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Effective Information Security Spending: Large Nordic companies 2008-2009
Waagstein Research AB, Sep 2008
The rationale for most investments a company makes is simple; the investment should increase revenue and/or reduce company costs. However, when information security is concerned, the picture is typically much more complicated. The ‘return’ on information security investments is the possible avoidance of future costs in the form of bad publicity, lost opportunities etc. Putting a value on information security investments is therefore fraught with difficulties. Reducing the information security risk to zero is impossible because it would necessitate an infinite number of resources. The difficulty, therefore, lies not only in trying to predict current and future risk; but also in deciding what level of risk the company is willing to accept.
The main purpose of this report is to map out major aspects relating to costs and effectiveness of information security measures in large Nordic companies. This entails looking at such areas as how much is spent on information security in relation to total IT costs, confidence in current protection measures and plans for improving the protection.
- Large Nordic companies’ spending on information security
- Allocation of security spending
- Perceived cost-savings potential for information security
- Confidence in current protection measures
- Steps taken to improve security
Effective Information Security Spending is designed to:
- Provide information on current and projected spending ratios for information security in Nordic companies, taking into consideration the level of risk the companies are willing to accept.
- Present the allocation of total information security spending on different areas such as security technologies and training.
- Report on what information security areas Nordic companies perceives to have the biggest potential for cost-savings as well as how large this savings potential is.
- Present the most important measures the companies have taken recently to optimise and reduce information security costs.
- Show the companies’ assessments of various threats such as hacker attacks and unintentional misuse of IT systems by employees.
- Provide information on the degree of confidence in the current information security protection levels among Nordic companies.
- Report on the companies’ estimations of costs for security-related incidents such as data loss due to viruses.
- Present the steps that Nordic companies have taken recently and will take in the near future to improve their level of information security.
- Show how Nordic companies prioritise different information security areas.
- Report on the factors Nordic companies most commonly use to justify new investments in information security.
Answering your key questions:
- How much do Nordic companies spend on their information security?
- Where are information security cost-savings most likely to exist?
- How confident are the companies in their protection against information security threats?
- Where do Nordic companies focus their information security efforts?
- What security safeguards do they have in place and what are their plans?
Target Group
The report is written based on mainly the needs and requirements of the IT management of large Nordic companies. The target group of the report is primarily: CIO/IT managers, information security managers, CFOs, Controllers, IT strategists, Consultants and CEOs. The report will however also be interesting for vendors of IT products and services in order to better understand their customers.
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