What is ransomware-as-a-service?

Ransomware-as-a-service is a business model where cybercriminals develop ransomware and sell or lease it to affiliates, who then use the software to carry out attacks on targets of their choice. This model has significantly lowered the entry barrier for cybercriminals, enabling even those with minimal technical skills to launch sophisticated ransomware campaigns.

Although RaaS has been around for a while, it started gaining traction in the mid-2010s as cybercriminals realized the profitability and scalability of offering ransomware tools as a service. Cybercriminals began offering ransomware toolkits on dark web marketplaces, making it easier for less skilled individuals to launch ransomware attacks. The practice transformed ransomware from isolated attacks by individual hackers into a large-scale criminal business model.

This business model is structured similarly to legitimate software-as-a-service (SaaS) offerings, complete with subscription-based services, user-friendly interfaces and even customer support. RaaS allowed cybercriminals to create recurring revenue streams, and by 2020, ransomware attacks had generated an estimated $20 billion in global losses.

Uncover 10 powerful cybersecurity spells to banish ransomware threats and keep your network safe from digital scares.

How does RaaS differ from traditional ransomware?

Traditionally, ransomware attacks are typically carried out by the developers themselves. They handle everything from creating malware to executing the attack and collecting the ransom. In contrast, RaaS separates these roles. Developers create the ransomware and provide it to affiliates, who then carry out the attacks. This division allows for more attacks to occur simultaneously, increasing the overall impact.

How does ransomware-as-a-service work?

The RaaS model has quickly become one of the most dangerous trends in the cybersecurity world. By lowering the technical barrier to entry, it has allowed even amateur cybercriminals to launch sophisticated ransomware attacks with minimal effort. The service operates through a structured process involving four key steps:

1. Ransomware development: Skilled cybercriminals or ransomware developers create sophisticated ransomware software designed to evade security systems and cause maximum damage. These developers continuously improve their malware to bypass evolving security measures. Prominent RaaS examples include REvil, DarkSide and LockBit, which have caused global ransomware incidents.
2. Affiliate recruiting: Once the ransomware is developed, the creators recruit affiliates via dark web forums, encrypted messaging apps or private forums. These platforms operate like a criminal marketplace. Affiliates, often referred to as “partners” or “networkers,” may pay a one-time fee or a subscription fee or agree to share a percentage of the ransom profits with the developers. RaaS affiliates pay a recurring fee — sometimes as little as $40 per month — for access to ransomware tools. For instance, RaaS operations like Avaddon offer affiliates up to 80% of the profits, depending on the service model.
3. Ransomware execution: Affiliates then handle the distribution of the ransomware. They employ various techniques, such as phishing emails, malicious downloads or exploiting security vulnerabilities, to infect a victim’s system. Once the malware infiltrates a network, it encrypts critical data, rendering it inaccessible to the victim until a ransom is paid. Notably, attacks by RaaS operators, such as DarkSide, led to high-profile incidents, like the Colonial Pipeline attack, which resulted in the company paying nearly $5 million in ransom.
4. Payment and/or profit-sharing: After encryption, victims are directed to pay a ransom, typically in cryptocurrency like Bitcoin, in exchange for decryption keys. This anonymity makes tracking and prosecuting cybercriminals much harder. The profits are then split between the affiliate and the developer according to their agreement, with affiliates often taking a larger share. Some RaaS platforms even offer 24/7 support to their affiliates, making the process more streamlined and profitable​.

Who are the typical targets of RaaS attacks?

While RaaS attacks can affect any organization, some types of targets are more frequently hit due to their specific vulnerabilities:

• Small to medium-sized businesses (SMBs): Attackers know that smaller businesses are less likely to have comprehensive defenses, such as endpoint protection or intrusion detection systems, making them vulnerable.
• Critical infrastructure: Sectors like energy, utilities, transportation and water management are targeted because disrupting these systems can cause widespread chaos, and organizations in these sectors may be willing to pay ransom quickly.
• Healthcare organizations: Hospitals and healthcare providers are prime targets due to the sensitive nature of the data they hold. The healthcare sector has seen a surge in ransomware attacks, especially during the COVID-19 pandemic, where interruptions could put lives at risk.
• Organizations with outdated security protocols: Companies that fail to update software regularly, install patches or improve their security systems are easy targets. Vulnerabilities in old systems are well-known to cybercriminals, making these organizations low-hanging fruit for RaaS affiliates.
• Educational institutions: Schools and universities often operate on tight budgets, making security improvements difficult. In addition, they rely heavily on online platforms, increasing their attack surface.
• Financial services: Banks, investment firms and insurance companies are appealing to cybercriminals because the stolen information can be sold on the dark web or used to commit financial fraud.

Concerned that your network might be at risk? Watch our on-demand webinar to discover how to leverage your RMM solution to defend against ransomware threats effectively.

What are real-life examples of ransomware-as-a-service?

Several RaaS groups have made headlines for their devastating and widespread attacks:

DarkSide

DarkSide emerged in 2020 and quickly gained notoriety for targeting large corporations. The group is most infamous for orchestrating the Colonial Pipeline attack, which caused fuel shortages across the United States. DarkSide employs a tactic known as double extortion, where they not only encrypt data but also threaten to leak it unless the ransom is paid, adding another layer of pressure on their victims.

LockBit

LockBit has been active since 2019 and is distinguished by its emphasis on speed and automation in ransomware deployment. The group made headlines when it targeted Accenture, a major consulting and professional services firm. LockBit’s self-spreading capabilities enable it to infect systems rapidly, making it particularly effective and dangerous.

REvil

REvil, also known as Ransomware Evil, has become infamous for its involvement in several high-profile attacks. One of the most notable incidents was its attack on JBS Foods, the world’s largest meat processor, which disrupted global food supply chains. REvil is known for demanding exorbitant ransoms, sometimes exceeding $40 million, and it often targets major enterprises.

Conti

Since 2020, Conti has been linked to over 400 attacks globally, demonstrating its operational scope. A key incident involving Conti was its attack on Ireland’s Health Service Executive (HSE), which severely impacted healthcare services. Conti is recognized for its fast encryption process and its use of highly targeted phishing emails to infiltrate networks, making it a persistent threat.

What has contributed to ransomware-as-a-service growth?

Several key factors have contributed to the rise of RaaS, making it one of the most profitable and pervasive cybercrime models today:

• Lowered barriers to entry: The RaaS model allows individuals with minimal technical expertise to participate in ransomware attacks by simply purchasing or subscribing to ransomware kits developed by skilled cybercriminals. These tools come with user-friendly interfaces, support systems and updates, making it easier than ever for non-experts to execute sophisticated cyberattacks.
• High profitability: Ransomware attacks often result in substantial ransom demands, typically ranging from tens of thousands to millions of dollars. The potential for large payouts with minimal overhead costs has made RaaS highly attractive to cybercriminals.  
• Anonymity: The use of cryptocurrencies, like Bitcoin, for ransom payments, combined with encrypted communication channels on the darknet, makes it incredibly difficult for law enforcement to track cybercriminals and affiliates. This level of anonymity enables attackers to operate with relative impunity, lowering the risk of prosecution. Even when individual affiliates are caught, the decentralized nature of RaaS makes it difficult to dismantle the entire operation.
• Global reach: RaaS platforms can be marketed and distributed worldwide, meaning that cybercriminals are not restricted to geographic boundaries. This global reach exponentially increases the number of potential targets, from small businesses to large multinational corporations.
• Lack of adequate security measures: Many organizations still fail to update their security protocols regularly, leaving their systems vulnerable to attack. Outdated software, weak passwords and a lack of comprehensive cybersecurity policies create gaps that RaaS affiliates can easily exploit.
• High profitability with minimal risk: RaaS offers high profitability with relatively low risk. The decentralized nature of RaaS operations allows developers to stay insulated from direct involvement in attacks, while affiliates bear the brunt of the risk by distributing the ransomware. Even if one affiliate is caught, the larger operation continues, making it a resilient and sustainable business model for cybercriminals.

How to stop ransomware-as-a-service

Protecting your organization from RaaS involves a multilayered security approach:

• Patch Management and Software Updates: Regularly updating software fixes vulnerabilities and reduces the risk of breaches. Automated patch management tools ensure timely updates and minimize exposure to threats.
• Endpoint Protection and Security: Installing strong antivirus and antimalware solutions helps block malicious software. Firewalls and intrusion detection systems add extra security by monitoring and controlling network traffic.
• Threat Detection and Response: Continuous network monitoring identifies suspicious activities early. Having an incident response plan ensures swift action to minimize damage from breaches.
• Security Awareness Training: Educating employees on phishing and safe online practices reduces human error. Regular training and simulations reinforce this knowledge, helping to prevent attacks.
• Data Backup and Recovery: Regular backups protect critical data from loss. Storing backups offline or in secure cloud services ensures they remain safe from infection or attacks.

When it comes to fighting ransomware, investing in individual, siloed solutions can lead to gaps in security, inefficiency and extra costs. IT teams need integrated systems that seamlessly manage security, endpoints and operations from a single platform. Kaseya 365 offers exactly that — a unified solution that covers all the essential needs of an IT team. In the event of a cybersecurity attack, Kaseya 365’s automation and powerful integrations enable technicians to quickly isolate, quarantine and resolve the issue, effectively neutralizing ransomware threats in real-time.

Automatically detect and prevent RaaS attacks with Kaseya 365

Kaseya 365 simplifies IT management by combining endpoint management, backup, security and automation into one powerful, affordable platform. With features like automated patch management, ransomware detection and antivirus, it ensures your systems stay secure and up to date. Additionally, Kaseya 365 proactively safeguards your Microsoft 365 data with automated backup and recovery, minimizing downtime and mitigating the impact of ransomware attacks.

For those needing advanced protection, the Pro version includes endpoint detection and response (EDR) for an extra layer of defense against sophisticated threats.

