SecurityCertified

  • Subscribe to our RSS feed.
  • Twitter
  • StumbleUpon
  • Reddit
  • Facebook
  • Digg

Sunday, March 21, 2010

Forget ROI and Risk. Consider Competitive Advantage

Posted on 7:38 PM by Unknown
In my last post, Time and Cost to Defend the Town, I mentioned pondering different ways to discuss digital security with a new executive. This business leader reportedly said "every day, our businesses are competing in a global marketplace. How can we help them?" I thought about that statement and one idea came to mind:

Digital security helps businesses build competitive advantage.

I've decided that competitiveness is the new theme which I will use to justify my team's activities when discussing our mission with management.

It seems simple and accurate to me. Capable digital security teams help businesses build competitive advantage by keeping data out of the hands of adversaries.

Contrast competitiveness with two other popular paradigms for discussing digital security: ROI and risk. Imagine the following conversations. Which do you prefer?


1. "ROI-centric discussion"

Security person: Hello boss. We need to implement our security program because it has a ROI of $1 million dollars.

Boss: You mean if we adopt your program we're going to earn $1 million dollars?

Security person: No, we'll save $1 million.

Boss: Get out of my office. Come back after you've taken a finance class.


2. "Risk-centric discussion"

Security person: Hello boss. We need to implement our security program because I've calculated our risk to be 1.35.

Boss: What does that mean?

Security guy: Hmm, ok I'll leave now.


3. "Competitiveness discussion"

Security person: Hello boss. We need to implement our security program because it will provide a competitive advantage to our businesses.

Boss: That's a new one. Tell me more.

Security person: We have adversaries who try to steal, and sometimes do steal, our data.

Boss: So what. Isn't it just World of Warcraft credentials?

Security person: Our adversaries steal intellectual property like design plans, pricing data, negotiation strategies, and other information which means they might understand our business as well as we do.

Boss: Is that true? You mean we could lose deals because our products are copied, our bids undercut, our positions already known? I wonder if that's why we lost a deal to MegaCorp last month...

Security person: Now that you mention it, here is a report on suspicious computer activity involving MegaCorp last week. Our team managed to interdict their theft attempt, but in the future we'd like to be able to detect and respond faster, as well as make it more difficult for the adversary to have a chance to steal our information.

Boss: Now you're talking. Sit down, let's discuss this.


Notice what happened here. Magazines written for CIOs, CTOs, CISOs, and so on constantly advocate "speaking the language of the business." Unfortunately this "language" has been assumed to be finance. As a result security people tried to shoehorn their projects into ROI or ROSI, to laughable results.

As we've seen during the last few years, "risk" has turned out to be a dead end too. The numbers mean nothing. Even if you could somehow measure risk, it's easy enough for managers to accept a higher level of risk than the security manager.

Competitiveness, on the other hand, is everything to business people. They are constantly looking for an edge. It a tight economy, gaining an advantage over the competition could mean the difference between thriving or going out of business.

Notice that discussing competitiveness also avoids the death spiral associated with ROI discussions: cost. When conversation is ROI-centric, digital security is perceived as being a loss prevention exercise and a cost center. IT in general is often seen in this light. Don't dump money in a cost center -- cut spending instead!

When you turn the focus on the adversary -- you are threat-centric -- and discuss how he is trying to beat you and how you can beat him, you are likely to strike a primal chord in the mind of the business person. The executive is likely to wonder "what else can we do to give us a competitive advantage?" Suddenly the digital security shop is seen as a business partner in a common fight with the competition, not a cost center dragging down the "productive" elements of the business.

This isn't a new idea, but it's largely absent in the mindshare of digital security professionals. (If anyone has an ACM account I'd like to read Using information security to achieve competitive advantage by Charles Cresson Wood, 1991.) In addition to mentioning ROI and risk, it's important to remember that compliance is the other driver that is likely to justify funding. However, I believe we are more likely to see security shops spending resources explaining why their current activities meet regulatory requirements. I doubt new programs are going to be created to meet compliance needs, since compliance is basically a ten-year-old justification at this point.
Email ThisBlogThis!Share to XShare to Facebook
Posted in | No comments
Newer Post Older Post Home

0 comments:

Post a Comment

Subscribe to: Post Comments (Atom)

