Interscale Content Hub – When you outsource IT services, such as an IT help desk, it’s particularly important to do an IT risk assessment. So, what is IT risk assessment?
First of all, outsourcing IT functions, like help desk support or infrastructure management, can be a cost-effective strategy.
But it also brings with it some risks that can have a big impact on how the business operates, its reputation and its finances.
So, why should we care? It’s not just IT pros who need to get to grips with IT risk assessment. It’s a business imperative.
Knowing what could go wrong with your outsourced IT environment means you can make informed decisions, take action to avoid problems and protect your company’s bottom line.
Right, let’s get into the details now.
Definition of IT Risk Assessment
An IT risk assessment is a way of identifying, evaluating and prioritising risks associated with an organisation’s information technology infrastructure.
What is IT risk assessment? IT risk assessment is a process that helps identify, evaluate and prioritise risks associated with an organisation’s information technology infrastructure.
The idea is to assess the likelihood and impact of various threats, like cyberattacks, data breaches, and system failures. Then, we’ll implement measures to mitigate these risks to an acceptable level.
The assessment uses both qualitative and quantitative analysis methods to get a full picture of potential vulnerabilities and their consequences.
Happiest Minds say in their white paper, “IT Risk Assessment,” that this process not only looks at how secure an organisation’s IT is, but also helps them decide on their security strategy.
Similarly, the USA Department of Education guideline in “Handbook for Information Technology Security Risk Assessment Procedures“ says that risk assessment is really important for evaluating the effectiveness of security controls and for making informed decisions about security measures.
Why IT Risk Assessment is Crucial for Businesses
The 2020 McAfee Corp report via Business Wire in “New McAfee Report Estimates Global Cybercrime Losses to Exceed $1 Trillion” shows just how much cybercrime is costing us all.
The report says that cybercrime costs the world economy more than $1 trillion, which is just over one percent of global GDP. This is up more than 50 percent from a 2018 study that put global losses at close to $600 billion.
This shows us why it’s so essential to carry out thorough risk assessments to avoid financial loss, protect our reputation and make sure we’re sticking to the rules.
The USA Department of Education guidebook says one of the best ways to protect your business is to do an IT risk assessment. This helps you identify any weaknesses in your IT infrastructure before cybercriminals can exploit them.
This proactive approach lets businesses fix any problems before they cause any issues, which reduces the risk of a security breach.
On top of that, Happiest Minds says such assessments can check how well existing security controls are working, improve security policies across the whole company, and see how aware employees are about security.
This gives us a good reason to invest in security. It shows us how security breaches could affect our business and compares this to the cost of taking preventive measures.
For your perspective, please refer to “Cybersecurity on a Budget? Is Cyber Insurance Worth It? Is It an Investment?“
Difference Between IT Risk Assessment and IT Risk Management
While IT risk assessment and IT risk management are two sides of the same coin, they are two different processes.
The first thing you do when you’re doing an IT risk assessment is identify and evaluate the risks. It gives you the info you need to make decisions about how to deal with the risks.
On the other hand, IT risk management is all about making sure that the strategies you put in place to manage these risks are actually working.
Happiest Minds says how risk assessment helps to inform the wider risk management strategy by providing useful insights into potential vulnerabilities and threats.
The USA Department of Education guidebook also says the results of risk assessments help to create security documents and plans, such as the System Security Plan (SSP), Configuration Management Plan (CMP), and Contingency Plan (CP).
Components of IT Risk Assessment
The first thing we do is identify all the assets we have, which basically means cataloguing all the IT stuff we’ve got, like hardware, software, data, and people.
This is where we figure out what needs protecting and what the impact on the business would be if these assets were to be compromised.
Once that’s done, we look at potential threats that could exploit any vulnerabilities in the IT environment.
These threats can be anything from malware and phishing attacks to insider threats and natural disasters.
Next up is vulnerability assessment, where we look at any weaknesses in the IT infrastructure.
By spotting these weaknesses, companies can take steps to make their defences stronger.
This means spotting any weaknesses that could be used by threats, such as old software, weak passwords, and misconfigured systems.
