This article explores the challenges facing CIOs as their budgets come under pressure. In particular, it highlights the dangers of cutting IT security budgets. A number of IT experts warn that reducing information security measures exposes a company to significant risks, especially as crime increases in difficult economic conditions with cyber crime likely to follow the same pattern.
Richard Harrison, one of PA’s IT security experts, says, "We are seeing increases in two areas: fear, and recognition." He continues, "There is a general increase in fear, because of confidentiality and worries about attacks… organisations are also more conscious about the impact of information security on their reputations."
A number of security experts outline the development of new technology to address some of these issues and to explore where savings might be made, either by reducing staff or by reviewing companies’ existing approach to security.
The article, however, concludes that these actions need to be considered carefully, quoting Richard Harrison’s view that "The cost of security incidents is high," and that "Being able to manage out those instances is more cost-effective than dealing with them when they occur, and dealing with the reputational damage or lost opportunities and lost customers."