At the heart of Kaseya 365 is Kaseya VSA, a robust and versatile remote monitoring and management (RMM) tool that automates critical tasks like patch management and ransomware detection. This allows you to manage your IT environment effortlessly, ensuring security and efficiency. Check out this on-demand webinar to learn how VSA can help fortify your defenses.

Strengthen your defenses and give your IT team peace of mind. Take a demo today and see how Kaseya 365 can transform your security strategy.

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In 2021, CNA Financial Corp, one of the largest insurance companies in the U.S., paid $40 million as ransom. It is likely to be the biggest ransom ever paid. That’s not all though. In 2022, 71% of companies worldwide were affected by ransomware and 62.9% of victims of ransomware attacks paid the ransom. These numbers show that ransomware is getting increasingly difficult to escape.

However, strong passwords, timely patching and configuration hardening are all safeguards that will keep your users, data and devices safe. In this blog, you’ll find useful tips and tricks for using a best-in-class RMM like VSA to avoid a ransomware-induced IT heartbreak.

1. Let’s patch things up

Although the cornerstone of any security exercise is patching, many companies fail to implement a robust patch strategy. Sadly, many companies still practice manual patching, a process as old as time and slow as molasses. Their tools and systems do not allow them to patch hundreds of endpoints simultaneously without inconveniencing the end users.

Kaseya VSA is a cutting-edge RMM solution that leverages automation capabilities to provide futuristic patching technologies to the modern IT professional. It supports fire-and-forget and risk-based patching for windows and macOS devices so you can sit back and secure all your endpoints on time. VSA also boasts a library of over 230 patchable third-party applications and vets them to limit day-one disruptions. You get more granular control over the process and decrease the chances of unintended consequences.

VSA also has the perfect feature to patch the endpoints of those users who delay patching for days on end. About 57% of ransomware attacks result from unpatched software due to end users blocking patches and compromising organizational security, often leading to devastating consequences. VSA’s integration with the Intel vPro platform allows it to turn on endpoints in the middle of the night, patch them and then turn them off again. No more worrying about careless end users.

2. Swipe right on configuration hardening

Configuration hardening reduces a company’s attack surface against threats and security risks. An attack surface is the sum of all the endpoints and vulnerabilities a cybercriminal can exploit to gain unauthorized access to your organization. Reducing the attack surface, implementing strict security practices and ensuring that all users adhere to them can strongly deter cybercriminals from carrying out their plans.

Security practices, such as configuration hardening, are holistic in nature. It includes keeping all ports closed, limiting user permissions and preventing anyone from executing scripts unless absolutely necessary. Properly configuring your firewalls and enforcing two-factor authentication are also a must. Keeping track of all your endpoints, enforcing 100% antivirus (AV) and antimalware (AM) compliance, and conducting deep, rich and continuous discovery will ensure that no endpoints go unprotected.

While doing all of the above might seem impossible with your current RMM, VSA allows you to do all this and more right out of the box. With VSA, you can automate user onboarding, deploy AV/AM remotely and even auto-remediate alerts for security risks, like unauthorized port usage, in a wink. Not only will you deliver high-quality work, but you can demonstrate your cybersecurity and IT resilience to clients, auditors and insurers by leveraging VSA’s advanced IT reporting and logging features. Shrink your attack surface, strengthen your defenses and get ahead of the curve.

3. Catch those red flags before it’s too late

If an alert crosses your desk that has you scratching your head, investigate it immediately. The most likely cause of any unusual activity on your systems and endpoints is an intruder trying to sneak around unnoticed. Keeping an eye out for the unknowns is the smart way to uncover a cyberattack before it can raise hell.

Organizations can identify new threats and take proactive measures to mitigate them by monitoring unusual behavior patterns, such as file encryption, backup deletion, boot file alteration and ransomware notes. Attackers also try to escalate privileges to gain access to more critical systems and data as they move laterally through a network.

Additionally, you should monitor for foreign RMM agents since some conventional RMM free trials are being used to spread ransomware. Our new native Ransomware Detection module on VSA ensures that our free trials are vetted in advance, avoiding incidents. This module detects ransomware-style behavior with almost no false positives and quarantines infected endpoints immediately.

The dwell time, which is the time between the moment of compromise and the organization discovering the attack, has doubled from 13 to 31 days in the last two years. In other words, detecting ransomware early and quarantining the infected endpoint can be a veritable silver bullet for your organization’s security.

It’s time to change the game with Kaseya VSA

This year, don’t let a ransomware attack leave you brokenhearted, beaten down and stuck rebuilding your entire IT ecosystem. Watertight cybersecurity can be yours right out of the box with a best-in-class RMM like VSA. Name your security task and VSA will fulfill it for you. Thanks to its automation capabilities, VSA will increase technician efficiency by 25% and reduce ticket volume by 30%. Want to see what VSA can monitor, manage, secure and automate for you? Book your free demo now!

The post Avoid IT Heartbreak This Valentine’s Day With Ransomware Detection appeared first on Kaseya.

What is ransomware?

Ransomware is a type of malicious software(malware) that employs the use of encryption to withhold sensitive information (files, applications, databases) of the victim at ransom. Once encrypted by ransomware, the critical data is rendered inaccessible to the user or organization until a certain ransom is paid to the attacker. More often than not, these ransomware attacks impose a deadline by which the victim needs to make the ransom payment. In the event of nonpayment by the deadline, either the affected data is lost forever, or the ransom amount increases.

Typically designed to quickly spread across the target network or database, ransomware can effectively paralyze an entire organization within minutes. The menace of ransomware is real, leading to billions of dollars being lost to ransom payments and significant damages/expenses for both private and government-owned organizations.

What is dwell time?

Dwell time is essentially the time period between the attacker’s initial entry into the target organization’s network/database and the time when the organization becomes aware of the existence of the attacker within its environment and takes action to eradicate them. In most ransomware incidents, hackers go past firewalls for 14 days, 30 days or more. Dwell time is steadily increasing year over year with most attackers spending longer and longer in the victim’s systems before they’re ready to detonate the bomb. The moment of compromise is not actually the moment you often learn about it. It actually happened weeks before.

What is ransomware protection?

Ransomware protection can be described as a series of measures/safeguards that organizations put in place with the aim to avoid, prevent, defend against and mitigate damage from a ransomware attack. In other words, it is a multilayered approach to combatting the multilayered problem of ransomware attacks using infrastructure monitoring and management, cybersecurity and backup and disaster recovery measures. Here’s a list of measures that you can take in order to protect your data and systems against the far-reaching impact of ransomware attacks:

• Always keep data backups.
• Deploy a robust ransomware protection solution.
• Keep your OS, applications, security software and programs patched and updated.
• Train your employees in the security best practices to avoid ransomware attacks, such as never clicking on links or email attachments from unreliable sources.
• Practice caution online and beware of malicious pop-up ads and websites.
• Never use public Wi-Fi networks to surf the internet. Use VPN (virtual private network) instead to prevent your critical data from exposure.
• Avoid using USB drives from unknown sources.

Why do we need ransomware protection?

According to Kaseya’s 2022 IT Operations Survey report, more than a third of IT professionals cite ransomware protection among the top three technology considerations for 2023. So, why is ransomware protection such a big deal? Given the rapid advancements in cyber technology, ransomware is fast becoming one of the most preferred ways for attackers to launch attacks on individuals and organizations. Your systems and networks are growing ever more susceptible to ransomware attacks by the day. A report by Sophos reveals that nearly 66% of organizations were hit by a ransomware attack in 2021!

The average cost of a ransomware attack in 2022 (not including the ransom itself) is a whopping $4.54 million. It goes without saying that a single ransomware attack can quickly drain you of your resources. Protecting your organization against ransomware attacks has become a crucial part of any robust cybersecurity posture.

What are the best practices for protecting against ransomware?

Now that we know how important it is to protect your organization against the menace of ransomware attacks, let’s look at some of the best practices that you must follow in order to strengthen your security posture.

Network monitoring from your RMM

Regular monitoring of your networks is one of the best strategies that can help you identify any possible intrusions within your IT environment and stop an attack before it occurs. A robust RMM/endpoint management solution can help you stay on top of your network monitoring needs.

Backup and recovery

Deploying a comprehensive backup and recovery solution is imperative to ensuring that you never lose your critical data, even when your organization is exposed to a ransomware attack. Get a backup solution that provides daily, automated backup of your SaaS data on Google Workspace, Salesforce, and Office to their own secure cloud infrastructure, so that if you ever lose data, you can restore it directly back into your environment.

Patch management

Fixing software vulnerabilities through patching reduces the “attack surface” and keeps hackers at bay. Patch management is critical when it comes to securing your systems. The primary purpose of patches is to fix functional bugs and security flaws in the software. For efficient patching, you must put in place an automated process that reduces the burden on your IT team as much as possible.

Antivirus and anti-malware

Configuring and deploying a strong antivirus and anti-malware tool across your network can significantly reduce the chances of attackers invading your IT environment and gaining control over it.

Anti-phishing and email security software

Email is the most successful delivery method for the costliest cyberattacks out there including ransomware. Building a strong defense against phishing is one of the most important strategies for deflecting malicious attacks and keeping the integrity of your systems, networks and data intact. Make sure to install automated anti-phishing and email security software that protects you from cybercriminals posing as trusted contacts.

Security awareness training

In addition to deploying cybersecurity solutions, businesses must also focus on educating their employees about security best practices that will help them act as yet another line of defense against attackers. Regular security awareness training can help transform your employees into your biggest defensive asset.

Whitelist software and applications

Whitelisting software and applications involves indexing of approved executable files or software applications that are allowed to be available and active on an organization’s IT infrastructure. This helps businesses protect their systems and networks against harmful applications that can act as a gateway for attackers to gain unauthorized access to them.

Privileged access management

As the name suggests, privileged access management refers to the process of designating special (above standard) access or permissions to specific users within the network. This enables organizations to preserve the confidentiality of their critical data and keep their IT environment secure against potential cyberattacks.