Then, we do an impact analysis to figure out what the potential consequences of the threats we’ve identified might be for the business.
This is where we assess how bad each threat could be for the company. This helps us decide which risks are the most important to deal with.
Then it’s time for risk evaluation. This is where we assess the risks that have been prioritised based on how likely they are to happen and how much they’ll impact the business.
This helps us to work out which risks need our immediate attention and which we can monitor over time.
Then, we need to think about developing ways to deal with the risks as part of the risk assessment process.
These strategies involve putting together plans to reduce or get rid of the risks that have been identified.
This could mean putting in place new security controls, updating policies, or beefing up employee training to address specific vulnerabilities and threats.
Finally, it’s important to keep detailed records of the assessment process and findings.
This is vital for future reference to make sure we’re complying with the rules, and to make sure we can go back and review everything we’ve done.
For reference of MFA, kindly check “MFA for Active Directory: Your Easy Button for Advanced Security.”
Best Practices for Effective IT Risk Assessment
It’s a good idea to regularly update the risk assessment so you can keep the security measures relevant.
This approach lets organisations adapt to new threats and evolving vulnerabilities quickly.
On the other side, a thorough approach is key to identifying all potential risks, including those that might seem minor.
If you ignore small vulnerabilities, you could end up with a significant security breach. Attackers often exploit the weakest link.
Consequently, it’s vital to get IT staff, management and external experts involved in IT risk assessments.
This mix of people brings different ideas and experience, which helps us see the risks in a more rounded way.
Stakeholders from different departments can give you a better idea of how IT risks affect different parts of the business, which helps you come up with more effective risk management strategies.
Using automated tools for vulnerability scanning and risk analysis can help make the assessment process more accurate and efficient.
Automated tools can quickly spot vulnerabilities and give you a detailed analysis, so you can deal with them quickly.
These tools also help us keep an eye on things 24/7, so we can spot and deal with threats as they happen.
On the other hand, we need to think about how employees are often the first line of defence against cyber threats. If they’re aware and act proactively, they can prevent a lot of security incidents.
So, it’s a good idea to hold regular training sessions and awareness campaigns to keep employees up to date with the latest threats and best practices in IT security.
Continuous monitoring is a must for keeping a proactive security stance.
By putting these systems in place, companies can spot and deal with threats as they happen, which helps to avoid any major problems.
Continuous monitoring also lets you make real-time adjustments to security measures, so the organisation stays resilient against new and emerging threats.
Happier Minds also says that it’s important to integrate IT risk assessment into the wider enterprise risk management system to understand the wider impact of IT risks.
If you see IT risk assessment as part of overall risk management, you’ll make sure that IT risks aren’t treated in isolation. You’ll consider them within the context of the entire organisation’s risk landscape.
How Interscale Can Be Your IT Risk Assessment Partner
Let’s be honest, IT risk assessment is a pretty complex job. One of the main challenges in IT risk assessment is the sheer number of potential threats that need to be identified and managed.
And it’s not just about the tools or technology, it’s also about the people involved. And often, it’s the human factor that causes the most chaos.
That’s why we at Interscale offer customized IT risk assessment solutions that cater to the unique needs of businesses.
By teaming up with Interscale, you get access to a team of experienced pros who can do a full assessment, put together a customized risk management plan, and keep providing support to make sure your IT environment stays secure.
For instance, Interscale helped Davey Water Products identify and address some pretty significant cybersecurity vulnerabilities, which meant they could keep their systems and data safe and sound.
With all these kinds of capabilities, we understand you might want to do a few background checks on us.
To get started, we suggest you visit and read our Interscale Cybersecurity Support page.
Or, if you want more detail and a more comprehensive adjustment, just make an appointment. We’re here for you 24/7.
In Closing
The world of threats is always changing. This ongoing dedication ensures that your business stays strong and secure.
If you only see IT risk assessment as a technical task, you’re missing the bigger picture.
And with cyber threats always changing, it’s good to have a specialist like Interscale on your side, so you can keep up with the latest and keep thriving.
So, what is IT risk assessment? It’s a strategic process that gives your business a solid foundation in security and resilience.
