Risk assessment for data in the cloud
Table of contents
1. Introduction
The cloud has revolutionised the way companies design and utilise their IT infrastructure. With promises of scalability, cost efficiency, and flexibility, cloud and SaaS services attract businesses worldwide. But how secure are your data in the cloud really? The increasing migration of sensitive information to external cloud environments presents new challenges for data security. Are your data adequately protected against unauthorised access, data loss, or cyber-attacks? In this blog, we examine the essential security aspects of the cloud and demonstrate how a structured approach to risk assessment, alongside data-centric security measures, can help companies effectively protect their data and leverage the benefits of the cloud without compromising on security.
Many of our clients are uncertain when it comes to assessing the data security of SaaS and other cloud services. Often, discussions are based more on belief than on facts. There is a widespread misconception that cloud services are inherently more secure than in-house infrastructure. This fallacy can have serious consequences.
In this blog, we aim to clarify and illustrate how a structured approach to risk assessment of data security in the cloud, as well as the implementation of data-centric security measures, can help identify and effectively mitigate actual risks. Through these two essential components, companies can develop a well-founded security strategy that ensures both the detection and reduction of threats within their cloud infrastructure.
2. The need for a structured approach
A structured approach to risk assessment is essential to ensure the security of corporate data in the cloud over the long term. Rather than relying solely on trust in the service provider and pure faith or blind trust, a systematic analysis enables an objective and comprehensive identification of potential risks. Cloud services are often complex and dynamic, with the providers' internal security measures and processes remaining largely opaque to outsiders. Without a structured assessment, there is a risk that critical threats will be overlooked or that assumptions and misjudgements will lead to inadequate security measures.
A structured approach offers several key advantages:
Complete risk inventory: All potential threats are systematically recorded and evaluated, ensuring that no significant risks are overlooked.
Prioritisation of risks: By evaluating the probability of occurrence and potential impact, companies can address the most pressing risks first.
Sound basis for decision-making: Based on objective data, informed decisions can be made and targeted security measures implemented.
Transparency and traceability: The documented analysis increases transparency and enables a clear traceability of the decisions taken.
Efficient resource allocation: Resources can be invested in the most important security areas, avoiding unnecessary expenditure.
Continuous improvement: A structured approach promotes regular review and adjustment of the security strategy to respond to new threats and changes in the business model.
By implementing a structured risk assessment approach, companies can take control of their data security and not rely solely on the security promises of providers. This reduces dependency on external factors and strengthens resilience to unforeseen threats. Ultimately, a well-founded risk assessment helps to build a robust security architecture that meets the complex requirements of modern cloud environments and increases confidence in one's own security strategy.
3. Comprehensive risk assessment of cloud and SaaS services
The use of cloud and SaaS services offers numerous advantages, but also entails significant risks. A comprehensive risk assessment is essential to identify and evaluate these risks and take appropriate action. This article describes 25 core risks in detail, evaluates them quantitatively and qualitatively, analyses trends and discusses the reversibility of the effects.
3.1 The 25 identified core risks
We have identified 25 key risks that can arise when using cloud and SaaS services.
