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Half of all companies lose devices with important data

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Half of companies have lost a portable computing device with important data on it that had security implications for more than 20% of organisations, a survey has revealed.

Further, 57% of employees believe that bring-your-own-device (BYOD) practices put their personal data at risk as well, according to a survey by data governance software company Varonis.

Despite these concerns, the study also revealed 86% of employees use their personal devices for work at all hours of the day, with 44% admitting to doing so during meals.

Additionally, 20% of respondents consider themselves “borderline workaholic”, 15% take their devices on holiday and 7% claim their work and home lives are one.

But the study found the productivity drain is greater for companies that allow BYOD. Nearly a quarter of respondents said they spend more time than they care to admit doing things unrelated to work during work hours.

According to the findings, almost three-quarters of employees are now allowed to access company data from their personal devices.

This growing trend to work remotely is likely to have an impact on breaches and data leakages, as mobile devices continue to have major security implications, according to the research report.

The study found that implementing a BYOD policy did reduce security incidents, but only by 5%.

The most popular method to secure mobile devices is password protection (57%), followed by 35% who wipe devices remotely and 24% who use encryption.

“Being connected to work around the clock appears to be accepted as the ‘new normal’,” said David Gibson, vice-president of strategy at Varonis.

“While organisations are capturing the many benefits of BYOD – and the willingness of the workforce to embrace this style of working – companies must protect themselves,” he said.

Gibson said all companies that allow BYOD should:

  • Develop a BYOD policy that lets people know what is and is not allowed;
  • Make sure controls are appropriate to the risks– if the data is valuable, organisations need to control where it resides and who has access to it, need to be able to audit use and spot abuse;
  •  Monitor the effects of frequent interruptions and “always-on” habits to watch for signs of impaired productivity or health.

“Only by limiting the potential damage – both to organisations and employees – can organisations make the most of a trend that will continue to leap forward, whether businesses allow it to or not,” he said.

UK’s million missing laptops

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The million mobile devices that have gone missing in the past year are a business data time bomb, according to Sony’s VAIO Digital Business report 2013.

The report, which polled IT leaders at 600 UK businesses, blames bring-your-own-device (BYOD) practices, poor security habits and a rebel workforce.

The findings show that one in four UK businesses have had a laptop lost or stolen in the past 12 months, but only 28% of those polled reported having anti-theft security features on their laptops as standard.

The research shows that businesses are failing to make use of existing security technologies to keep pace with rapidly changing working practices.

“Businesses should take advantage of this ready-and-waiting safety net, which can be easily implemented regardless of IT infrastructure,” the report said.

Data security was ranked as very important by 75% of respondents and loss of confidential company data was identified as the number one concern of nearly half of respondents.

Yet 90% admitted accessing company data from a personal device, regardless of corporate policy, and two-thirds of those surveyed admitted saving confidential business data on their laptops.

Some 46% of those polled said they would bypass company policy and bring in their own device if frustrated by their company-provided machine.

Further compounding this problem, 66% said they take their work laptop home with them every day, with most laptops lost or stolen on trains, followed by private homes and airports.

Some 42% of respondents said they were using their own laptop for work and, for 88% of business laptop users, it is the machine they use in the office as well as remotely.

The study showed that 82% are not changing their password on a monthly basis, 20% of respondents said they never change it and 17% only do so when prompted to.

Despite these trends, the report said businesses are not investing enough in securing their data, with nearly half spending less than £1,000 a year on laptop security and only 28% of business laptops being fitted with anti-theft security as standard, even though many security features require only simple activation.

The report said while 56% of those surveyed had remote back-up software and 42% had some form of data encryption, only 25% had remote lockdown and only 18% had location tracking enabled.

According to the report, what people look for in a business laptop is a clear reflection of the modern mobile approach to work.

The top feature for most users is long battery life, followed by rapid boot-up, weight and a good range of connectivity options.

The research found that even though people realise the importance of security, finger print security access was the least in-demand feature.

