classify assets based on their criticality. This will help you prioritize your risk management efforts and allocate resources accordingly. For instance, you may want to focus on securing mission-critical assets first, such as servers and applications that hold sensitive content. Non-critical assets, such as printers and peripheral devices, may be of lower priority.

It is also important to regularly review and update the inventory to ensure that it remains accurate and up to date. This will help you maintain a clear understanding of your assets and their associated risks.

Cybersecurity Risk Management Best Practice #2. Risk Assessment: Understand Risks to Properly Allocate Resources

Conducting regular risk assessments is another important best practice for cybersecurity risk management. Risk assessment is the process of identifying potential threats and vulnerabilities, and evaluating their potential impact on your organization.

A thorough risk assessment should include an analysis of internal and external threats, such as malware, social engineering, and physical security breaches. It should also consider the vulnerabilities that make your organization susceptible to these threats, such as weak passwords and unpatched software.

Once you have identified the potential risks, it is important to prioritize them based on their potential impact and likelihood. This will help you focus your risk management efforts on the areas that pose the greatest threat to your organization.

Cybersecurity Risk Management Best Practice #3. Risk Management Plan: Develop a Plan to Mitigate and Prevent Cybersecurity Risks

Developing and documenting a risk management plan is a critical part of cybersecurity risk management. A risk management plan is a formal document that outlines the strategies and tactics that your organization will use to mitigate risks.

An effective risk management plan should include the following:

• Assigning roles and responsibilities: Clearly defining the roles and responsibilities of each team member involved in risk management efforts
• Establishing policies and procedures: Documenting the policies and procedures that your organization will follow to mitigate risks
• Creating a contingency plan: Developing a contingency plan to respond to incidents that cannot be prevented

Cybersecurity Risk Management Best Practice #4. Preventive Measures: Implement Controls to Reduce Cybersecurity Risks

Implementing preventive measures is another key best practice for cybersecurity risk management. Preventive measures include security controls such as firewalls, intrusion detection and prevention systems, and anti-malware software.

However, preventive measures are only effective if they are complemented by a well-trained workforce. Training employees on cybersecurity best practices is essential for reducing the risk of human error that can lead to security breaches. This includes educating employees on password management, phishing scams, and other social engineering tactics.

Regularly testing and updating security measures is also important to ensure that they remain effective. Automated vulnerability scans and penetration testing can identify weaknesses in your security controls and help you address them before they can be exploited.

Cybersecurity Risk Management Best Practice #5. Incident Response: Prepare for and Manage Cybersecurity Incidents

Developing an incident response plan is critical to minimizing the impact of security incidents on your organization. An incident response plan is a formal document that outlines the steps your organization will take in the event of a security incident.

An effective incident response plan should include:

• Assigning roles and responsibilities: Clearly defining the roles and responsibilities of each team member involved in incident response efforts
• Establishing a communication plan: Documenting the communication channels that your organization will use to notify affected parties and coordinate response efforts
• Regularly testing and updating the plan: Testing the plan on a regular basis to ensure that it is effective and up to date

Cybersecurity Risk Management Best Practice #6. Continuous Monitoring: Maintain Vigilance to Identify and Address New Cybersecurity Risks

Implementing continuous monitoring systems is essential for staying on top of potential security threats. Continuous monitoring involves using automated tools to monitor your network for potential threats and vulnerabilities.

Regularly reviewing logs and alerts generated by these tools can help you identify and respond to potential security incidents before they can cause damage. Conducting periodic vulnerability assessments can also help you identify areas where your security controls may be weak.

Staying up to date with the latest threats is also important for effective cybersecurity risk management. This includes staying informed about new malware and security vulnerabilities and taking steps to address them before they can be exploited.

Cybersecurity Risk Management Best Practice #7. Ensure Compliance With Industry Regulations

Regulatory compliance standards are mandatory requirements set by governing bodies to ensure businesses operate within the boundaries of the law. The following are some of the regulatory compliance standards that businesses must consider in their cybersecurity risk management strategies:

General Data Protection Regulation (GDPR)

The GDPR applies to businesses that process the personal data of EU citizens. The regulation mandates businesses to ensure the privacy and security of personal data, and noncompliance can result in severe penalties.

Payment Card Industry Data Security Standard (PCI DSS)

PCI DSS applies to businesses that process credit card payments. The standard requires businesses to implement robust security measures to protect cardholder data.

Health Insurance Portability and Accountability Act (HIPAA)

HIPAA applies to businesses that handle protected health information (PHI). The regulation mandates businesses to protect the confidentiality, integrity, and availability of PHI.

Cybersecurity Risk Management Best Practice #8. Exploring Essential Cybersecurity Frameworks to Protect Your Business From Cyber Risks

Cybersecurity frameworks are voluntary guidelines that businesses can use to improve their cybersecurity posture. The following are some of the cybersecurity frameworks that businesses can adopt:

National Institute of Standards and Technology Cybersecurity Framework (NIST CSF)

The NIST CSF is a set of guidelines, standards, and best practices developed by the National Institute of Standards and Technology to help organizations manage and reduce cybersecurity risk. The CSF provides a common language and framework for organizations to assess and improve their cybersecurity posture, and it is applicable to organizations of all sizes and in all sectors. The CSF consists of five core functions: identify, protect, detect, respond, and recover. The framework also includes implementation tiers to help organizations target and prioritize their cybersecurity efforts based on their risk management needs and goals. The CSF is a voluntary framework, but it has been widely adopted by organizations and is frequently referenced by industry and government cybersecurity regulations and standards.