Popular Posts

  • Review of Intelligence, 4th Ed Posted
    Amazon.com just posted my five star review of Intelligence: From Secrets to Policy, 4th Ed by Mark Lowenthall . From the review : I was a...
  • SQL Injection Challenge and Time-Based Security
    Thanks to this Tweet by @ryancbarnett, I learned of the lessons learned of the Level II component of the ModSecurity SQL Injection Challen...
  • Practice of Network Security Monitoring Table of Contents
    Since many of you have asked, I wanted to provide an updated Table of Contents for my upcoming book, The Practice of Network Security Monito...
  • C-SPAN Posts Video of Tuesday Hearing
    You can now access video of Tuesday's House Select Committee on Intelligence Hearing on Cybersecurity at C-SPAN . Some people are alread...
  • Bejtlich's Thoughts on "Why Our Best Officers Are Leaving"
    Twenty-two years ago today I flew to Colorado Springs, CO and reported for Basic Cadet Training with the class of 1994 at the United States ...
  • A Book for the Korean Cyber Armies
    I've got a book for the Korean cyber armies, North and South. That's right, it's my first book , The Tao of Network Security Mo...
  • Bejtlich Teaching at Black Hat West Coast Trainings
    I'm pleased to announce that I will be teaching at  Black Hat West Coast Trainings  9-10 December 2013 in Seattle, Washington. This is a...
  • Mandiant APT1 Report: 25 Best Commentaries of the Last 12 Days
    Two weeks ago today our team at Mandiant was feverishly preparing the release of our APT1 report . In the twelve days that followed public...
  • Tort Law on Negligence
    If any lawyers want to contribute to this, please do. In my post Shodan: Another Step Towards Intrusion as a Service , some comments claim ...
  • Review of America the Vulnerable Posted
    Amazon.com just posted my five star review of America the Vulnerable by Joel Brenner. I reproduce the review in its entirety below. I'...

Categories

  • afcert
  • Air Force
  • analysis
  • announcement
  • apt
  • attribution
  • bestbook
  • blackhat
  • books
  • breakers
  • bro
  • bruins
  • certification
  • china
  • cisco
  • cissp
  • cloud
  • clowns
  • commodore
  • conferences
  • controls
  • correlation
  • counterintelligence
  • cybercommand
  • cyberwar
  • dfm
  • education
  • engineering
  • feds
  • fisma
  • freebsd
  • GE
  • ge-cirt
  • hakin9
  • history
  • impressions
  • information warfare
  • ipv6
  • law
  • leadership
  • malware
  • mandiant
  • microsoft
  • mssp
  • nsm
  • offense
  • oisf
  • packetstash
  • philosophy
  • pirates
  • powerpoint
  • press
  • psirt
  • reading
  • redteam
  • reviews
  • russia
  • sans
  • sec
  • sguil
  • snorby
  • spying
  • threat model
  • threats
  • Traffic Talk
  • training
  • tufte
  • tv
  • ubuntu
  • usenix
  • verizon
  • vulnerabilities
  • wisdom
  • writing

Blog Archive

  • ►  2013 (16)
    • ►  September (1)
    • ►  August (1)
    • ►  June (2)
    • ►  April (2)
    • ►  March (1)
    • ►  February (3)
    • ►  January (6)
  • ►  2012 (60)
    • ►  December (4)
    • ►  November (5)
    • ►  October (3)
    • ►  September (10)
    • ►  August (2)
    • ►  July (6)
    • ►  June (6)
    • ►  May (4)
    • ►  April (2)
    • ►  March (9)
    • ►  February (6)
    • ►  January (3)
  • ►  2011 (108)
    • ►  December (3)
    • ►  November (7)
    • ►  October (11)
    • ►  September (9)
    • ►  August (18)
    • ►  July (10)
    • ►  June (5)
    • ►  May (4)
    • ►  April (13)
    • ►  March (17)
    • ►  February (2)
    • ►  January (9)
  • ▼  2010 (193)
    • ►  December (14)
    • ►  November (11)
    • ►  October (6)
    • ►  September (16)
    • ►  August (15)
    • ►  July (26)
    • ►  June (15)
    • ►  May (15)
    • ►  April (15)
    • ▼  March (16)
      • GE-CIRT Joins FIRST
      • Bejtlich in April Wired Magazine
      • Bejtlich Returns to PaulDotCom Podcast
      • Ways to Justify Security Programs: 13 Cs
      • Forget ROI and Risk. Consider Competitive Advantage
      • Time and Cost to Defend the Town
      • Guest Post on SecureThinking about Cyber Shockwave
      • Verizon Incident Sharing Framework
      • Bejtlich Keynote at VizSec 2010
      • Bejtlich OWASP Podcast Posted
      • Traffic Talk 10 Posted
      • Einstein 3 Coming to a Private Network Near You?
      • Making a Point with Pressure Points
      • Keeping FreeBSD Applications Up-to-Date in BSD Mag...
      • Bejtlich Teaching at Black Hat EU and USA 2010
      • Bejtlich to Speak at FIRST 2010
    • ►  February (19)
    • ►  January (25)
  • ►  2009 (123)
    • ►  December (10)
    • ►  November (17)
    • ►  October (21)
    • ►  September (13)
    • ►  August (20)
    • ►  July (21)
    • ►  June (21)
Powered by Blogger.

About Me

Unknown
View my complete profile