“This indicates that the issue isn’t awareness, but education on how to use the security features laptops already have,” the report said.

UK consumers want better personal data security

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Banks top the list of organisations people trust least with their personal data, according to a survey of 2,000 UK consumers.

Mobile phone operators and retailers also fare badly, according to the study commissioned by collaboration and communication services firm Avaya and contact centre technology firm Sabio.

According to the report by research consultancy Davies Hickman Partners, six million consumers have stopped doing business with an organisation because of concerns about security.

The report suggests this could be redressed by improving the convenience and quality of the customer service experience in contact centres and using technology to reduce the potential for fraud.

The survey shows 46% of consumers suspect high-level security breaches at financial institutions. This figure is 40% for mobile phone companies and 37% for retailers.

The biggest security risk is seen to come from the contact centre, with 45% of respondents citing this as the starting point for fraud.

While consumers place the blame squarely at the door of UK business in general – and the contact centre in particular – they also show a high level of willingness to embrace new technology to tackle the problem.

They are reassured by the automation and anonymity provided by technology and regard humans as the weak security link.

Only 5% think that sharing card details with a human agent is secure. In contrast 81% would feel more comfortable entering a password on a keypad to confirm their identity when calling a contact centre and 51% said they would be happy to use voice biometrics for banking.

Despite recognising the need for security, currently consumers regard many checks as cumbersome and outdated and are frustrated by both the speed and quality of the customer service experience.

Some 55% expressed irritation with companies that do not have a fully integrated contact centre forcing them to repeat security information on a call.

According to the research report, fear of call centre fraud has stopped 18 million consumers from making purchases over the phone when interacting with a callcentre. Yet 51% say they are put off using a provider if there are too many passwords and security details needed.

“Consumers’ contradictory attitudes leave businesses stuck between a rock and a hard place. By focusing on the three ‘S’s – service, speed and security – brands can improve customer lifetime value, strengthen security and increase brand loyalty,” said Simon Culmer, managing director, UK, Avaya

He said consumer trust in technology is key, and should be used to reassure customers that their security concerns are being addressed while improving customer experience.

The research suggests that consumers are becoming increasingly security savvy, said Kenneth Hitchen, founding director of Sabio.

“Businesses need to build back confidence in traditional transactions methods, and customer service technology can help them achieve this, whether creating confidence in the secure nature of their own contact centre organisations or encouraging the merchants that depend on their transaction services to do the same,” he said.

BYOD poses serious risks to IT security

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The always on, always connected, productivity-on-the-go trend of allowing smartphone and tablet toting employees to take their own devices to work (known as BYOD, or “bring your own device”) and to plug it into the company network is growing in popularity around the world.

 

A recent BYOD study conducted by smartphone manufacturer Samsung Electronics, in conjunction with IDG Research, revealed that 85% of global companies support the BYOD trend, while 70% of IT executives believe that a company that does not implement a BYOD policy will be at a competitive disadvantage.

While some companies readily admit that they allow their employees to practice BYOD since it is convenient and sometimes more cost effective than having to issue and pay for company devices, many information security managers also admit that companies ought to do more to understand the security implications behind the trend.

According to a worldwide survey conducted by analyst firm Frost & Sullivan and published in the 2013 Global Information Security Workforce Study, 78% of security professionals believe that BYOD pose a “somewhat” or “very significant” risk to companies.

These fears are not unfounded, says Lutz Blaeser, Managing Director of South African security software distributor Intact Security. “Last year, just over half of secure IT security networks in the UK alone reportedly had their security breached due to employees using personal devices in the workplace. While the BYOD trend in South Africa is still relatively low, with only an estimated 5% of local businesses adopting BYOD policies – it is bound to pick up pace, especially as more people adopt a more flexible way of working.”

But Blaeser admits that the popularity of BYOD is not driven merely by productivity. “Employees still like to access their personal messages and social networking while at work, and using their own devices at work allows them to access their personal apps and e-mail, whereas the company computers could have a block, prohibiting users from having access to, for example, social networking sites.”

