Downtime cost is defined as the time when essential equipment, computers, or network you use to run your business are functional due to technical issues or maintenance. It also includes all your employees not working due to these resources being unavailable.
However, what if it is a cyber security issue…… Intangible downtime factors are also as significant and troublesome to a business. For example, a company’s job is to protect its database, which contains critical and private information about its clients; therefore, during a breach, the company’s reputation will be questioned, eventually leading the company to lose previous clients and future work opportunities.
Research conducted by PwC revealed that 87% of consumers are willing to do business with the company’s competitor if or when a data breach occurs, driving many companies out of business (Raval, 2022). As a company’s reputation declines, stress and frustration come in from customers to employees to employers.
After a data breach, customers panic since their information have been compromised. For example, when Uber was hacked for ransom in 2016, their customer perception and satisfaction fell that year (Raval, 2022).
It also becomes a stress factor for the whole company since it could take around nine months to identify and contain a breach; therefore,
- Could employees not have access to their computers and phones for long periods of time, affecting their job as well as their personal life
- Do they keep operating with uncertainty using a computer that is acting funny?
- Do they buy new computer for the whole company?
- Do employees keep receiving their salary even if they cannot do their job?
- Will the business survive the financial cost of a data breach?
- Will the company get through the intangible costs that downtime and its effects will create on the company?
The overall stressor in this situation is uncertainty-lurking over every aspect,
from customer safety to financial stability.
Therefore, the best we can do to help detect and respond cyberattacks and data breaches is to use a SOC (Security Operations Center).
Companies must rely on more than simple strategies to prevent cyberattacks from happening. Hence, a SOC can detect and respond to data breaches containing the problem as soon as possible, saving thousands of companies and/or individuals worldwide by monitoring, detecting, investigating, and responding to cyber threats.
A SOC are trained cyber security experts joined by an AI-based engine that breaks down data, analyzes threads from firewalls, PCS, laptops, servers, etc., and continuously manages threats.
Intangible downtime factors:
- data breach = loss of trust = loss of clients
- Stress factor and frustration – “computer is doing funny things”
- New computer vs. old compromised computers
- Employee salary – while office is closed
If you need help or have any more questions about The Tek’s SOC services, call as at 919-582-6212 or click here to send us a note
Raval, K. (2022, January 11). Does a data breach really affect your firm’s reputation?