Intrusion detection system

An Intrusion Detection System (IDS) monitors network traffic for suspicious activities and known threats, and issues alerts when such activities are discovered. It allows you to guard your business against attempts to gain unauthorized access and identify and eliminate the source of any potential intrusion. Deploying an intrusion detection system is a smart strategy to keep out potential intruders from your IT environment.

Network segmentation

Network segmentation is the process of dividing your computer network into multiple, smaller subnets or segments in order to enhance the network’s security. It helps achieve that by protecting vulnerable devices against harmful traffic and also restricting the extent to which a cyberattack can spread within the network by keeping the outbreak contained within the affected segment.

Immutable storage

Deploy a backup solution that provides long-term immutable cloud storage wherein your data cannot be deleted or modified by the source. This will reinforce the integrity of your backed-up data and prevent complete data loss in the event of a ransomware attack.

Endpoint protection

Endpoint protection, also known as endpoint security, involves the use of advanced security tools and processes to secure various endpoints like servers, workstations and mobile devices that connect to a corporate network. Focus on comprehensive endpoint protection for your business to prevent cybercriminals from stealing or altering valuable company data and applications, or from hijacking the business network, all of which can grind operations to a halt.

Protect your organization against ransomware with Kaseya

A best-in-class RMM/endpoint management solution such as Kaseya VSA can help bolster your cybersecurity posture and prevent and combat any potential ransomware attacks on your systems and networks. Kaseya VSA helps you achieve that by:

• Monitoring everything (files being encrypted, escalating privileges, attackers moving laterally through the network, foreign RMM agents being installed etc.)
• Enabling no-click user onboarding with configuration hardening (no admin privs, no scripting privs, closed ports, enforced 2FA, etc.)
• Offering automated patch management
• Automatically quarantining infected endpoints
• Monitors the status of endpoints and generates alerts for any detected ransomware events including possible file encryption/deletion or the presence of ransomware notes
• Triggers automated workflows to isolate any infected machines and then disconnect the endpoint from the network
• Users can then leverage a BCDR solution to restore the infected machine and make the network whole

Want to know more about building a strong defense against the ransomware menace with Kaseya VSA? Book your free demo now!

The post Ransomware Protection: Best Practices for Securing Your Data appeared first on Kaseya.

In an IT environment, an attack surface is referred to as the sum of all potential points or attack vectors from which an unauthorized user/attacker can gain unauthorized access to a system and extract data from within.

In other words, an attack surface consists of all endpoints and vulnerabilities an attacker could exploit to carry out a security breach. As such, it is a security best practice to keep the attack surface as small as possible to reduce the risk of unauthorized access or data theft.

What is the difference between attack surface and attack vector?

As previously mentioned, an attack surface represents all the touchpoints on your network through which a perpetrator can attempt to gain unauthorized access to your software, hardware, network and cloud components.

On the other hand, an attack vector is the actual method the perpetrator employs to infiltrate or breach a system or network. Some common examples of attack vectors include compromised credentials, ransomware, malicious insiders, man-in-the-middle attacks, and poor or missing encryption.

What is an example of an attack surface?

Now that you know what an attack surface is, let’s take a look at some common examples. Common examples of attack surfaces include software, web applications, operating systems, data centers, mobile and IoT devices, web servers and even physical controls such as locks.

Types of attack surfaces

Attack surfaces may be categorized as digital and physical. Both digital and physical attack surfaces should be restricted in size to protect the surfaces from anonymous, unauthorized public access.

What is a digital attack surface?

As the name suggests, a digital attack surface represents any digital touchpoints that might act as an entry point for unauthorized access to your systems and network. These include codes, servers, applications, ports, websites and unauthorized system access points. Any vulnerabilities arising from weak passwords, exposed application programming interfaces, ill-maintained software or poor coding are part of the digital attack surface.

Anything that lives outside the firewall and is accessible through the internet is part of a digital attack surface. Cybercriminals often find it easier to gain unauthorized access to your systems by exploiting weak cybersecurity as compared to physical attack surfaces.

Digital attack surfaces may include three different types of assets:

Unknown assets – Often termed as orphaned IT or shadow IT, these assets lie outside the purview of your IT security team and include anything from employee-installed software to marketing sites and forgotten websites.

Known assets – These include managed and inventoried assets such as corporate servers, websites and the dependencies that run on them.

Rogue assets – Any malicious infrastructure created by threat actors, such as a typo-squatted domain, mobile app or website that impersonates your company or is malware, falls under the category of rogue digital assets.

What is a physical attack surface?

In contrast to a digital attack surface, a physical attack surface represents all hardware and physical endpoint devices such as desktops, tablets, notebooks, printers, switches, routers, surveillance cameras, USB ports and mobile phones. In other words, a physical attack surface is a security vulnerability within a system that is physically accessible to an attacker to launch a security attack and gain access to your systems and networks.

As opposed to a digital attack surface, a physical attack surface can be leveraged even when a device is not connected to the internet. Physical attack surfaces are usually exploited by insider threats with easy access, such as intruders posing as service workers, BYOD or untrustworthy devices on secure networks, social engineering ploys or rogue employees.

Attack surface management

Attack surface management (ASM) is defined as the process that enables continuous discovery, classification, inventory, security monitoring and prioritization of all external digital assets within your IT environment that contains, processes and transmits sensitive data. Attack surface management covers everything outside the firewall that cybercriminals can/will discover and exploit to launch an attack.

Important things to consider while implementing attack surface management include:
• The complexity, breadth and scope of your attack surface
• Your asset inventory
• Your attack vectors and potential exposures
• Ways to protect your network from cyberattacks and breaches

Why is attack surface management important?

Given the fast-paced evolution of cyberattacks, it is becoming increasingly easy for hackers to launch comprehensive, automated reconnaissance to analyze the target attack surface inside out. Attack surface management is an effective strategy to defend your digital and physical attack surfaces against potential cyberattacks through continuous visibility into your security vulnerabilities and quick remediation before they can be exploited by the attacker.

Attack surface management helps mitigate the risk of potential cyberattacks stemming from unknown open-source software, outdated and vulnerable software, human errors, vendor-managed assets, IoT, legacy and shadow IT assets, intellectual property infringement and more. Attack surface management is imperative for the following:

Detection of misconfigurations

Attack surface management is required to detect misconfigurations in the operating system, website settings or firewall. It is also useful for discovering viruses, outdated software/hardware, weak passwords and ransomware that might act as entry points for perpetrators.

Protecting intellectual property and sensitive data

Attack surface management helps secure intellectual property and sensitive data and mitigates risks associated with shadow IT assets. It helps detect and deny any efforts to gain unauthorized access.

How do you manage an attack surface?

The steps or stages of attack surface management are cyclical and ongoing. They may vary from organization to organization. However, the basic steps that are usually standard across all organizations are:

1. Discovery: Discovery is the first step of any attack surface management solution. In this step, you discover or gain comprehensive visibility to all internet-facing digital assets that process or contain your business-critical data such as trade secrets, PHI and PII.
2. Inventory: Discovery is typically followed by digital asset inventory or IT asset inventory that involves labeling and dispatching assets based on their business criticality, technical properties and characteristics, type, owner or compliance requirements.
3. Classification: Classification is the process of categorizing/aggregating assets and vulnerabilities based on their level of priority.
4. Monitoring: One of the most important steps of attack management, monitoring enables you to keep track of your assets 24/7 for any newly discovered compliance issues, misconfiguration, weaknesses and security vulnerabilities.

Attack surface reduction

Attack surface reduction is one of the fundamental goals of all IT professionals. Attack surface reduction entails regular assessment of vulnerabilities, monitoring anomalies and securing weak points.

Why is attack surface reduction important?

Minimizing your attack surface can help you significantly reduce the potential entry points for cybercriminals to launch an attack. While attack surface management is imperative for identifying any current and future risks, attack surface reduction is crucial for minimizing the number of entry points and reducing the security gaps that a cybercriminal might leverage to launch an attack.

What are attack surface reduction best practices?

Let’s take a look at some of the most important best practices that will help you implement efficient attack surface reduction.

Embrace zero trust 

Zero trust implies that no user should be permitted access to critical business resources until their identity and the security of their device has been proven. This reduces the number of entry points by ensuring that only authorized users have access to business systems and networks.

Minimize complexity

Minimize complexity around your IT environment by disabling unnecessary/unused devices and software, and reducing the number of endpoints to simplify your network.

Scan regularly

Running regular network scans is an effective way to quickly identify potential vulnerabilities and security gaps. Full attack surface visibility is crucial to prevent issues with on-prem and cloud networks and to also make sure they can be accessed only by approved users.

Manage access

People move in and out of organizations. It is imperative to remove all access to the network as soon as a user parts with the organization.

Harden authentication protocols

Security-hardening your authentication policies is a critical component of attack surface reduction. In addition to using a strong authentication layering on top of access protocols, you must also leverage role-based or attribute-based access controls to make sure that the data is accessible only to authorized users.

Segment your network

Another effective attack surface reduction best practice is to segment your network by building more firewalls and making it tougher for hackers to gain entry to your systems quickly. With the right segmenting, you can successfully drive security controls down to a single user or machine.

Manage and reduce attack surfaces with Kaseya

With Kaseya’s comprehensive range of solutions, you can security-harden your IT infrastructure by reducing and managing your attack surfaces. Kaseya’s robust endpoint management tool, VSA, enables you to monitor, manage and secure all your on- and off-network devices from a single pane of glass, thus reducing your attack surfaces and bridging any security gaps in your IT environment. Want to know how? Request a free demo today!

The post Attack Surface: Definition, Management and Reduction Best Practices appeared first on Kaseya.

What is an IT risk assessment?

IT risk assessment refers to the process of identifying and mitigating the risks and threats that can compromise a company’s IT infrastructure, network and database.

Globally, cybersecurity has emerged as one of the biggest challenges facing corporations, and discussions on how to prevent and defend against cyberthreats have been a focal point of MSPs and IT teams this year. Knowing which cyberthreats your business is most vulnerable to will help you improve your security setup, invest in the right tools and take preventative steps to stop a major breach or incident.