| Risk No. | Risk | Detailed Description |
|---|---|---|
| 1 | Data Loss and Corruption | This risk refers to the possibility of data being lost or corrupted while being stored or transmitted in the cloud. Causes can include hardware failures, software errors, human mistakes, or natural disasters. Without adequate backups and recovery plans, such incidents can lead to irreversible loss of important business data, disrupting business operations and causing financial losses. |
| 2 | Security Breaches and Cyber Attacks | Cloud services are attractive targets for hackers and cybercriminals as they contain large amounts of sensitive data. Security breaches can lead to unauthorised access to confidential information, including personal data, trade secrets, and financial information. Such attacks can occur through malware, phishing, DDoS attacks, or zero-day exploits and can have significant legal and reputational consequences. |
| 3 | Unauthorised Access to Data | This risk arises when unauthorised individuals, whether internal employees or external actors, gain access to sensitive data. Reasons can include inadequate access controls, weak authentication mechanisms, or insufficient monitoring. Unauthorised access can lead to data leaks, data manipulation, or even the complete disclosure of confidential information. |
| 4 | Data Sovereignty and Legal Risks | When data is stored in the cloud, it may reside on servers in different countries. Besides the issue of varying data protection laws, there is also the risk that cloud providers, due to laws like the CLOUD Act, are obliged to disclose data to authorities, even if the servers are located in a third country. The CLOUD Act applies to companies with US ties, not just American companies. This can violate local data protection laws and expose the company to legal risks such as fines and reputational damage. |
| 5 | Loss of Control Over Data and Systems | By outsourcing data and applications to the cloud, the company relinquishes some direct control over its IT infrastructure. This can lead to dependencies on the cloud provider, particularly regarding maintenance, updates, and security measures. A lack of control can impair the company's ability to respond swiftly to security incidents or technical issues. |
| 6 | Contractual Risks and Service Levels | Unclear or insufficient contracts with cloud providers can result in important aspects such as data availability, security, compliance, and responsibilities not being adequately regulated. Additionally, some SaaS providers use the services of other cloud infrastructure providers. The contracts between the SaaS provider and the cloud infrastructure provider are often not transparent to the end customer. This can lead to the end customer being unaware of subcontractors and thus unable to adequately assess or manage risks. |
| 7 | Technological Dependencies | The use of proprietary technologies or specific services from a cloud provider can lead to strong dependencies (vendor lock-in). This makes switching to another provider or reverting to an on-premises solution difficult, restricting the company's flexibility and potentially incurring higher costs. |
| 8 | Lack of Compliance and Regulatory Violations | Companies must comply with a variety of laws and regulations, especially in the areas of data protection and data security. Many end customers believe that if the cloud provider claims that the data centre, for example, is GDPR-compliant, everything is in order. However, the end customer is responsible for the data, and a GDPR-compliant data centre is of little help if data processing does not meet legal requirements. Additionally, some of these certifications do not even exist. For example, some providers claim that their services are FINMA-certified, even though there is no FINMA certification. This can lead to misjudgments and expose the company to legal risks. |
| 9 | Availability and Operational Interruptions | Cloud services can fail for various reasons, such as technical disruptions, network issues, or targeted attacks. Additionally, misconfigurations are a common problem that can result in data or keys being inadvertently made publicly accessible. Such outages or security vulnerabilities can significantly disrupt business operations, lead to data loss, and undermine customer trust. This results in productivity losses, revenue shortfalls, and potential legal consequences. |
| 10 | Data Mixing and Tenant Separation | In multi-tenant cloud environments, multiple customers share the same infrastructure. Inadequate isolation can lead to data being accidentally or maliciously disclosed between customers. If a service provider is attacked with ransomware, the risks in multi-tenant environments are particularly high. A single attack can affect all customers in the environment. Before the data is encrypted, it is often stolen. Restoring the service in such cases can take several months to years, as the effort to restore all tenants is enormous. This poses a significant security and business risk. |
| 11 | Vulnerabilities from Updates and Changes | Cloud providers regularly update their services. Unchecked or poorly managed updates can introduce new vulnerabilities or affect compatibility with existing applications. Misconfigurations due to changes or updates can result in data or keys being inadvertently made publicly accessible. Without adequate testing and monitoring processes, such changes can lead to security gaps, data loss, or operational interruptions. |
| 12 | Lack of Transparency and Insight | Some cloud providers offer limited insights into their internal processes, security practices, and compliance measures. The service providers have absolute control over the backend. Certifications are only as valuable as the expertise of the certifying bodies, and it is often impossible to know which security mechanisms are actually implemented. Moreover, the backend environment is constantly changing without the customer having detailed control or insight into the changes the service provider makes. This lack of transparency makes it difficult for companies to realistically assess the security situation and ensure that all regulatory requirements are met. |