Indeed, a global survey conducted by Fortinet reveals that many employees already consider using their own devices at work to be a “right” and not a “privilege” – especially among Asian respondents, with more than half (55%) saying that they regard it as their right.

This is going to cause huge headaches for IT departments. Blaeser, whose company Intact Security is responsible for distributing GData as well as other brand name security software to the South African market, predicts that hackers and other cyber criminals will exploit the BYOD trend to target companies and institutions, by launching attacks on employees’ private mobile devices to gain access to sensitive data on company networks.

He advises that the solution is not to ban BYOD, but to rather implement strong BYOD policies pertaining security. “The amount of malware and malicious apps developed specifically to attack tablets and smartphones will continue to increase throughout 2013,” Blaeser says. “Make rules that employers should activate passcode protection (whereby users have to enter a special code whenever they switch on their devices). Although many will argue that such codes are easy to crack, it is better than having nothing. Companies can also ensure that any sensitive business data is encrypted. Employees should change their passwords regularly, delete data that is no longer needed and also backup important data – not only business information, but those of personal importance too, such as family photographs and videos.”

Lastly, he says, companies can encourage users to install reliable security software on their devices that will help to fend off malware and continue to protect devices remotely in the event of loss or theft. “Everyone knows that Android-operated devices are vulnerable to attacks due to its wide uptake and popularity. Products such as GData’s MobileSecurity have been developed specifically to secure Android devices.”

IT News Africa, Africa's Technology News Leader

 

Nursing and Midwifery Council receives £150,000 penalty

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The Information Commissioner’s Office has urged organisations to review their policies on how personal data is handled, after the Nursing and Midwifery Council was issued a £150,000 civil monetary penalty for breaching the Data Protection Act.

The council lost three DVDs related to a nurse’s misconduct hearing, which contained confidential personal information and evidence from two vulnerable children. An ICO investigation found the information was not encrypted.

David Smith, Deputy Commissioner and Director of Data Protection, said:

“It would be nice to think that data breaches of this type are rare, but we’re seeing incidents of personal data being mishandled again and again. While many organisations are aware of the need to keep sensitive paper records secure, they forget that personal data comes in many forms, including audio and video images, all of which must be adequately protected.

“I would urge organisations to take the time today to check their policy on how personal information is handled. Is the policy robust? Does it cover audio and video files containing personal information? And is it being followed in every case?

“If the answer to any of those questions is no, then the organisation risks a data breach that damages public trust and a possible weighty monetary penalty.”

The council had been couriering evidence relating to a ‘fitness to practise’ case to the hearing venue. When the packages were received the discs were not present, though the packages showed no signs of tampering. Following the security breach the council carried out extensive searches to find the DVDs, but they’ve never been recovered.

David Smith continued:

“The Nursing and Midwifery Council’s underlying failure to ensure these discs were encrypted placed sensitive personal information at unnecessary risk. No policy appeared to exist on how the discs should be handled, and so no thought was given as to whether they should be encrypted before being couriered. Had that simple step been taken, the information would have remained secure and we would not have had to issue this penalty.”

 

A long recovery road after a data breach

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Small to medium-sized businesses face a long recovery road after a data breach

Understanding why data breach preparedness is a priority is key. According to the latest Ponemon Institute Study, State of SMB Cyber Security Readiness: US Study, the road to recovery is long and hard for small to medium-sized businesses (SMBs) after a data breach.
 Not only did the SMBs lose customers, costs to acquire new customers went up significantly, some organizations had to lay off employees and it took almost a year to recover from the damage to their business reputation.  The purpose of the study was to understand the ability of SMBs to prepare their companies for a possible cyber security threat or data breach.

