Cyber risk quantification is the expression of an organization’s cyber risk in monetary terms based on the probability and magnitude of potential cyber incidents and breaches. It helps cybersecurity and business leaders (a) prioritize different kinds of risk and (b) make better-informed decisions about investing resources to mitigate risk. With monetary values attached to potential cyber incidents, organizations can reduce uncertainty about risk impact and direct resources to areas where they will have the most benefit.
Risk monetization data also bridges the gap between cybersecurity and business leaders by presenting risk in nontechnical terms that senior management understands and cares about. By viewing risk in monetary terms, business leaders can see how cyber incidents can impact the bottom line – i.e., revenue losses due to downtime, infrastructure and operational disruption, data loss, ransomware, and other kinds of threats. This helps organizations align their security initiatives with overall business goals, and facilitate communication between security-focused and business-focused executives.
Addressing Concerns about Cyber Risk Quantification
The most commonly…