| 13 | Insider Threats at the Provider | Employees of the cloud provider or its subcontractors could intentionally or accidentally compromise sensitive data. Not only the service provider itself but also the service providers of the service provider (subcontractors) pose a potential risk. Without direct control over the provider's employees and its subcontractors, it is difficult to detect and prevent such insider threats. |
| 14 | Geopolitical Risks | Political instability, conflicts, or legal changes in the countries where the cloud provider's data centres are operated can impact access to data or lead to state interventions. In a world where countries, including those in the western world, are increasingly showing autocratic tendencies, this risk is growing. Particularly in the USA, there is a risk that political decisions may block access to a company's own data or applications with cloud providers. What seems utopian today could become a reality if countries exert pressure by restricting data access. This can significantly jeopardise data availability and security. |
| 15 | Inadequate Encryption and Key Management | If data is not properly encrypted or key management is inadequate, there is an increased risk of data leaks and unauthorised access. Often, encryption at cloud providers is more of a marketing slogan than genuine security. The focus is frequently on sales rather than optimal security. It should always be considered that keys, algorithms, and data should not reside together in the cloud. Specifically, keys should not be stored with third parties. Inadequate encryption and key management can result in data being compromised despite supposed security measures. |
| 16 | Loss of Innovation Capability | Dependence on the development cycles and technologies of the cloud provider can restrict the company's ability to implement innovative solutions or respond swiftly to market changes. This can lead to competitive disadvantages. |
| 17 | Cost Risks | Unforeseen cost increases, hidden fees, or complex pricing models can strain the IT budget. Without effective cost control mechanisms, total costs can exceed the initially planned expenditures. |
| 18 | Integration and Compatibility Issues | Integrating cloud services into existing IT systems can be complex. Incompatibilities can lead to operational disruptions, security gaps, or data inconsistencies. This impairs productivity and requires additional resources for troubleshooting. |
| 19 | Data Protection Risks | Non-compliance with data protection laws such as the GDPR can result in significant fines and reputational loss. It is important to note that service providers in their own countries are sometimes subject to laws that contradict European data protection laws. For example, companies with US ties find it impossible to fully comply with European data protection laws as long as US authorities do not have comparable data protection laws and laws exist that require the disclosure of customer data. Repeated attempts to undermine this fact, such as through Privacy Shield agreements and their successor agreements, have not resolved the issue. This poses a significant risk for companies processing sensitive data in such cloud services. |
| 20 | Lack of Emergency Plans and Recovery Procedures | Without robust disaster recovery and business continuity plans, a failure of cloud services can lead to prolonged disruptions. This significantly impairs business operations and causes financial losses. Companies rely on the cloud provider to have effective recovery procedures in place and to regularly test them. |
| 21 | Legal Changes and Compliance Risks | Laws and regulations can change, affecting the use of cloud services. An example is the FINMA circulars: Previously, they required the protection of bank customer data; newer circulars now also demand the protection of critical data. Data collections can also change; a CRM system is expanded and evolves into an ERP with more sensitive data. The risk is that the current location of data processing suddenly no longer meets legal requirements. Without continuous monitoring, there is a risk of violating new regulations, which can lead to fines and legal issues. |
| 22 | Lack of Know-How and Dependence on Providers | Insufficient internal expertise in cloud technologies can hinder the effective use of services and lead to strong dependence on the provider. This increases costs and limits the company's flexibility. Without adequate know-how, risks cannot be appropriately identified or managed. |
| 23 | Concentration Risk | If many companies use the same cloud provider, a failure or security incident at the provider can have far-reaching impacts. This poses a systemic risk that can affect the entire industry. A single incident can lead to massive operational disruptions and a loss of trust in cloud services. |
| 24 | Social Engineering Attacks | Attackers use manipulation techniques to trick employees or employees of the cloud provider into disclosing confidential information or bypassing security measures. This can lead to unauthorised access to systems and data. Without adequate training and security policies, companies are vulnerable to such attacks. |
| 25 | Violations of Intellectual Property | Inadequate protection of intellectual property can lead to the theft or unauthorized dissemination of confidential business secrets or innovations. This causes significant financial losses and competitive disadvantages. Without clear contracts and security measures, a company's intellectual property in the cloud is at risk. |
3.2 Explanation of the risk assessment
The risk assessment provides a structured overview of the identified risks and their evaluation. It includes various columns that present both quantitative and qualitative aspects of each risk. To make it easier to understand the table, an explanation of the individual columns can be found below:
Quantitative assessment
Probability of occurrence (PO):
Description: The probability of occurrence assesses how likely it is that a particular risk will occur. It is quantified on a scale of 1 to 5, where 1 stands for very unlikely and 5 for very likely.