The study examined the differences in perceptions about the consequences of a data security breach between those companies that experienced a breach and those that have not.  The average cost of a data breach was almost $900K, which is almost three times more than what unaffected companies estimated.  This lack of awareness about the costs and consequences of a data breach can negatively affect an SMB’s ability to be prepared for a cyber security attack.  Although participants stated that the priority for their IT security spending was to meet compliance requirements and implement a data breach response plan, the reality is most companies didn’t have policies in place to deal with a breach of data.  In addition, respondents expressed that their biggest frustration in implementing a data security plan was dealing with employee negligence and felt it was unrealistic to expect an organization of their size to be totally secure from a cyber attack. In response, The Ponemon Institute has the following recommendations to improve the current state of cyber readiness for SMBs:

  1. Like bigger sized organizations, make it a priority to implement formal data protection and security programs to detect cyber security risks.
  2. Conduct risk assessments and monitoring to identify data breach risks. Establish security objectives and set actionable metrics to be able to measure that your company is meeting security goals.
  3. Ensure that employees’ mobile devices are properly protected with anti-virus/anti-malware protections and encryption technologies.  Identify your sensitive and confidential information that needs security and protection at all times.
  4. Educate workers through training and awareness programs on the importance of following proper security procedures.  Make the business case for investing in cyber security.

As with many things, it’s not the size that counts, it’s the content that is important.  And no matter how large or small the business, the importance of protecting that content should always be the first priority in every company’s cyber security plan.

Original article from Experian 22nd Feb 2013

UK Biggest Data Loss Disasters of 2012

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The UK’s Biggest Data Loss Disasters of 2012
With the growth in the use of personal devices for work, it is no surprise that data loss increased in 2012. In fact, it is astounding to think that UK data loss in general has risen by an estimated 1,000 per cent in just under five years.

Here, we take a look back at some of the biggest data losses the UK faced in 2012.

NHS trust loses personal data of 600 maternity patients, and kids On at least two separate occasions in 2012, the NHS was forced to admit losing two unencrypted USB sticks containing highly sensitive personal patient data. In the first instance, the device in question contained data relating to around 600 maternity patients. A second USB stick containing the names and dates of birth of 30 children and full audiology reports of a further three was also lost. This caused great embarrassment to the NHS, and distress to the patients whose confidential information was compromised.

Lost data blunders costing  councils £1.9 million A series of blunders by various UK councils led to them being fined heavily for serious data breaches, including the disclosure of highly sensitive, personal information. The fines totalled an astonishing £1.9 million. The mistakes included information being sent to the wrong people, while one individual even left hard copies of highly confidential documents on the train.

Shopacheck loses data on 1.4 million customers In terms of the number of customers affected by any single data loss incident, Shopacheck experienced the biggest loss in 2012. The loan firm managed to lose sensitive financial information pertaining to 1.4 million of its customers after two back-up tapes went missing. The tapes contained highly confidential information including customer names, addresses, dates of birth, telephone numbers and email addresses.

Police force pays £120,000 penalty for data breach Greater Manchester Police was fined £120,000 after a memory stick, which had no password protection, was stolen from an officer’s home. This caused a serious breach of data security, not least because the device contained information about members of the public who had given statements as part of drug investigations. It also contained details of police operations, potential arrest targets and the names of officers.

USB stick with nuclear plant data lost by ONR official While on a business trip to India an Office for Nuclear Regulation (ONR) official lost an unencrypted USB memory stick containing data relating to one of the UK’s nuclear power stations in Hartlepool. What made it worse for this blundering individual was the ONR confirming that unencrypted USB sticks should not be used for transporting documents with a security classification. It seems this official should have thought a little more about effective ways to protect his organisation’s sensitive data.

As these examples demonstrate, data loss can largely be attributed to human error and ineffective backup and security solutions. Once again, we are reminded of the importance of implementing effective data protection policies. Many of these disasters could have been mitigated with the use of a solution such as EVault’s Endpoint Protection for mobile devices (laptops and tablets), or by using the cloud, to backup sensitive company data.
Let’s hope that businesses realise this in 2013!

