Cybersecurity Risk Management - How to Manage Third-Party RisksEvery day we are informed of breaches of data that have exposed private information of hundreds of thousands, if not millions of people. These breaches usually stem from third-party partners, such as the company that experiences an outage to their system.Analyzing cyber risk begins with accurate information about your threat landscape. This helps you decide which threats need your most urgent attention first.State-sponsored attacksCyberattacks by nation-states can cause more damage than other type of attack. Attackers from nations are usually well-equipped and have sophisticated hacking techniques, which makes it difficult to detect them or to defend against them. They can take sensitive information and disrupt services for businesses. In addition, they are able to cause more harm by targeting the company's supply chain and harming third-party suppliers.The cost of a nation-state terrorism attack is estimated at $1.6 million. Nine out of 10 organizations believe they've been the victims of an attack that was backed by a state. And with cyberespionage growing in the eyes of nations-state threat actors it's more crucial than ever before for businesses to implement solid cybersecurity practices in place.Cyberattacks against states can take a variety of forms, from taking intellectual property, to ransomware or a Distributed Denial of Service (DDoS) attack. They can be performed by cybercriminal organizations, government agencies which are backed by states, freelancers employed to carry out a nationalist operation or even hackers who target the general population.Stuxnet was an innovative cyberattacks tool. It allowed states to weaponize malware against their adversaries. Since since then, cyberattacks are employed by states to achieve political, military and economic goals.In recent years there has been an increase in the number of attacks sponsored by governments and the advanced nature of these attacks. Sandworm is a group that is backed by the Russian government has targeted both consumers and businesses by using DDoS attacks. This is distinct from traditional crime syndicates, that are motivated by the desire to make money. They tend to target both consumers and businesses.Responding to a national state actor's threat requires a lot of coordination between multiple government agencies. This is a significant difference from the "grandfather's cyberattack" where a business would submit an Internet Crime Complaint Center Report (IC3) to the FBI but not have to engage in significant coordinated response with the FBI. Responding to a nation-state attack requires a higher degree of coordination. It also involves coordinating with other governments, which can be time-consuming and challenging.Smart DevicesCyberattacks are growing in frequency as more devices connect to the Internet. This increase in attack surfaces can cause security issues for companies and consumers. Hackers could, for instance attack smart devices in order to steal data or compromise networks. This is particularly true when devices aren't properly secured and secured.Smart devices are particularly appealing to hackers as they can be used to gather an abundance of information about businesses or individuals. Voice-controlled assistants such as Alexa and Google Home, for example, can learn a great amount about their users through the commands they receive. They can also gather data about the layout of users' homes and other personal information. Additionally they are frequently used as an interface to other types of IoT devices, including smart lights, security cameras and refrigerators.Hackers can cause severe harm to people and businesses if they gain access to these devices. They can make use of them to commit a variety of crimes, including fraud and identity theft. Denial-of-Service (DoS) attacks and malicious software attacks. Additionally, they could hack into vehicles to alter GPS locations, disable safety features and even cause physical injuries to drivers and passengers.There are ways to reduce the harm caused by these devices. For instance users can change the default passwords that are used on their devices to stop attackers from easily locating them and enable two-factor authentication. It is also essential to upgrade the firmware on routers and IoT devices regularly. Furthermore using local storage instead of the cloud can reduce the risk of an attack when you transfer or the storage of data to and from these devices.It is essential to understand the impact of these digital harms on people's lives and the best ways to reduce the impact. In particular, studies should concentrate on identifying and developing technology solutions to help mitigate the harms caused by IoT devices. They should also investigate other potential harms such as cyberstalking, or increased power imbalances between household members.Human ErrorHuman error is one of the most prevalent factors that can lead to cyberattacks. This can be anything from downloading malware to leaving a network open to attack. A lot of these issues can be avoided by setting up and enforcing security measures. A malicious attachment could be opened by an employee within an email that is phishing or a storage configuration error could expose sensitive information.Additionally, a user could disable a security feature in their system without even realizing they're doing it. This is a common mistake that makes software vulnerable to attacks by malware and ransomware. IBM claims that human error is the main cause of security breaches. This is why it's important to know the kinds of mistakes that could lead to a cybersecurity breach and take steps to prevent them.Cyberattacks can be triggered for a variety of reasons, including hacking activism, financial fraud or to steal personal information, disrupt critical infrastructure or vital services of an the government or an organization. State-sponsored actors, vendors or hacker groups are typically the perpetrators.The threat landscape is constantly evolving and complex. Organizations should therefore regularly review their risk profiles and revise protection strategies to stay up-to-date with the latest threats. The good news is that modern technology can lower an organization's overall risk of being targeted by hackers attack and also improve its security measures.It's crucial to remember that no technology can shield an organization from every threat. This is why it's crucial to develop an extensive cybersecurity strategy that considers the various layers of risk within an organisation's network ecosystem. It's also crucial to perform regular risk assessments instead of relying solely on point-in time assessments that are often inaccurate or omitted. A comprehensive assessment of the security risks of an organization will allow for a more effective mitigation of these risks and ensure the compliance of industry standards. This will help to prevent costly data breaches as well as other incidents that could negatively impact a business's operations, finances and reputation. A successful cybersecurity strategy includes the following elements:Third-Party VendorsEvery company relies on third-party vendors - that is, businesses outside the company that provide services, products and/or software. These vendors have access to sensitive data such as client information, financials or network resources. If they're not secure, their vulnerability can become an entry point into the business' system. It is for this reason that risk management teams for cybersecurity will go to great lengths to ensure that third-party risks can be vetted and controlled.This risk is increasing as cloud computing and remote working are becoming more popular. A recent survey conducted by the security analytics firm BlueVoyant found that 97% of companies surveyed were negatively affected by supply chain security vulnerabilities. A disruption by a vendor even if it only affects a small part of the supply chain, can cause a ripple effect that threatens to disrupt the entire business.Many companies have taken the initiative to create a process which accepts new vendors from third parties and requires them to agree to specific service level agreements that dictate the standards by which they are held in their relationship with the organization. A good risk assessment will also provide documentation on how the vendor's weaknesses are assessed and then followed up on and corrected in a timely fashion.Another way to protect your business against third-party risk is to use the privileged access management software that requires two-factor authentication to gain entry into the system. This stops attackers from gaining access to your network by stealing credentials of employees.Last but not least, make sure that your third-party service providers are using the most recent version of their software. This will ensure that they don't have accidental flaws in their source code. These vulnerabilities can go unnoticed, and then be used to launch further prominent attacks.Third-party risk is a constant risk to any company. The strategies discussed above can help mitigate the risks. However, the best method to reduce your third-party risks is by constant monitoring. This is the only way to fully be aware of the state of your third party's cybersecurity and quickly spot any potential risks that could arise.