Nonetheless, IT risk assessment isn’t just confined to cybersecurity. Hardware or software failure, backup and recovery problems, physical damage to devices or any other factor that could negatively affect IT infrastructure and disrupt business operations is included in the IT risk assessment plan.

In a nutshell, an IT risk assessment involves examining all the IT assets of your company or customers to identify each one’s vulnerabilities and the threats most likely to harm them. It also involves assessing the potential loss or damage to the business should any of these assets be compromised, and developing a plan to mitigate or contain any threats should they occur.

What is the purpose of an IT risk assessment?

The risk profile of every company varies based on factors such as industry, location and database. Moreover, these factors also govern how organizations set up their IT infrastructure as well as the rules and compliance requirements that must be followed. IT risk assessments help companies not only protect themselves against cybercrime or other IT infrastructure-related failures, but also ensure compliance with government-mandated regulations.

IT risk assessments are designed to assist companies in identifying challenges in a systematic manner, so the right solution can be put in place.

Why is an IT risk assessment important?

The aim of an IT risk assessment plan is to identify weaknesses and loopholes in your company’s IT infrastructure so that you can take remedial measures to close them before they become a bigger issue or are exploited by internal or external threat actors.

You can collect a great deal of data about your IT assets and setup using the risk assessment process, which facilitates better decision-making and allows you to determine the appropriate IT budget.

The following are some benefits of an IT risk assessment:

Understanding your risk profile: Once you determine which risks you are subject to and why, you can formulate a well-considered battle plan to minimize the impact of even high-impact threats.

Evaluating existing security controls and tools: In some form or another, all companies have a security system in place. IT risk assessments allow you to evaluate your security strategy and tools and determine their effectiveness against the threats to which your business is vulnerable. Then you can identify what needs to be improved within your business and what threat intelligence tools would be most suitable.

Lower downtimes: Productivity is negatively impacted by server and application downtime. Risk assessments are not only used to identify security risks but also to monitor the health and functionality of devices. This is done so that they can be updated and upgraded regularly, thereby reducing the amount of downtime an organization experiences.

Help create robust policies: Risk assessments can serve as a valuable foundation for creating robust security policies that are easy to implement, meet your organization’s needs and guarantee more comprehensive security.

Cost control: Performing regular risk assessments will also let you know where to cut costs and where to concentrate resources. With the right IT solutions, you can optimize your IT budget, earn a higher return on investment and ensure better security.

Ensure compliance: Each organization must comply with the data security laws of the country, regions and industry in which they operate. The government and regulatory agencies enact new regulations frequently, so keeping up and complying can get difficult. Performing IT risk assessments can ensure your infrastructure and processes are always in compliance with the laws. Moreover, full compliance can increase your chances of having your claim accepted by an insurer in the event of a security breach.

How often should you perform IT risk assessments?

IT risk assessments should be conducted periodically and whenever a major external or internal factor warrants a reevaluation. Below are some situations and times when risk assessments are necessary.

Annually: IT risk assessments should be performed at least once a year and should be planned in such a way that your assessment report can be made available during external audits. If you are audited by a regulatory agency, you’ll have the documents in place.

Change in government policies: You should conduct an IT risk assessment whenever there is a critical change in a policy requirement in order to remain compliant with the new laws and regulations.

A major global security event: The occurrence of large-scale cybersecurity events has become commonplace. In the wake of any major cybersecurity event, businesses should evaluate their IT infrastructure and ensure that they are protected.

Change in internal business process: Work culture continues to evolve globally. Due to the COVID-19 pandemic, remote work has become the norm, with companies now exploring hybrid environments. As your company’s needs change, your IT infrastructure must be upgraded and designed accordingly. In short, any change in your company’s structures, operations or departments, or issues relating to a security incident or compliance, justify an IT risk assessment. This will ensure that all updates and new additions to your IT infrastructure are made secure.

Who should be involved in a risk assessment?

Companies should have a committee or a team that takes feedback from the various departments, executives and employees before determining a risk assessment plan. The involvement of C-level executives in the committee will allow for better risk assessment and faster upgrades and improvements. At its core, the risk assessment team will consist of IT staff and technicians who know how information is stored and shared across the network, and who have the technical know-how to design a risk assessment framework.

Sometimes, small or medium-sized businesses (SMB) lack the resources or expertise to conduct an extensive risk analysis, so they hire external experts, such as MSPs or MSSPs, to assess IT risks and provide comprehensive cybersecurity tools to mitigate cyberthreats.

What are the types of IT risk?

IT infrastructure is the backbone of an organization, and its security and efficiency are key to ensuring business continuity and growth. However, no infrastructure can be 100% protected from risk. Let’s look at some common IT risks.

Hardware and software failure: The failure may be caused by corruption of the data, physical damage to the devices or the device becoming old. Errors in backup systems may also lead to data loss.

Human error: It can be caused by incorrect data processing, careless data disposal or accidentally opening infected email attachments.

Internal threats: Employees may accidentally delete critical business information, share it on unsecure networks, making it publicly available, or even steal data and sell it on the dark web to make a quick buck.

Malware and viruses: Cybercriminals use viruses and malware to take over and disrupt computer systems and networks to render them inoperable.

Phishing email: About 80% of IT professionals say they are facing a significant increase in phishing attacks in 2021. Phishing is a form of social engineering attack where threat actors use legitimate-looking messages to trick people into providing their personal information or account credentials, or downloading malicious files onto their computers.

Hacking: A cybercrime method by which criminals attempt to gain access to a user’s system and use the device to carry out various unpleasant activities such as halting business operations, stealing information, conducting corporate espionage or demanding ransom, to name a few.

Security breaches: It can be a breach of a company’s digital systems or a physical invasion of its facilities to steal information.

Natural and man-made disasters: Acts of terrorism, floods, hurricanes, fires and earthquakes are all events that can physically compromise a company’s network infrastructure and database integrity.

What happens if a risk assessment is not done?

The consequences of failing to conduct a risk assessment proactively can be severe. The consequences of skipping this step can be both operationally and financially dire, cascading into a complete catastrophe. Failure to carry out IT risk assessment can lead to:

Fines: Not performing risk assessments increases your vulnerability to threats. Risk management should not be taken lightly since not following it can put not only your company’s data at risk but the data of your customers as well. In the event of an incident, you are certain to receive hefty regulatory fines.

Customer dissatisfaction: When your IT infrastructure is outdated and unsecure, you will have longer project turnaround times and lower quality projects. As a result, you’ll lose customers and experience revenue losses.

Data loss: Losing data can be attributed to not having the right data storage, sharing and backup features. Poor security infrastructure can also lead to data theft and having no backup in place can bring the curtain down on your business forever.

Missed opportunities: The only way to stay ahead of the competition is to keep up with technological changes. When the pandemic hit, companies with a digital setup had an advantage over those that had to quickly scramble to adopt it. It’s easier to win more business with a modern and up-to-date IT system in place.

Financial damage: An infrastructure that is vulnerable is a playground for cybercriminals. In 2021, a data breach cost an average of $4.24 million, up 10% from $3.86 million in 2020 — the highest percentage increase year-over-year in the past 17 years.

Loss of reputation: Financial damage is not the only consequence of cybersecurity incidents. Reputational damage is also an issue.

How is an IT risk assessment conducted?

It can be cumbersome to undertake an IT risk assessment due to its scope and the breadth of the work. In order to conduct a proper IT risk assessment properly, the following steps must be followed:

Identify threats and vulnerabilities

The first step should be to identify and patch the vulnerabilities of critical assets. Creating a risk profile for each IT asset might be feasible for a small business, but for organizations with hundreds of thousands of assets, the task is next to impossible. In such instances, companies should grade assets based on their importance to business continuity. Additionally, it’s important to evaluate which threats each asset is most susceptible to.

Assess impact and likelihood

In addition to assessing potential threats to your business information, data and devices, you must also determine what financial impact an incident may have on your organization. When you evaluate the various risks and rank them in terms of severity, you must also consider the cost of mitigating that threat. It is also important to grade the threats based on the likelihood of them happening. Understanding these factors is crucial to designing an effective mitigation plan.

Determine risk priority level

Prioritizing risks indicates that major risks must be addressed before minor risks. After completing the previous steps, you will know what kind of threats your critical IT systems face. The loss of data, including personally identifiable information about your customers, patents or critical business expansion plans, may be more detrimental to your business than a few hours of server downtime. If you were a financial or customer-facing company, then even a few minutes of downtime could be disastrous.

Define mitigative action

Having identified the risks, the next step is to decide what security controls would be necessary to prevent these threats from coming to fruition. In today’s world, cybersecurity, or the lack thereof, represents the biggest risk for companies. Knowing the threats facing your business can help you devise a security setup that is most effective. This stage also entails determining whether your company has the internal capacity to protect against identified risks, or if you need to partner with an external security organization such as a managed service provider (MSP) or managed security service provider (MSSP).

There are three sub-steps to risk mitigation:

• Risk prevention: Patching applications and operating systems on time, using the right security tools like antivirus/antimalware, firewalls and intrusion detection tools can help prevent cyberattacks.
• Risk mitigation: Cybercriminals are more sophisticated than ever before, and even the best tools sometimes fail to detect a cyberattack. Risk mitigation plans outline the policies and procedures that guide technicians and employees on how to deal with a security incident, and how to contain the adverse effects as quickly as possible.
• Recovery: This is an essential step that determines how quickly and efficiently a company is able to return to work after a breach. In this stage, data and information must be recovered from various on-site and off-site locations while business operations must continue in a safe environment.

Document and report findings

Developing a risk assessment report is the final step in assisting management in making decisions about budgets, policies and procedures. During each threat or risk assessment cycle, the report should describe the impact and likelihood of threat occurrence, as well as recommendations to control threats or risks.