Original article by By Jean-Jacques Maleval, Mon, January 21st, 2013

EU data protection law proposals include large fines

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EU data protection law proposals include large fines

Firms face being fined up to 2% of their global annual turnover if they breach proposed EU data laws.

The European Commission has put forward the suggestion as part of a new directive and regulation.

The new rules include users’ “right to be forgotten” and an obligation on organisations to report data breaches “as soon as possible”.

The boss of one tech-focused organisation described the proposals as a “tax” on firms holding customer data.

The Justice Commissioner, Viviane Reding, said it was important for EU citizens – particularly teenagers – to be in control of their online identities.

“My proposals will help build trust in online services because people will be better informed about their rights and more in control of their information,” she said.

The commission says that key changes to the 1995 data protection rules include:

  • People will have easier access to their own data, and will find it easier to transfer it from one service provider to another.
  • Users will have the right to demand that data about them be deleted if there are no “legitimate grounds” for it to be kept.
  • Organisations must notify the authorities about data breaches as early as possible, “if feasible within 24 hours”.
  • In cases where consent is required organisations must explicitly ask for permission to process data, rather than assume it.
  • Companies with 250 or more employees will have to appoint a data protection officer.

The rules would apply to data handled outside the EU if the companies involved offered services to citizens living in the 27-nation zone.

USB stick and CD
Some firms are concerned that they would have to confirm data loss within 24 hours of being hacked.

The commissioner said that by simplifying the current “patchwork” of rules and cutting red tape, businesses could expect to save a total of 2.3bn euros ($3bn; £1.9bn) a year.

However, organisations which break the rules face penalties.

The commissioner suggested that companies that charged a user for a data request be fined up to 0.5% of their global turnover. She said that sum should double if a firm refused to hand over data or failed to correct bad information.

She added that companies responsible for more serious violations could be fined up to 2% of their turnover. The sum is capped at 1m euros for other bodies.

Cost worries

One lawyer told the BBC that the benefits would be outweighed by the new burdens placed on businesses.

“The one bit of a good news is that they result in harmonisation across Europe which is better than the existing situation with 27 different national laws, but the content of some these proposals is very onerous,” said Marc Dautlich, head of information law at Pinsent Masons.

“These are all going to involve costs and resource. And in a difficult economic climate.”

Adam Malik, organiser of the Digital London conference, said that he accepted that customers had a moral right to ask for data deletion, but the new rules – as he understood them – could place some enterprises in jeopardy.

“This is just an additional tax on all businesses which hold electronic customer records,” he said.

“Also we need clarity on what is personalised data. Lots of lawyers will be happy about this directive for years to come – meanwhile innovation is discouraged.”

Security company FireEye also expressed concern about the suggested data loss demands.

“Reporting within 24 hours of discovery is admirable but if the company wasn’t aware of the breach for 24 days then where do all involved stand?” asked its director of European operations, Paul Davis.

But others were more positive about the proposals.

“Businesses can either see it as a glass half-empty or a glass half-full,” said Alan Mitchell, strategy director of Ctrl-Shift, a technology consultancy whose clients include the UK government.

“This legislation will enable UK and EU business to lead this growing market and develop new technologies and businesses.”

The rules need to be approved by the EU’s member states and ratified by the European Parliament before they can come into effect.

That could take two or more years, during which time they may be amended or rejected outright.

Published by The BBC     25 January 2012

Government departments release data on missing IT equipment

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Ministry of Defence lost 1,058 items of equipment in 2011-12

Government departments saw 2,070 pieces of IT equipment lost or stolen in 2011-12, according to written answers in the House of Commons.

With the exception of the Department for Education and the Cabinet Office, all central departments have now written formal responses to requests regarding how many pieces of IT equipment were lost or stolen during 2010-11 and 2011-12.

408 of the missing items for 2011-12 were computers and 499 were mobiles, of which 422 were BlackBerrys. 1,163 were categorised as ‘other’.

The requests were lodged by Gareth Thomas MP, Labour’s shadow minister for the Cabinet Office.

