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What Motivates Hackers?

At Black Hat USA 2014, the preeminent global information security conference for self-identified “black hat” hackers, IT security firm Thycotic surveyed 127 participants to determine what makes hackers tick. “Understanding why hackers do what they do is the first step toward better protecting your sensitive data from unsanctioned access,” the firm explained.

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Most are motivated by thrill, Thycotic found, and profoundly few are worried about getting caught. What’s more, despite extensive media coverage, companies’ internal education efforts and all the security measures implemented by IT departments, 99% of hackers report that basic tactics like phishing are still effective.

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And almost half of them are working on more sophisticated approaches.

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Check out the highlights from the firm’s Black Hat 2014 Survey:

Thycotic Hacker Infographic

Reputational Risk Draws Increased Board Awareness, But Not Action

In its fifth annual board of directors survey, “Concerns About Risks Confronting Boards,” EisnerAmper surveyed directors serving on the boards of more than 250 publicly traded, private, not-for-profit, and private equity-owned companies to find out what is being discussed in American boardrooms and, in turn, what those boards are accomplishing as a result.

According to the report, reputation remains the top concern across a range of industries:

Most Important Risks

“The financial cost and damage to reputation from a cyber/privacy breach is growing exponentially,” said Nancy Brady, EisnerAmper’s director of IT risk services. “Directors have recognized the increasing risk companies face related to cyber/data security.

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Now they need to roll up their sleeves and, with the companies, address these risks.”

While reputational risk remained the top concern of respondents, the survey found that companies are not necessarily translating awareness into action. In fact, only 31% said they were concerned about crisis management.

“There were a surprising amount—close to a quarter of respondents—who had no plans, and others just informally ‘doing their best.

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‘ This lack of formality to address the most significant risk identified existed across all organizations,” the report said.

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“When plans existed, they included both everyday operations—such as to keep a positive reputation and reduce the risk—and strategies to address a crisis affecting reputation.”

Despite the minimal plans in place, the directors surveyed seem to hold themselves and other company executives primarily responsible for the response to a reputational crisis. When asked who is responsible for executing such a plan, they reported:

responding to reputational risk crises

Respondents also showed improving confidence in the performance of the board, committees, external auditors and accounting departments.

How well is board addressing risks

Click here for the full report from EisnerAmper.

New Studies Highlight Sources, Patterns of Data Breach—And How to Do Better

Three recent studies provide a great reminder of the threats of data breach—and the role workers and IT departments play in either maintaining a company’s defense or letting malware storm the gates.

In its 2014 Data Breach Investigations Report, Verizon identified nine patterns that were responsible for 92% of the confirmed data breaches in 2013. These include: point of sale intrusions, web application attacks, insider misuse, physical theft/loss, miscellaneous errors, crimeware, card skimmers, denial of service attacks, and cyber-espionage. They have also identified the breakdown of these patterns in various industries, highlighting some of the greatest sources of cyber risk for your business:

Verizon Data Breach Investigations Report

Verizon’s report also offers specific information about the patterns and advice on how to respond to them.

Many sources of vulnerability come from within, and there is less variation than you might expect in terms of who the riskiest workers may be.

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A survey by the Pew Research Center found that 18% of adults have had important personal information stolen online, including Social Security number, credit card, or bank account information—an 8% increase from just six months ago. Further, 21% of adults who use the internet have had an email or social networking account compromised. Two groups that make up a large part of the workforce were hit particularly hard during this period: young adults and baby boomers. The percentage of individuals in these groups who had personal information stolen online doubled between July 2013 and January 2014.

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stolen personal data by age

But as this chart shows, all age ranges have experienced a significant amount of data theft as of the beginning of the year.

Indeed, according to meetings-software company TeamViewer, 92% of IT administrators have seen troublesome habits among office workers using company computers. These risky behaviors are frequently known to open the work system to viruses or other malware, including:

  • Browsing social media websites (reported by 82% of IT admins)
  • Opening inappropriate email attachments (57%)
  • Downloading games (52%)
  • Plugging in unauthorized USB devices (51%)
  • Plugging in unauthorized personal devices (50%)
  • Illegal downloads, such as pirated movies, music or software (45%)
  • Looking for other jobs (39%)

Further, nine out of 10 IT administrators reported witnessing problems to company equipment because of these actions, including viruses (77%), slow computers (74%), crashed computers (55%), mass popups (48%) and inability to open email (33%). Not only do these behaviors leave corporate infrastructure at risk, but they may endanger the overall HR program, as a vast proportion of IT workers report feeling frustrated, angry and discouraged.

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Up to 12% even said that they were considering quitting over these bad behaviors and increased strain on the IT department.

So what can you do? Administrators agreed that better security software, using remote access to fix problems, installing disk cleanup software, integrating automatic backup solutions, and offering the ability to telecommute would all help mitigate these issues and make their jobs easier.

New PwC Study Shows Optimistic Shifts in CEO Focus

PwC’s new 2014 US CEO Survey takes the pulse of executives nationwide to get a sense of where the C-suite should be optimistic, what company transformations to expect in 2014, and what impacts may result in the near future. Overall, CEOs have a remarkably positive near-term outlook and expressed far more optimism than in recent years.

This year, 61% of CEOs plan cost-cutting measures–down 12% from last year. Almost 9 out of 10 are pretty sure their company will deliver revenue growth this year, with 36% even thinking it is already certain.

Growth is in for 2014. Indeed, 62% expect to hire more people this year. According to PwC, that is the highest rate of anticipated “headcount expansion” in the last five years.

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CEOs are also looking for ways to capitalize on potential within the existing structure, with 86% predicting that advancing technologies are what will transform their business over the next five years. Further, 36% believe that product and service innovation offers the main opportunity for growth in 2014.

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Some other key trends on the horizon:

Respondents considered the BRIC countries notably less important to future growth, continuing a decreasing focus on these regions since 2011.

BRIC Countries Graph

Transformational trends also showed a move away from focus on political and geographical efforts toward building and strengthening internal resources like technology.

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Transformational trends

CEOs are clearly focusing overwhelmingly on technology for growth. The specific developments generating the most interest for the C-suite are:

Technology Trends