Minimize IT Risk with Kaseya

Kaseya VSA, a unified remote monitoring and management (uRMM) tool, gives you complete visibility and control over your remote and on-site devices, allowing you to maintain smooth business operations even during a crisis. Additionally, VSA automates and simplifies routine IT operations, such as patch management, so you can resolve vulnerabilities before they are exploited by cybercriminals.

Furthermore, you can reduce downtime with instant recovery, ransomware detection and automated disaster recovery testing by leveraging the Kaseya Unified Backup integration in VSA. In addition to its aforementioned integrated security functions, Kaseya VSA provides built-in product security features like Two-Factor Authentication, Data Encryption and 1-Click Access to help safeguard your IT environment.

Protect your business and clients and boost growth by integrating a modern RMM tool into your business. Schedule a demo of Kaseya VSA today!

The post IT Risk Assessment: Is Your Plan Up to Scratch? appeared first on Kaseya.

In this article, we’ll look at how cybercriminals use attack vectors as tools to exploit IT security vulnerabilities and execute their nefarious schemes. We’ll also list some simple security measures your company can put in place to counter threats from these attack vectors.

What Is Meant by Attack Vector? 

An attack vector refers to any method or pathway a hacker may use to penetrate, infiltrate or compromise the IT infrastructure of the target entity. 

In addition to exploiting vulnerabilities in the system, hackers also use attack vectors to trick humans into compromising security setups. Clue: phishing emails. Phishing ranks as the second most frequently used attack vector in 2021. The top spot goes to compromised credentials while the third goes to cloud misconfiguration.

A cybercriminal can deploy a multitude of attack vectors to deliver malicious payloads, such as viruses, worms and ransomware code, into a victim’s system and sabotage their operations. Compromised credentials, phishing emails and inadequate or missing encryption are some other examples of attack vectors. 

Attack Vector vs. Attack Surface

There are times when you will see these two terms used interchangeably, but that isn’t correct. 

An attack vector is a tool that cybercriminals use to launch a cyberattack while an attack surface is any point or points on the network area of a company that is broken through to launch the attack. The surface area increases as more endpoints, servers, switches, software applications or any other IT assets get configured to a network. 

IBM’s Cost of Data Breach report 2021 found that costs of breaches were significantly lower for some companies with a more mature security posture and higher for companies lagging in areas such as security AI and automation, zero-trust and cloud security.  

Attack Vector vs. Threat Vector

The terms attack vector and threat vector are interchangeable. As with an attack vector, a threat vector is a way to gain access to an unsecured attack surface such as an open port or an unpatched software vulnerability. 

What Are the Different Types of Attack Vectors? 

Cybercriminals are quick to invent new attack methods, which easily outsmart old defense mechanisms. In this section, we’ll discuss nine nasty attack vectors that can undermine your business.

1. Compromised Credentials

Compromised credentials are the most used attack vector, responsible for 20% of breaches in 2021. Usernames and passwords stolen from victims are the most common credentials used by threats actors. Cybercriminals can purchase these on the dark web or can trick unsuspecting individuals into giving them up. Hackers may also collect sensitive information from unwitting users by sending a link to a bogus website and requesting their login details.

2. Weak Passwords and Credentials

According to a security consultant, a single compromised password caused the downfall of Colonial Pipeline, a major oil pipeline company in the U.S., leading to a fuel shortage across the East Coast of the United States.

The best way to make passwords hard to guess is to change default passwords promptly and to create new passwords keeping best practices in mind. A strong, complex password should include uppercase, lowercase and special characters as well as numbers and symbols. According to research conducted by NordPass, Fortune 500 companies use passwords that can be hacked in less than a second. It’s also advisable to change passwords frequently since hackers can install keylogging software on a user’s system to obtain personally identifiable information (PII).

Hackers don’t just focus on system credentials used by employees. They also try to intercept passwords used by servers, network devices and security tools, gaining unfettered access to a company’s Active Directory credentials and other valuable databases.  

3. Poor and Absent Encryption 

Data encryption enables users to transform data into ciphertext before transferring it over a known or unknown network or storing it on a system, enabling only those with the password to decrypt and read it. Weak encryption is easy to break using brute force, whereas in the absence of encryption, data transfer occurs in plaintext, which can be easily intercepted or stolen by threat actors.

4. Cloud and Device Misconfiguration

According to The State of Cloud Security 2021 report, many data breaches that make headlines are caused by cloud misconfiguration errors. About 36% of cloud professionals surveyed for the report said their organization experienced a serious breach or leak of cloud data in the past year.  

Cloud misconfigurations result from user-created settings that do not provide adequate security to cloud data. This can disable the privilege access settings, giving everyone on the network unfettered access to valuable data. 

Device misconfiguration is another trouble spot for companies. As companies rely increasingly on robotics and internet-of-things (IoT) devices to carry out their tasks, a hardware hack can pave the way for cybercriminals.

5. Phishing

About 80% of IT professionals say they are facing a significant increase in phishing attacks in 2021.
Phishing emails continue to be one of the most effective attack vectors. Phishing is a form of social engineering attack that involves using legitimate-looking emails to trick people into giving up their personal information or account credentials. About 90% of incidents resulting in data breaches begin with phishing emails. 

While a phishing attack targets employees en masse, a spear-phishing attack targets top-level executives of a company with the aim to steal highly confidential and business-critical information to which only the highest-ranking executives have access. 

6. Third-Party Vendors

Suppliers and vendors are also considered attack vectors since hackers can find weaknesses in their software to access the client’s network and launch a supply chain attack. In the event of a cyberattack on a third party that has access to sensitive client data, the consequences are unimaginable.

7. Software Vulnerabilities

There is no such thing as perfect software. Hence, even after a piece of software is released, companies continue to test for bugs and send patches to fix vulnerabilities. 

A zero-day vulnerability is a flaw in a network or software that hasn’t been patched or for which a patch isn’t available. Hackers can exploit a zero-day vulnerability to install malicious software, like ransomware, that enables them to manipulate IT infrastructure remotely to spy on an organization’s activities or to disrupt operations.

There were a record-breaking 66 zero-day attacks found to be active in 2021 according to databases like the 0-day tracking project. This is almost double the total reported for 2020, and more than any other year on record.

8. Malicious Insiders

It takes about 231 days for breaches caused by malicious insiders to be identified, behind only compromised credentials at 250 days and business email compromise at 238 days.

As it stands, disgruntled employees already have access to their company’s system details, which they can use to launch cyberattacks or to sell credential information on the dark web. In some cases, insider attacks are not malicious in nature and can be due to a lack of care on the part of employees.  

9. Trust Relationships

In order for a communication channel between two or more domains to be secure, there must be an established trust relationship. It allows users to access information from multiple domains with just one login. A trusted domain is one that authenticates the user while the others are called trusting domains. Lax security practices can result in users caching credentials on trusted domains, which can then be stolen and used to launch a cyberattack.

What Are the Different Attacks Launched With Attack Vectors?

Cybercriminals have access to a wide range of attack vectors for conducting business-breaking cyberattacks. Here are some of the most common and debilitating attacks launched using attack vectors. 

1. Malware and Ransomware 

Malware is an intrusive piece of software that enables cybercriminals to access and damage computing systems and networks severely. The infection can take the form of a virus, trojan horse, worm, spyware, adware, rootkit or the infamous ransomware.

The number of ransomware cases has been steadily increasing since 2016 and now accounts for 10% of all breaches. Ransomware is a type of malware that can be installed covertly on a computer system, preventing the victim from accessing it. As soon as authorized users lose access, cybercriminals either threaten to release data publicly or block usage unless a ransom is paid. Colonial Pipeline suffered a ransomware cyberattack earlier this year and had to pay a whopping $4.4 million to regain access to their network. 

2. Distributed Denial-of-Service (DDoS) Attack

The purpose of a DDoS attack is to overload a victim’s system or network by sending bogus emails by the truckload. As a result of unusually high data traffic volumes, the network becomes paralyzed, rendering it unable to cope with new data requests. DDoS attacks typically exploit a vulnerability in one computer system, making it the DDoS master. The master system then infects other vulnerable systems with malware.

In critical industries, a server overload can result in the business going offline for hours, which can cause a dip in revenue and customer departure. Yandex, a Russian tech giant, recently said that its servers were the victims of the biggest DDoS attack ever recorded.

3. Brute Force

A brute force attack is a cryptographic hack in which cybercriminals use the computing power of their systems to crack usernames, passwords, encryption keys or any other authentication credentials for unauthorized use. Generally, the longer the password, the more combinations that will need to be tested. 

4. Man-in-the-Middle Attacks 

A man-in-the-middle attack occurs when an attacker inserts himself in the “middle” of an ongoing conversation or data transfer and pretends to be a legitimate participant. By eavesdropping on the communication, hackers can access crucial data, like login information, which they can modify for personal benefit. 

Hackers can even use their position to send malicious links to legitimate parties to damage their systems and databases and to launch advanced persistent threats (APTs).

5. SQL Injections (SQLi) 

SQL injection is an attack vector that exploits a security vulnerability in a program’s code. It allows hackers to inject malicious code into web queries, data-driven applications and, in some cases, servers and other backend infrastructure. Once the attacker has administrative rights over the database, it can spoof identity, reveal or destroy data, remove access from it or cause repudiation issues.

6. Cross-Site Scripting (XSS) 

Cross-site scripting attacks, or XSS, exploit web security flaws by injecting malicious scripts into otherwise trustworthy websites to infect them with malware. An XSS attack occurs when malicious code is sent from a web application to an unknown user as a browser script. Not realizing that the script shouldn’t be trusted, users execute it, allowing hackers to access cookies and other sensitive information stored in the browser. 

How to Reduce Risk From Attack Vectors? 

Cyberattacks can be stopped in their tracks if companies follow strict security protocols. This is especially important given the remote and hybrid work environments we are working in today. Here are some core security practices that will help you stay one step ahead of cybercriminals while making your IT technicians’ jobs easier.

1. Utilize Strong Password and Credential Security

It’s tedious to remember multiple passwords. A simple combination of your name and date of birth may seem convenient but it certainly isn’t best practice. Creating a difficult password is a lot easier than figuring out how to recover from a cyberattack.