Impact (IMP):
Description: The impact measures the potential extent of damage if the risk occurs. It is also rated on a scale of 1 to 5, where 1 stands for very low and 5 for catastrophic.
Risk value (RV):
Description: The risk value is the product of probability of occurrence and impact:
RV = PO * IMP. It is used to quantify and prioritise risks. A higher RV indicates a higher risk.
Qualitative assessment: Risk Level
Description: Based on the risk value, each risk is assigned a risk level. This qualitative assessment helps to determine the urgency and priority of a risk.
Low: RV 1 - 5
Medium: RV 6 - 10
High: RV 11 - 15
Very high: RV 16 - 20
Critical: RV 21–25
Trend analysis
Description: The trend analysis indicates how the risk is likely to develop in the future. It enables a proactive response to changes.
▲ (increasing): The risk is increasing and requires increased attention.
▬ (unchanged): The risk remains at the current level.
▼ (decreasing): The risk is decreasing.
Reversibility of effects
The reversibility of effects assesses the extent to which the negative consequences of a risk that has materialised can be reversed, remedied or at least mitigated. It provides information on whether a loss is temporary or permanent.
✗ for irreversible
◑ for partially reversible
✓ for reversible
The table in the following chapter summarises the identified risks, including their assessment in terms of probability of occurrence (PO), impact (I), risk value (RV), risk level, trend and reversibility.
3.3 Risk descriptions and assessments (example)
In this chapter, the identified core risks are described in detail and assessed. However, to keep the blog post at a manageable length, we present a comprehensive analysis of risk no. 1 as an example: data loss and corruption.
Description:
This risk refers to the possibility that data may be lost or corrupted while being stored or transferred in the cloud. Causes may include hardware failure, software failure, human error, or natural disaster. Without adequate backup and recovery plans, such incidents could result in irreversible loss of critical business data, affecting business operations and causing financial loss.
Assessment:
PO: 3 (Possible)
IMP: 4 (High)
RV: 12
Risk Level: High
Trend: Steady
Reversibility: Partially reversible (with backups), otherwise irreversible
Analysis:
As cloud environments become more complex, the risk remains constant. The impact can be partially mitigated with regular backups and recovery plans.
3.4 Summary risk table
The summary risk table provides a structured overview of the 25 core risks identified in relation to the use of cloud and SaaS services. It combines both quantitative and qualitative assessments to gauge the urgency and priority of each risk. This table serves as the basis for prioritising risks and developing effective mitigation strategies.