Over half of the missing pieces of IT equipment across government were accounted for by the Ministry of Defence (MoD), which lost 1,058 items in total, including 206 computers, 24 mobiles and 34 BlackBerrys. Unlike some other departments, these figures are raw data and do not include any recovered property.

794 pieces of equipment were categorised as ‘other’. This category refers to IT items such as CDs, DVDs, and removable memory such as USB sticks.

Explaining why the figures for the department were so high, an MoD spokesperson said, “The MOD employs more than 250,000 individuals operating all round the world, with frequent movement of forces and equipment between locations in support of operations.”

The spokesperson added, “The MoD takes the loss or theft of equipment very seriously and works hard to detect and deter theft. There are robust processes in place to raise awareness of the need for vigilance in all aspects of security and we actively encourage individuals to report loss or theft. This work has resulted in a rise in the number of reports over the last year.

“Where theft does occur and a suspect is identified, prosecution or internal disciplinary action will follow as appropriate.”

After the MoD, the departments that lost the most equipment include the Ministry of Justice (268) and the Department for Communities and Local Government (151).

However, the Department for Culture, Media and Sport and HM Treasury reported just 10 losses apiece for 2011-12.

In comparison, the Department for Transport and the Department for Business, Innovation and Skills lost 102 pieces of IT equipment each, while the Department for Work and Pensions (DWP) reported 97 items missing. The Department of Health mislaid 63 items, while the Home Office lost 49.

A direct comparison is not possible for the DWP and the Home Office, as they reported data covering each calendar year rather than the financial year. DWP reported 97 losses in 2011 and 48 for 2012. The Home Office mislaid 53 items in 2011; however four of these were recovered. They did not provide data for 2012.

The Northern Ireland Office reported no equipment losses at all for the period. The Wales Office said that there had been one such loss, and the Scotland Office reported four losses.

Shadow Cabinet Office Minister Gareth Thomas MP said, “It’s incredible that so many computers, blackberries and other pieces of IT equipment have been lost.
“With hundreds of pieces of IT equipment being lost across Whitehall, and over a thousand pieces missing at the MOD alone, Ministers should be doing all they can to make sure vital equipment and data are kept secure.”

51% of UK networks compromised by BYOD

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Half of UK business networks have already been compromised by the bring-your-own device (BYOD) phenomenon of workers using personal devices for work-related activities and for attaching to corporate networks.

That’s the assessment of new research from Virgin Media Business, which found that in 2012, a full 51% of the UK’s secure IT networks were breached due to employees using personal devices.

In surveying 500 British CIOs, Virgin Media Business found that smaller businesses experienced 25% fewer breaches of security compared to larger organizations.

“Last year was clearly a bumpy road for companies introducing personal devices at work,” said Tony Grace, COO at Virgin Media Business. “That’s natural enough as no one has so far been able to come up with the magic solution. CIOs shouldn’t see this as a burden and in 2013 they can take the lessons learned and turn these personal devices into business enablers to really help drive the bottom line.”

In 2012 the consumerization of IT and BYOD have gone from being buzzwords and theories, to being everyday matters and issues for CIOs. “Security, connectivity and user policies are the three key factors needed to embrace new technology successfully, but this isn’t anything new,” the research found. “With just 20% of big businesses allowing staff to use their own kit in the office, there needs to be a shift in mindset.”

The issue will only grow larger: Virgin Media noted that a tablet was sold every second in the run up to Christmas, up 112% from last year, meaning January is likely to see a clear influx of the devices in the workplace, driving a need for clear policies on BYOD.

“With sales of tablets expected to have gone through the roof over Christmas, it looks like personal devices in the workplace is here to stay,” said Grace. “But with just a fifth of large firms having a BYOD policy, businesses will continue to experience security breaches until connectivity, security and user policies are put in place.”

Security Guardian was designed to make BYOD work at minimal cost.

This article is featured in: Compliance and Policy  •  Industry News  •  Internet and Network Security  •  Malware and Hardware Security  •  Wireless and Mobile Security