The $100 Billion Problem No One Is Talking About
I thought this article by Kevin West,CEO of Klogix, a data security software company, hits the mark on the Data Loss, the future trend and the general lack of urgency with which companies are protecting themselves.
Here are the general highlights, and you can read the full Forbes article here .
Although he references the US in this post, you can extrapolate the data to get a Canadian perspective. Either way.. this is a problem north and south of the border that needs attention.
If data loss continues on its current trend, it will cost the U.S. economy $290 billion by 2018. This equates to 1.6% of GDP.
The 2010 U.S. budget allocated $290 billion to Medicaid – that’s a topic that gets plenty of attention. But the $290 billion problem of data protection is largely ignored, even by those most effected by it – U.S. corporate executives.
Here are a few current trends that nearly guarantee data protection costs will continue to spiral out of control. Kevin expands on each one in his article.
•Intellectual Property in Foreign Hands – Globalization has had a dramatic impact on our intellectual property.
•Cyber Security Training – there is little formal training offered in the subject of cyber security.
•‘Bring Your Own Device’ Policies in the workplace – 48% of information workers bought smart phones to use for work purposes without considering the requirements and policies of their IT department.
What Can You Do to Buck the Trend?
•Make this National Problem Personal
•Make Data Security a Competitive Advantage
Wondering how to prove your data security efforts are just average (and thus at risk)? To start, ask your team these simple questions.
- Do you have a procedure in place for action following a cyber attack?
- Are you certain your employees do not send intellectual property or private data over any Internet channel, including Gmail and Facebook?
- Are you certain all corporate access is shut down once a consultant leaves your organization?
- Do you understand the security policies of your off shore providers?
If you answered “NO” to any of these questions, then you are likely exposed to significant revenue loss.