| Risk No. | Risk | PO | IMP | RV | RL | Trend | Reversibility |
|---|---|---|---|---|---|---|---|
| 1 | Data Loss and Corruption | 3 | 4 | 12 | High | ▬ | ◑ |
| 2 | Security Breaches and Cyber Attacks | 5 | 5 | 25 | Critical | ▲ | ✗ |
| 3 | Unauthorised Access to Data | 4 | 5 | 20 | Very High | ▲ | ✗ |
| 4 | Data Sovereignty and Legal Risks | 4 | 5 | 20 | Very High | ▲ | ✗ |
| 5 | Loss of Control Over Data and Systems | 3 | 4 | 12 | High | ▬ | ◑ |
| 6 | Contractual Risks and Service Levels | 4 | 4 | 16 | Very High | ▲ | ◑ |
| 7 | Technological Dependencies | 3 | 3 | 9 | Medium | ▬ | ✓ |
| 8 | Lack of Compliance and Regulatory Violations | 5 | 5 | 25 | Critical | ▲ | ✗ |
| 9 | Availability and Operational Interruptions | 4 | 4 | 16 | Very High | ▬ | ◑ |
| 10 | Data Mixing and Tenant Separation | 4 | 5 | 20 | Very High | ▲ | ✗ |
| 11 | Vulnerabilities from Updates and Changes | 4 | 4 | 16 | Very High | ▬ | ◑ |
| 12 | Lack of Transparency and Insight | 5 | 4 | 20 | Very High | ▲ | ✗ |
| 13 | Insider Threats at the Provider | 4 | 5 | 20 | Very High | ▲ | ✗ |
| 14 | Geopolitical Risks | 3 | 5 | 15 | High | ▲ | ✗ |
| 15 | Inadequate Encryption and Key Management | 5 | 5 | 25 | Critical | ▲ | ✗ |
| 16 | Loss of Innovation Capability | 3 | 3 | 9 | Medium | ▬ | ✓ |
| 17 | Cost Risks | 3 | 3 | 9 | Medium | ▬ | ✓ |
| 18 | Integration and Compatibility Issues | 3 | 3 | 9 | Medium | ▬ | ✓ |
| 19 | Data Protection Risks | 5 | 5 | 25 | Critical | ▲ | ✗ |
| 20 | Lack of Emergency Plans and Recovery Procedures | 4 | 4 | 16 | Very High | ▬ | ◑ |
| 21 | Legal Changes and Compliance Risks | 4 | 4 | 16 | Very High | ▲ | ◑ |
| 22 | Lack of Know-How and Dependence on Providers | 3 | 3 | 9 | Medium | ▬ | ✓ |
| 23 | Concentration Risk | 3 | 4 | 12 | High | ▲ | ◑ |
| 24 | Social Engineering Attacks | 4 | 5 | 20 | Very High | ▲ | ◑ |
| 25 | Violations of Intellectual Property | 3 | 5 | 15 | High | ▬ | ✗ |
Notes on the table:
Rising trends are particularly critical because the risks will increase in the future.
Irreversible effects require special attention because they cannot be reversed.
Critical and very high risks should be prioritised.
4. Data-centric security
4.1 What is data-centric security?
The data-centric security approach focuses on protecting the data itself, regardless of where it is located or how it is transmitted. In contrast to traditional security models, which focus on perimeter protection for networks and systems, data-centric security puts the information at the centre of the protection strategy.
By implementing the highest security standards, such as end-to-end encryption and on-premise key management, companies can ensure that their data is protected against interception, manipulation and unauthorised access. This means that the data is always encrypted during transmission and storage, and that control over the encryption keys remains exclusively with the company.
This approach not only prevents access by external attackers, but also provides protection against insider threats, since neither cloud providers nor their employees or subcontractors have access to unencrypted data. Restricted access authorisation minimises the risk of human error or malicious actions.
Compliance and legal certainty are further crucial aspects. The data-centric approach helps companies to meet regulatory requirements and data protection laws such as FINMA, DORA, CH-revDSG, GDPR and local regulations. Control over data location and access can significantly reduce legal risks.
Despite high security requirements, companies must remain agile. The approach enables flexibility and integrations by supporting the processing of encrypted data for efficient business processes. Secure interfaces for email delivery and other integrations ensure that data is only decrypted where absolutely necessary.
The company's future security is ensured by its adaptability to new threats and legal changes. Scalability is possible without compromising security, so that companies are prepared for growth and change.
4.2 Advantages of the data-centric approach
The data-centric security approach offers effective solutions for mitigating the many risks associated with using cloud and SaaS services. End-to-end encryption, on-premises key management and the ability to process data in encrypted form enable companies to retain data sovereignty, meet compliance requirements and significantly strengthen their security position.
Highest security standards
End-to-end encryption protects data from interception and manipulation.
On-premise key management prevents access by third parties, including cloud providers.
Protection against insider threats
Restricted access: Neither cloud providers nor their employees or subcontractors have access to unencrypted data.
Minimise risk from human error or malicious actions.
Compliance and legal certainty
Compliance with regulatory requirements and data protection laws such as FINMA, DORA, CH-revDSG, GDPR and local regulations.