ISO/IEC 27001

ISO/IEC 27001 is the international standard for the Information Security Management System (ISMS), which is a framework for managing and protecting sensitive information. It provides a systematic approach to minimize or eliminate the risk of unauthorized access, theft, or loss of confidential information. This standard focuses primarily on ensuring the confidentiality, integrity, and availability of information by implementing appropriate security controls and measures. Organizations that implement ISO/IEC 27001 can ensure the confidentiality, integrity, and availability of their critical information assets and gain the trust of their customers, stakeholders, and partners.

Center for Internet Security (CIS) Controls

The CIS Controls provide a prioritized approach to help organizations of all sizes protect themselves against cyber threats. The controls are organized into three categories and consist of 20 primary and 171 sub-controls.

The three categories of the CIS Controls include:

Basic CIS Controls: These are the most essential and foundational controls that every organization should implement. They include things like inventory of authorized and unauthorized devices and software, configuration hardening for devices and software, and continuous vulnerability management.

Foundational CIS Controls: These controls build on the basic controls and provide additional layers of security for an organization. They include things like data protection, email and web browser protections, and controlled use of administrative privileges.

Organizational CIS Controls: These controls are aimed at improving an organization’s overall security posture by improving governance, risk, and compliance functions. They include things like security policy development and implementation, security awareness training, and continuous monitoring.

Implementing the CIS Controls can help organizations improve their security posture and reduce the risk of cyber threats. However, it is important to note that the CIS Controls are not a one-size-fits-all solution and should be implemented in conjunction with other security best practices and tailored to fit an organization’s unique needs and environment.

Cybersecurity Risk Management Best Practice #9. Invest in Cyber Insurance and Risk Transfer

Cyber insurance can help businesses mitigate the financial risks associated with cyberattacks. When purchasing cyber insurance, it’s important to consider factors such as the coverage, deductible, and limits. Additionally, businesses should evaluate risk transfer options, such as outsourcing some IT services to third-party providers.

Cybersecurity Risk Management Best Practice #10. Stay Ahead of Emerging Threats

Cyber threats are constantly evolving, and it’s essential to stay up to date with the latest cybersecurity trends to protect your business effectively. Regularly training employees on cybersecurity best practices, staying abreast of new threats and vulnerabilities, and investing in cybersecurity research and development can help businesses stay ahead of emerging threats.

Enhance Cybersecurity Risk Management With Kiteworks

The Kiteworks Private Content Network (PCN) enables organizations to securely share and collaborate on content both within and outside their network. With cyber threats becoming increasingly sophisticated, the Kiteworks PCN is a necessary tool in enhancing cybersecurity risk management. Kiteworks offers a comprehensive set of capabilities and features to ensure the secure sharing and collaboration of content.

Kiteworks secures personally identifiable information and protected health information (PII/PHI), intellectual property, and other sensitive content with end-to-end encryption, multi-factor authentication, and data loss prevention to ensure businesses have complete control over their content. The Kiteworks PCN ensures that only authorized users have access to sensitive information.

Kiteworks also provides granular access control to content. It enables administrators to set permissions at the individual user, group or folder level. This ensures that only authorized users have access to sensitive content, thereby reducing the risk of a data breach. Furthermore, Kiteworks encrypts content both in transit and at rest. The Kiteworks Email Protection Gateway (EPG) provides additional, advanced encryption technology, including automated, end-to-end encryption. The private decryption keys stay in the receiving client, meaning that no server-side vendors or attackers can decrypt.

One of the key capabilities of Kiteworks is its ability to integrate with existing IT systems. This allows businesses to seamlessly incorporate Kiteworks into their existing security infrastructure without having to overhaul their entire system. Integration also allows for easier management of user access, ensuring that only authorized personnel have access to sensitive information.

Lastly, Kiteworks provides a comprehensive audit log to help businesses track all file activity within the system, giving organizations complete visibility, courtesy of the CISO Dashboard. Audit logs also help organizations comply with eDiscovery and legal hold requests, as well as state, regional, and industry data privacy regulations like the Health Insurance Portability and Accountability Act (HIPAA), the International Traffic in Arms Regulations (ITAR), and many more.

Schedule a custom demo to see how the Kiteworks Private Content Network can help you more effectively manage governance and security risk.

Additional Resources

• Blog Post Regulatory Compliance and Cybersecurity Standards Drive Risk Management
• Case Study AVL: Mitigating Risk With a Single, Secure File Sharing Platform
• Blog Post Managing Risk in a Constantly Changing Cyber Landscape
• Report Benchmark Your Security and Compliance Risk
• Article Security Risk Management [Information Risk & Assessment]