Here are some tips on how to create strong passwords:

• Usernames and passwords should be complex and should be reset frequently
• Do not use the same credentials across multiple applications and systems
• Two-factor authentication (2FA) is a must

2. Maintain Strong Data Encryption

Employees use multiple mobile devices and networks to exchange business information. This is inevitable. A strong encryption tool that uses 192- and 256-bit keys for data encryption is a great way to combat threats from cybercriminals.

3. Update Systems and Install Patches Regularly

Cybercriminals love exploiting unpatched software vulnerabilities for zero-day attacks. Moreover, they continue exploiting the vulnerability for months, resulting in irreversible damage. When you use Kaseya VSA, you can automate patch management and provide your business with an extra layer of security. Organizations can reduce the likelihood of breaches by 41% if they deploy patches promptly. 

Did you know that coordination problems between teams cause many organizations to lose about 12 days when implementing a patch? VSA enables the creation of policy profiles for the approval, review or rejection of patch updates. 

4. Phishing and Cyber Awareness Training

Cybercriminals can take advantage of human vulnerabilities to launch large-scale cyberattacks and cripple business operations. Train your employees regularly to look out for attack vectors like phishing emails or fake websites so that they’ll be sharper when it comes to spotting them.

5. Audit Security Configurations

Creating a robust cybersecurity infrastructure is the first step in the fight against rampant cybercrime. Nevertheless, maintaining the availability of the infrastructure and regularly fixing all vulnerabilities is a never-ending undertaking. Security audits should be performed at least quarterly and having an external auditor to conduct the audit will ensure nothing slips through the cracks. 

6. Watertight BYOD Policies

We are entering an era of remote and hybrid work. As a result, companies are embracing the bring your own device (BYOD) culture because it has been shown to boost productivity and employee happiness. However, if BYOD policies are not secure, it could open the doors for cybercriminals to penetrate a company’s infrastructure. It is possible to protect your information from cybercriminals by storing it in a secure cloud environment or on a server and allowing only VPN-connected devices to access it.

Minimize Danger From Attack Vectors With Kaseya 

To protect your employees and business from complex cyberattacks, you need the latest security tools in your arsenal.

Even though antivirus (AV), antimalware (AM) and firewall solutions are essential, they are only your first line of defense against cybercrime. This is where Kaseya VSA comes in — a top-of-the-line unified remote monitoring and management solution (uRMM) that lets you manage core IT security functions from a single pane of glass. 

VSA helps you ensure security patches are deployed on time, reducing the attack surface. In addition, it provides complete insight into IT assets while enabling backup management and also keeps endpoints secure through the use of the most current AV/AM solutions. You also benefit from Kaseya VSA’s built-in security features, such as two-factor authentication, which allows you to improve IT efficiency.

Having the right tool by your side allows you to monitor IT assets 24/7 as well as identify and address any suspicious activity in real time. To learn more, request a free demo today.

The post Attack Vectors: How They Can Harm Your Company appeared first on Kaseya.

Software vulnerabilities arise due to many reasons like security misconfiguration, programming errors, insufficient logging and monitoring, or simply human error. Vendors regularly release patches to address these vulnerabilities in an effort to thwart potential cyberattacks. The presence of zero-day vulnerabilities is one of the most common causes of successful cyberattacks and finding one allows hackers to have a field day.

What Is a Zero-Day Vulnerability?

A zero-day vulnerability is a flaw in a network or software that hasn’t been patched or for which a patch isn’t available. The software or device vendor may or may not be aware of this flaw. After that flaw is out there in the open, it poses a greater risk for cyberattacks to organizations using the software or device. Since Google’s Project Zero was founded in July 2014, it has compiled data on “in the wild” zero-day exploits, with 2021 being the biggest year on record. Google collects data for publicly known cases of zero-day exploits as part of Project Zero.

Why Is It Called Zero-Day?

Software vulnerabilities pose serious cybersecurity risks. That’s why it’s important to identify and fix them as quickly as possible. Nevertheless, sometimes it can take days, or even months, for software developers or users to detect a vulnerability. In contrast, if a hacker identifies it before a good Samaritan does, the software vendor has zero days to fix it. Hence the term zero-day vulnerability. Zero-day can also be spelled 0-day.

Fun Fact: The term “zero-day” has a fascinating origin story that has to do with digital content piracy. Previously, if hackers could rip off and distribute a movie or music album before or on the same day it went on sale legally, it was called a “zero-day.”

How Are Zero-Day Vulnerabilities Discovered?

Every software company invests a considerable amount of time and resources into detecting and fixing vulnerabilities in their products. While it may seem simple, identifying and patching vulnerabilities is no easy task. Coding is a complex project that requires a team of skilled programmers with the right tools and resources for it to be done efficiently.

In order to detect security vulnerabilities in software and networks, companies use a tool called a software vulnerability scanner. However, vulnerability scanners are capable of more than just scanning software for new flaws. Those tools also take an inventory of all IT assets, such as servers, desktops, virtual machines, operating systems, applications and active ports, on each machine to scan them for security flaws. As soon as a vulnerability is identified, companies immediately release a patch to fix it.

Software vulnerabilities can sometimes be identified by software users or cybersecurity experts and communicated to the software company concerned. Google, for instance, will reward and recognize individuals who inform them of security flaws. These rewards are often called “bug bounties” and can run into tens of thousands of dollars.

Even if a piece of software has many flaws, it might be hard to spot them all. The real concern for companies when it comes to zero-day vulnerabilities is who spots them and what the finder does with that information. If a hacker strikes first, then it can spell disaster for companies using that software. 

How Are Zero-Day Vulnerabilities Exploited?

Zero-day vulnerabilities open companies up to a variety of security issues. An attacker who discovers this vulnerability can exploit it via any number of attack vectors, adversely impacting programs, data, computers or a network. Vulnerabilities are exploited to penetrate a target’s systems and steal data, information or money. Sometimes hackers use a zero-day vulnerability to install malicious software, like ransomware, that enables them to manipulate IT infrastructure remotely to spy on an organization’s activities or to disrupt operations.

A corollary of zero-day vulnerabilities is the zero-day exploit. A zero-day exploit is coding in a piece of software, like a series of commands, that can be used to leverage a zero-day vulnerability. When a hacker discovers a zero-day exploit, they can create an exploit package to be used immediately or in the future, or even choose to sell information about the vulnerability and exploit to the highest bidder on the dark web.

It is not uncommon for security researchers to use exploits to demonstrate the risk associated with a vulnerability and how it can be taken advantage of by cybercriminals for their schemes. A cybersecurity researcher uses exploits to strengthen security measures and typically informs the software maker of the flaw, enabling them to fix it before bad actors can exploit it.

An exploit may not be discovered by software vendors for months or even years if a cybercriminal discovers it first. Vulnerabilities are considered zero-day exploits until the software provider learns about them and begins working on a fix.

How Does a Zero-Day Exploit Differ From a Typical Exploit?

Like any exploit, a zero-day exploit can be used to damage an organization’s security, infiltrate their IT environment, undermine the integrity of web pages or disrupt the availability of software through distributed denial-of-service (DDoS) attacks. A zero-day exploit is a complete shock and isespecially dangerous because the vendor is not aware of it. That means they cannot warn users of the potential vulnerability as they create a patch that addresses the issue, as is the normal course of action with exploits.

An exploit kit is a plug-and-play cybercrime resource that is designed to take advantage of vulnerabilities in widely used software such as Adobe Flash, Java and Microsoft Silverlight. Various tools are included in these kits, such as plug-ins and a management console, that make it easier to launch a cyberattack or spread malware.

A typical exploit is one that has been discovered and publicized, either by the vendor or other industry experts. In a standard exploit scenario, the software vendor is developing or has released a patch to render it ineffective. Therefore, applying security patches regularly and promptly is critical to preventing cybersecurity breaches. There are times when known vulnerabilities are exploited as a result of developers delaying patching them.

On the other hand, a zero-day exploit kit includes tools and features designed to target an unknown vulnerability. Hackers can either buy or create exploit kits and store them on compromised websites or advertisements that, when clicked, will install malware on the victim’s computer.

Unsuspecting victims can suffer attacks from exploit kits through phishing scams by visiting malicious websites or downloading suspicious files that haven’t been scanned for viruses. Exploit kit manufacturers can base their entire businesses on selling those kits as part of the cybercrime-as-a-service economy and earn good money for their work.

What Is the Most Famous Zero-Day Exploit?

At the top of the charts is EternalBlue, the most damaging exploit in history. Originally developed by NASA as a cyberattack tool, it was stolen and leaked by the Shadow Brokers hacking group in March 2017. Officially known as MS17-010, the EternalBlue targets any system using the SMBv1 (Server Message Block version 1) file-sharing protocol. It is responsible for some of the most popular cyberattacks, including WannaCry and NotPetya.

Stuxnet is another well-known cybersecurity horror story that made the front page. Discovered in 2010, this strain of malware caused significant damage to major targets, including Iran’s nuclear facilities, and gained infamy for its hardware crippling capabilities. The Stuxnet worm was spread through Microsoft Windows computers and could be carried on USB drives as well.

What Is Meant by a Zero-Day Attack? 

Zero-day vulnerabilities can come in a variety of formats including missing data encryption, broken algorithms, URL redirects, password security flaws and simple bugs. A zero-day attack occurs when a hacker identifies any of these vulnerabilities, writes an exploit code and successfully deploys the code, also known as malware, to gain unauthorized access to a computer system or network. The infection can take the form of a virus, Trojan horse, worm, spyware, adware, rootkit or other malware like ransomware.

In the cybersecurity community, a zero-day attack is often a hot topic of debate between two schools of thought. According to one group, a zero-day attack is one that exploits a vulnerability that hasn’t yet been discovered, while the other group refers to it as an attack that exploits a vulnerability the day it becomes public but before a patch is released.