Reduction of legal risks through control over data location and access.
Flexibility and integrations
Processing encrypted data enables efficient business processes.
Secure interfaces for email delivery and other integrations where data needs to be decrypted.
Future-proof
Adaptability to new threats and legal changes.
Scalability without compromising security.
By implementing a data-centric security approach, companies can not only massively improve their overall security, but also ensure flexibility and future-proofing. This approach makes it possible to effectively meet the challenges of digital transformation while maintaining the highest security standards.
5. Risk mitigation through data-centric security
Adopting a data-centric security approach can significantly improve an organisation's overall security. Targeted measures effectively mitigate the identified core risks associated with the use of cloud and SaaS services.
5.1 Mitigation measures for the 25 core risks
We have developed specific mitigation measures for each risk identified:
| Risk No. | Risk | Mitigation Measures | Mitigation Effect |
|---|---|---|---|
| 1 | Data Loss and Corruption |
|
Reduces the risk of data loss and enables recovery. |
| 2 | Security Breaches and Cyber Attacks |
|
Minimises the impact of attacks as data is protected. |
| 3 | Unauthorised Access to Data |
|
Prevents unauthorised access to sensitive data. |
| 4 | Data Sovereignty and Legal Risks |
|
Meets compliance requirements and protects against data disclosure. |
| 5 | Loss of Control Over Data and Systems |
|
Maintains control over data regardless of the provider. |
| 6 | Contractual Risks and Service Levels |
|
Reduces risks from opaque contracts. |
| 7 | Technological Dependencies |
|
Facilitates switching between providers. |
| 8 | Lack of Compliance and Regulatory Violations |
|
Meets regulatory requirements and reduces legal risks. |
| 9 | Availability and Operational Interruptions |
|
Enables faster recovery in case of outages. |
| 10 | Data Mixing and Tenant Separation |
|
Prevents data mixing and protects against attacks. |
| 11 | Vulnerabilities from Updates and Changes |
|
Reduces risk from system vulnerabilities. |
| 12 | Lack of Transparency and Insight |
|
Reduces dependence on provider transparency. |
| 13 | Insider Threats at the Provider |
|
Protects against risks from provider employees. |
| 14 | Geopolitical Risks |
|
Minimises risks from state interventions. |
| 15 | Inadequate Encryption and Key Management |
|
Ensures optimal security. |
| 16 | Loss of Innovation Capability |
|
Maintains the company's innovation capability. |
| 17 | Cost Risks |
|
Lowers operating costs and avoids surprises. |
| 18 | Integration and Compatibility Issues |
|
Simplifies system integration. |
| 19 | Data Protection Risks |
|
Meets data protection requirements and protects reputation. |
| 20 | Lack of Emergency Plans and Recovery Procedures |
|
Enables quick response in emergencies. |
| 21 | Legal Changes and Compliance Risks |
|
Reduces risks from legal changes. |
| 22 | Lack of Know-How and Dependence on Providers |
|
Reduces dependence and increases internal knowledge. |
| 23 | Concentration Risk |
|
Mitigates risks from provider dependency. |
| 24 | Social Engineering Attacks |
|
Protects data even in the event of successful attacks. |
| 25 | Violations of Intellectual Property |
|
Prevents unauthorised use and dissemination. |
5.2 Updated risk assessment
The implementation of the data-centric security approach significantly reduces the identified risks. We have reassessed the risks by taking into account the mitigating effect of the approach.
The assessment is carried out in the following steps:
Identification of the original risk value (RV).
Assessment of the mitigating effect (scale from 1 to 5).
Calculation of the new risk value:
Adjustment of the risk level based on the new RV.
Verification of reversibility and its change through mitigation.
