Is your board prepared for a cyber-attack

Every six minutes, Australians report a cybercrime. Small businesses are hit the hardest financially, according to the Australian Cyber Security Centre (ACSC), losing an average of $49,600 per incident-an eight per cent increase from last year. Boards need to treat cybersecurity as a strategic asset.

Boards are underestimating the risk they face from cyber threat actors. Infiltration can and does happen. Making cyber security a specific responsibility of one area of the business identifies it as a major priority. Spreading responsibility across several departments no longer provides the focus required to prepare and act when the inevitable occurs.

There's growing agreement among policy and cyber experts that boards can create long-term value by moving cybersecurity beyond IT departments and compliance tick boxes.

In FY2023-24, the Australian Signals Directorate (ASD) received over 36,700 calls to its Australian Cyber Security Hotline, an increase of 12 per cent from the previous financial year. ASD also responded to over 1,100 cyber security incidents, highlighting the continued exploitation of Australian systems and ongoing threat to our critical networks. The average self-reported cost of cybercrime per report for individuals, rose by 17 per cent last year to $30,700, the ASD said.

By integrating cybersecurity into the heart of strategic decision-making, boards can not only mitigate risks, but create long-term value, enhance resilience and build trust premium with customers and partners.

Bridging the divide between business and technical is at the heart of elevating cybersecurity as a strategic asset in the boardroom, says Chirag Joshi MAICD, vice president of the Information Systems Audit and Control Association Sydney and founder of 7 Rules Cyber advisory.

To bridge the gap, he says boards need to treat cybersecurity in the same way as financial and legal risks.

"We're moving beyond cyber as a cost centre," he says. "It's no longer restricted to tools protecting your devices, it's about business growth; something material to investors."