In any case, a zero-day attack is a cyberattack that has the capability of crippling the network of an organization and causing major financial and reputational damage. Hence, it’s crucial for companies to take into account zero-day attacks when designing their security infrastructure and writing security policies.

Why Are Zero-Day Attacks So Dangerous?

As cyberattacks make media headlines, businesses are becoming more and more concerned about more than just the damage to their company and their reputation. Companies also have to be concerned about the potential damage that cybercriminals can do to their partners and clients. By using the initially breached organization’s IT infrastructure or data, cybercriminals can try to find a back door into the IT environment of one of the victim’s clients or partners, known as a third-party or supply chain attack. This is a growing tactic, and criminals are targeting businesses of all sizes and industries, including small and medium-sized businesses (SMBs) that tend to have a basic cybersecurity system that is easier to break through in order to land the big fish.

Threat actors behind advanced persistent threats (APT), often nation-state or nation-state aligned hackers, are quick to use zero-day attacks to carry out stealthy operations that can go undetected for a prolonged period, allowing them to stealthily spy, spread malware or steal information. As nation-state cybercrime grows more common, every business is at risk from APT threat actors who are more than happy to exploit supply chain vulnerabilities, like a zero-day flaw or unpatched software, to do the dirty work that enables them to strike at government and infrastructure targets.

Cyberattacks exploiting zero-day vulnerabilities are particularly dangerous because the odds are set in favor of the very people from whom protection is needed. Any attack that exploits a zero-day vulnerability can be costly for a business, resulting in consequences like revenue loss, ransomware recovery, lost productivity, data theft, system downtime, reputation damage and regulatory actions.

Is There Any Defense Against Zero-Day Attacks? 

It can be difficult to identify zero-day attacks, especially if they are executed stealthily. Unless the attackers intend to attract public attention, it is often too late for the victims to mitigate it by the time a zero-day attack is detected. Even the best antivirus and antimalware tools sometimes fail to detect a zero-day attack because they don’t have the signature to identify the malware in use. However, AI-powered tools are much more likely to spot zero-day threats. By collecting their own threat intelligence, AI solutions adjust protection more quickly because they don’t rely on threat reports to detect the vulnerabilities that create opportunities for zero-day attacks.

When it comes to protecting against zero-day attacks, an ounce of prevention is worth a pound of cure. Patching regularly, running routine security checks and training employees to be vigilant against common attack vectors are some of the factors that can go a long way towards preventing zero-day attacks. Choosing AI-enabled security solutions can also provide crucial protection against zero-day attacks through early detection and enhanced cyber resilience. Research by IBM shows that automated security catches an estimated 40% more threats than conventional security, including zero-day exploits. 

Even if your security tools do not detect any suspicious activity, there are some tell-tale signs that can indicate a potential zero-day attack such as frequent system crashes, slow hardware and software performance, unauthorized changes in system settings, lost storage space and obvious credential misuse.

Here are a few tips to keep your IT environment safe against zero-day cyberattacks.

Implement Network Access Point and Endpoint Control: Use a network access tool to ensure that only authorized machines can access the company’s network in concert with a secure identity and access management solution that keeps out unauthorized users. Additionally, segment the network in such a way that the infected part can be contained and isolated from the rest in case of a breach. Single sign-on for user accounts provides IT teams with the ability to quickly quarantine and remove permissions from a user account that may be compromised. it also makes it easy to ensure that employees can only access the systems and data they need to perform their job.

Use an Advanced or Automated Email Security Solution: Despite the enormous amount of information on phishing emails, social engineering, spoofing and the sophistication of today’s phishing messages make detecting them a serious challenge. That’s a huge problem because 90% of incidents that end in a data breach start with a phishing email. With a cutting-edge email security solution, your business will be in a better position to spot and stop dangerous messages inside and outside your network as well as scan them for viruses. Using an email security solution with strong antiphishing capability helps ensure that employees have minimal exposure to threats like a virus-infected email and also reduces the risk of anyone falling for a phishing scam.
Phishing is costing organizations $14.8 million in 2021, with lost productivity a significant component of the annual cost. 

Regularly Back Up Your Data: It is essential for every business to build cyber resilience by putting business recovery and data backup procedures in place as a mitigation against the damage caused by cybercrime. Booming dark web data markets ensure high profitability for cybercriminals who traffic in it, especially Personally Identifiable Information (PII). It is even worse when cybercriminals encrypt a company’s data while demanding a ransom that can run into millions. Quality backup solutions are crucial to enabling companies to get back to business quickly as they begin recovery from a cyberattack. According to an ITIC report, server downtime can cost up to $1,670 per server, per minute, for an hourly outage cost of $100,000.

Fight Back With Modern Zero-Trust Security Tools: Using new generation security tools that embrace zero-trust security principles makes a tremendous impact on a company’s cyber resilience, including its ability to resist zero-day attacks. At the core of zero-trust security is the adoption of a secure identity and access management solution companywide that includes multifactor authentication (MFA). By requiring authentication for every user on every login, IAM solutions create important barriers to intrusion through user accounts. MFA alone can prevent 99% of password-based cyberattacks. Using other access control tools, like next-generation or cloud-hosted firewall (NGFW), can make that advantage even bigger. By configuring it to allow only necessary transactions by authenticated users, you can ensure maximum protection. 

Choose a Good Host Intrusion Protection System (HIPS): Monitoring software like HIPS helps detect suspicious activities on host endpoints. Since it analyzes the behavior of code, the tool is better at detecting new malware that might escape traditional antivirus solutions. If an attacker is attempting to work undetected in your network, HIPS is better designed to detect it than an antivirus/antimalware solution.

Make Building a Strong Security Culture a Top Priority: Making sure that employees have the tools and knowledge at their disposal to spot and stop cyberattacks by building a strong security culture goes a long way towards preventing zero-day attacks from landing. Security awareness training is an important way to accomplish this because when employees understand threats, everyone feels like they’re part of the security team. That fosters good security hygiene and enables employees to spot cyberattacks including zero-day threats. Phishing messages are common vectors for zero-day threats; Google disclosed that 68% of the phishing messages that it stops are zero-day attacks. Browsers are also popular channels for hackers to trick people into downloading malware. Avoid opening suspicious websites or clicking on dubious links. Your system could be infected with malware, which may compromise your company’s network.

Be Vigilant About Patching and Suspected Intrusions:  Ensuring that applications, software and operating systems are patched regularly, ideally immediately upon release of a patch, is vital to stopping cyberattacks from zero-day exploits. Patches are the way that developers fix those problems. Zero-day attacks can be difficult to directly uncover, but there are sometimes warning signs that can point you in the right direction. Any unknown user logins or suspicious account activity is suspect. Be on the lookout for odd behavior in your systems or applications like crashes, lockouts or unexpected changes. Perform regular penetration tests to determine the security of your environment. By identifying and fixing vulnerabilities before hackers, you can avoid potential attacks.

What Is a Zero-Day Patch?

A zero-day patch is a term used to describe a specific or special patch to address zero-day vulnerabilities. It is imperative to deploy these patches immediately to close vulnerabilities and render potential avenues of attack ineffective in order to thwart a cyberattack. 

Stay Vigilant Against Zero-Day Threats With Kaseya 

With Kaseya VSA, you can centrally manage Windows, macOS platforms and third-party application software vulnerabilities with fully automated patch management. This scalable, secure and highly configurable policy-driven approach is location-independent and bandwidth-friendly. 

Besides reviewing and overriding patches, VSA lets you view patch history and automate the deployment and installation of software and patches for both on- and off-network devices. Furthermore, the tool ensures that all machines stay in compliance with patching policies.

Kaseya VSA is a convenient remote monitoring and management (RMM), endpoint management and network monitoring solution that gives your company all the tools it needs to stay secure and successful. Get a free demo to find out how VSA can address the unique security challenges of your company.

Get a Free VSA Demo 

The post Zero-Day: Vulnerabilities, Exploits, Attacks and How to Manage Them appeared first on Kaseya.

The latest information on this supply chain attack, as described in this ZDNet article, indicates that hackers used a total of four malware strains: Sunspot, Sunburst (Solorigate), Teardrop and Raindrop. These malware strains were used in a sophisticated sequence of escalated attacks. First, Sunspot was used to attack the vendor’s software build process and insert the Sunburst malware into the Orion software. The Sunburst malware collected data on infected networks and sent it to a remote server.

In cases where the attackers wanted to further escalate the attack, they used Sunburst to install either the Teardrop or Raindrop malware. Both are backdoors that the attackers used to “broaden their access inside a hacked IT network.” So, security teams must scan their IT environments for all four of these strains of malware.

Effective Tips To Better Protect Your Business 

Based on its research of the attack, the security firm Cycode suggests six security measures your organization should take to reduce its exposure to risk.

Cycode recommends strengthening your infrastructure’s access controls with:

• Complete visibility and inventory of all assets – Any asset that is not monitored can become a vulnerability to your ecosystem.
• Multifactor authentication (MFA) – Passwords alone cannot protect accounts, especially ones that are as simple as “password123.” MFA provides an extra layer of protection, making it harder for hackers to access your systems.
• Auditing of systems – Get rid of default credentials on your systems and enforce strict password policies.
• Enforcing privilege policies – A privileged user has administrative access to all your critical systems. Managing and monitoring all privileged accounts is essential for better security.

Another security firm, Tempered Networks, suggests that a “zero trust” approach must be implemented to strengthen organizational security. This mechanism includes:

• Network microsegmentation – Zero trust network access (ZTNA) applies policies for what a user can access. With applications being separated in this architecture, admins can decide access permissions at a very granular level.
• Device verification and user authentication – Access is provided only when a user proves who they are and if they are secure. With multiple validations done, ZTNA allows access only to verified users.

How MSPs Can Protect Clients?