5.3 Summary risk reduction table
| Risk No. | Risk | RV | Miti-gation | New RV | New RL | Trend | Reversibility |
|---|---|---|---|---|---|---|---|
| 1 | Data Loss and Corruption | 12 | 5 | 7 | Medium | ▬ | ◑ → ✓ |
| 2 | Security Breaches and Cyber Attacks | 25 | 5 | 20 | Very High | ▲ | ✗ → ◑ |
| 3 | Unauthorised Access to Data | 20 | 5 | 15 | High | ▲ | ✗ → ◑ |
| 4 | Data Sovereignty and Legal Risks | 20 | 5 | 15 | High | ▲ | ✗ → ◑ |
| 5 | Loss of Control Over Data and Systems | 12 | 5 | 7 | Medium | ▬ | ◑ → ✓ |
| 6 | Contractual Risks and Service Levels | 16 | 5 | 11 | High | ▲ | ◑ |
| 7 | Technological Dependencies | 9 | 4 | 5 | Low | ▬ | ✓ |
| 8 | Lack of Compliance and Regulatory Violations | 25 | 5 | 20 | Very High | ▲ | ✗ → ◑ |
| 9 | Availability and Operational Interruptions | 16 | 5 | 11 | High | ▬ | ◑ |
| 10 | Data Mixing and Tenant Separation | 20 | 5 | 15 | High | ▲ | ✗ → ◑ |
| 11 | Vulnerabilities from Updates and Changes | 16 | 5 | 11 | High | ▬ | ◑ |
| 12 | Lack of Transparency and Insight | 20 | 5 | 15 | High | ▲ | ✗ → ◑ |
| 13 | Insider Threats at the Provider | 20 | 5 | 15 | High | ▲ | ✗ → ◑ |
| 14 | Geopolitical Risks | 15 | 5 | 10 | Medium | ▲ | ✗ → ◑ |
| 15 | Inadequate Encryption and Key Management | 25 | 5 | 20 | Very High | ▲ | ✗ → ✓ |
| 16 | Loss of Innovation Capability | 9 | 4 | 5 | Low | ▬ | ✓ |
| 17 | Cost Risks | 9 | 4 | 5 | Low | ▬ | ✓ |
| 18 | Integration and Compatibility Issues | 9 | 5 | 4 | Low | ▬ | ✓ |
| 19 | Data Protection Risks | 25 | 5 | 20 | Very High | ▲ | ✗ → ◑ |
| 20 | Lack of Emergency Plans and Recovery Procedures | 16 | 5 | 11 | High | ▬ | ◑ → ✓ |
| 21 | Legal Changes and Compliance Risks | 16 | 5 | 11 | High | ▲ | ◑ |
| 22 | Lack of Know-How and Dependence on Providers | 9 | 5 | 4 | Low | ▬ | ✓ |
| 23 | Concentration Risk | 12 | 5 | 7 | Medium | ▲ | ◑ |
| 24 | Social Engineering Attacks | 20 | 5 | 15 | High | ▲ | ◑ |
| 25 | Violations of Intellectual Property | 15 | 5 | 10 | Medium | ▬ | ✗ → ◑ |
| Total | 411 | 122 | 289 | ||||
Analysis of the overall risk reduction:
Reduction in overall risks: The overall risks were reduced by 122 points.
Improvement in risk levels: Many risks have been reduced from ‘critical’ or ‘very high’ to ‘high’, ‘medium’ or even ‘low’.
Improved reversibility: Some risks have changed from irreversible to partially reversible or even reversible.
6. Conclusion
The notion that cloud services are inherently more secure is a dangerous illusion. Without a thorough risk assessment and appropriate security measures, companies expose themselves to significant dangers. The data-centric security approach offers an effective solution for mitigating these risks and maintaining control over your own data.
Recommendations:
Implementing a data-centric approach: Protect your data effectively and stay in control.
Structured risk assessment: Rely on facts instead of gut feelings.
Continuous monitoring and adaptation: Stay agile and adapt your security measures to new threats and requirements.
Employee training: Raise your team's awareness of security risks and train them to use new security measures.
7. Note on the example provided
The risk assessment and mitigation presented here is intended as an example. Depending on the industry and the individual company context, further risks may arise or existing risks may be assessed differently. It is crucial that each company carries out a risk analysis tailored to its specific circumstances.
Find out more about data-centred protection or Prewen's data security offering.