MSPs can take a proactive approach and provide security operation center (SOC) services such as:

Endpoint Security 

MSPs can secure their customers’ endpoints with –

• Event log monitoring – Event log monitoring for all Windows and MacOS machines is crucial to track events across all devices from a unified console.
• Threat hunting – Proactively identifying security incidents before they have caused damage can keep your customers safe from major losses to their businesses.
• Intrusion detection – MSPs can set alerts to detect suspicious activities and barricade intruders from taking over other systems.
• Third-party, next-generation antivirus/antimalware (NGAV) – Integrating with NGAV solutions provides advanced threat detection on endpoints rather than simply looking for known malware signatures.

Network Security

MSPs can provide firewall and edge device log monitoring integrated with threat reputation services (TRS) and Whois and DNS lookup services.

TRS includes conducting frequent threat assessments against websites, files, domain names and other such entities to categorize the number of times these entities have been associated with malicious activity, based on observed past behavior and shared intelligence.

Cloud Security

The cloud security services mentioned below can be provided by MSPs to keep their clients’ cloud data safe.

• Microsoft 365 security event log monitoring
• Microsoft Office 365, Google G Suite and Salesforce Data Backup
• Azure Active Directory (AD) monitoring
• Microsoft 365 malicious logins and
• Azure Secure Score

While we may not yet know the extent of the Orion attack, organizations fear more is yet to come. During these uncertain times, it is essential for businesses to redouble their cybersecurity efforts.

Learn more about how you can enhance your security posture by attending our webinar “Boosting IT Security in 2021.” Register now!

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A few common causes of system downtime include hardware failure, human error, natural calamities, and of course, cyberattacks. To ensure infrastructural stability and security against threats such as these, IT technicians need a proactive approach that includes these best practices to maintain uptime.

5 Best Practices to Minimize IT Downtime

1. Plan Ahead to Manage the Full IT Asset Lifecycle

As noted in this ComputerWorld article, “Server acquisitions and upgrades should be scheduled and coordinated with an eye toward system availability as well as performance.” Have a strategy and schedule in place for making system upgrades to keep both hardware and software up to date. To achieve maximum uptime, periodically replace legacy systems when possible. The demands on your IT infrastructure increase every year. Hardware upgrades are an ongoing requirement to support your current and future business needs.

2. Perform Routine Preventive Maintenance

Perform routine maintenance activities to keep your systems up and running. This includes scheduling of scans and deployment of security patches to remediate software vulnerabilities in your IT environment before cyberattacks occur. Typically, you should be applying patches within 30 days of availability to stay ahead of the cyber criminals.

Unplanned reactive fixes can be costly for your business. Hence, it is necessary to have the processes in place to maintain servers and other endpoints to bolster their reliability and spend less on costly downtime incidents. Many routine maintenance tasks can be automated with an endpoint management solution, as discussed in the next section.

3. Use Endpoint Monitoring and Management Tools

Simplify endpoint maintenance and management with automation. Get rid of manual processes; organizations that get bogged down by manual procedures will not be able to keep up with all of the tasks that must be done to maintain reliable systems. Automate IT asset discovery and inventory processes and keep track of the changes in your IT environment. Automate server maintenance processes by executing scripts on each endpoint. These “endpoint agent procedures” can be controlled by policies set up to standardize IT best practice processes across groups of machines.

Monitor conditions and events on each endpoint to find and fix the root causes of failures. Since small and midsize organizations often lack the 24×7 support required to continuously monitor the health of the infrastructure, enable auto-remediation of incidents using an endpoint management solution to alleviate the burden on your IT technicians.

4. Enhance Security and Compliance

Manage endpoint security from the same console by using an endpoint management solution that is integrated with the leading antivirus and anti-malware (AV/AM) tools. Ensure that your antivirus and anti-malware clients are up to date. Keep your systems secure from ransomware attacks by maintaining reliable backups. Safeguard your network from malicious attacks by implementing a more robust authorization process such as two-factor authentication (2FA).

Maintain compliance with industry regulations such as GDPR, HIPAA, and PCI with a compliance management solution that is also integrated into your endpoint management tool. This simplifies daily IT management tasks by managing all aspects of endpoint monitoring, maintenance and security from a single console.

5. Test Your Backups

In the 2019 Kaseya IT Operations Survey, only 31 percent of participants reported having a formal business continuity disaster recovery (BCDR) plan approved by management and only one-third of respondents tested their disaster recovery plan regularly.

Is your data backed up? If it is, that’s good! But have you tested its recoverability? No? Well, then your backup is of no use if you can’t recover it. For seamless business continuity, develop backup and restoration strategies with the right resources and test them constantly. Testing your backups will give you confidence that you will be able to restore your data in case of an emergency.

Make sure your testing is consistent, standardized, and most importantly, automated.

Small and midsize businesses have been tackling IT budget constraints for ages. Incurring costs due to downtime is something they cannot afford. Take these precautionary measures to maintain uptime and be proactive instead of reactive to limit the effects a disaster may have on your business and your bottom line.

Are you worried about your organization’s ability to minimize downtime risks? Reach out to our representatives to schedule a demo of Kaseya VSA and learn more about proactively maintaining system uptime.

The post Maintaining IT System Uptime – Don’t Depend on the Luck of the Irish appeared first on Kaseya.

Penalties for violations can be huge, and non-compliance is practically a welcome mat for cybercrime, resulting in loss of reputation and financial disaster.

Whether you are an IT pro or service provider, you cannot create a compliance plan unless you understand the current state of your business. That requires an in-depth and disciplined assessment.

RapidFire Tools Inc., which supplies HIPAA-compliance assessment tools, surveyed MSPs about the value of assessments. It found that service provides use these assessments to start conversations with new prospects, and ultimately gain new clients. One MSP respondent increased revenue by over $12,000 a month.

According to the Kaseya 2018 MSP Benchmark Survey,  52 percent of MSPs worldwide (and 55 percent in EMEA) offer compliance assessments. These assessments benefit the MSP and its customers, providing the MSP with opportunities for new revenue streams as well as awareness of changes that must be implemented to protect both businesses.

Accounting, consulting, and technology firm Crowe Horwath has a step-by-process that starts with defining the goals. “Assessments work to determine the scope of compliance activities throughout the organization, the effectiveness of the compliance program, and to what extent the organization’s culture is conducive to compliance activities. An assessment can give the organization an idea of its compliance program’s strengths, weaknesses, and areas in which it can improve,” the firm explains.

Assessors should have to start from scratch but rely on existing documents related to compliance. “Examples of relevant documents that typically are collected and reviewed during an assessment include:

• Organizational charts of executive leadership and the compliance office
• Policies and procedures related to the compliance office or high-risk areas
• Examples of employee compliance training exercises and samples of communications made to employees about compliance code of conduct
• Samples of compliance monitoring and compliance work plans
• Previous compliance program assessments
• Compliance risk assessments and compliance risk assessment policies”

Getting to Know the Players

Assessors need to not only understand the organization’s structure and roles, but also get to know the people themselves. This can be done through interviews. The document review helps prepare assessors for these conversations. The goal is to understand how well key players understand compliance and if they are able to define their risks and take action to mitigate them.

Individuals who might be interviewed include people directly responsible for managing compliance, employees whose jobs requiring following compliance guidelines, and business leadership.

Conducting Gap Analysis

A Gap Analysis will show where the organization is already in compliance and what steps need to be taken to ensure complete adherence. The analysis “should reveal existing compliance program trends within the organization, including program strengths and opportunities for improvement. In addition, the assessor should make recommendations to the organization based on best practices observed in leading organizations that are of a similar size and structure to the one being assessed,” the firm explains.

This should all be codified in a final report that defines what is good and recommends specific improvements.

Financial advisory firm Deloitte explains why compliance assessment isn’t enough in its whitepaper, “Compliance risk assessments: The third ingredient in a world-class ethics and compliance program.”

Many organizations may think they are all set with compliance because they have performed a risk assessment. However, compliance and risk, while related, require different processes. “How is a compliance risk assessment different from other risk assessments? Organizations conduct assessments to identify different types of organizational risk. For example, they may conduct enterprise risk assessments to identify the strategic, operational, financial, and compliance risks to which the organization is exposed. In most cases, the enterprise risk assessment process is focused on the identification of “bet the company” risks – those that could impact the organization’s ability to achieve its strategic objectives,” Deloitte explains.

“The compliance risk assessment will help the organization understand the full range of its risk exposure, including the likelihood that a risk event may occur, the reasons it may occur, and the potential severity of its impact. An effectively designed compliance risk assessment also helps organizations prioritize risks, map these risks to the applicable risk owners, and effectively allocate resources to risk mitigation.”

Who Does What?

Once you identify who is who and who does what, you can define clear assignments. “Establish clear risk ownership of specific risks and drive toward better transparency: A comprehensive compliance risk assessment will help identify those individuals responsible for managing each type of risk, and make it easier for executives to get a handle on risk mitigation activities, remediation efforts, and emerging risk exposures,” Deloitte advises.

Part of this is an assessment that calls for clear steps. “Make the assessment actionable: The assessment both prioritizes risks and indicates how they should be mitigated or remediated. Remediation actions should be universally understood and viable across borders. Be sure the output of the risk assessment can be used in operational planning to allocate resources and that it can also serve as the starting point for testing and monitoring programs,” the firm concludes.

Compliance work is never done, Deloitte cautions. “Treat the assessment as a living, breathing document: Once you allocate resources to mitigate or remediate compliance risks, the potential severity of those risks will change. The same goes for events in the business environment. All of this should drive changes to the assessment itself,” Deloitte writes. “Periodically repeat the risk assessment: Effective compliance risk assessments strive to ensure a consistent approach that continues to be implemented over time, e.g., every one or two years. At the same time, risk intelligence requires ongoing analysis and environment scanning to identify emerging risks or early warning signs.”

Learn More

To discover more best practices for surviving a compliance audit, download the whitepaper, “Compliance: How a Layered Approach Helps you Breeze Through Audits,” and to see how MSPs can turn assessments into a revenue stream,  attend the on-demand webinar, “Compliance Audits: The Opportunities and Risks for MSPs.”

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