Download the first white paper in the three-part series, “Part one: Materiality and cybersecurity”
How could a serious security breach impact your organization? Could it cause lasting damage to your carefully cultivated brand? Cost you millions of dollars? Cause real-world safety risks in the form of accidents or equipment failure?
These aren’t just hypothetical scenarios — they are real risks businesses across industries face in an increasingly digital world.
What does materiality have to do with cybersecurity?
In finance, materiality refers to the significance or impact of an item on the financial statement. An item is considered material if its omission or misstatement could influence investors or other users of financial statements.
The same principle can be applied to cyber-related situations that could cause a material risk to the business and generate an exposure that needs to be continuously managed and mitigated.
Companies need to focus and prioritize their material cyber risks based on the risk they pose to the business.
Communication is key
CISOs understand cyber risks, but they don’t typically focus on materiality. CFOs, COOs and CEOs understand materiality, but may not fully comprehend the risks of a potential cybersecurity-related incident to their shareholders, customers and society.
A shared understanding of the organizational benefits of materiality — from both a financial and a cybersecurity perspective — puts the organization in a position to implement successful, actionable programs.
What you’ll learn:
- How to identify which cyber-related situations could cause the greatest material risk to your business.
- A framework for communicating the materiality of cyber risks to your CFO, COO and CEO.
- A summary of new SEC rules on cybersecurity risk management, strategy, governance and incident disclosure by public companies.
Identifying your organization’s material risk is key to taking the right kind of action to protect its assets.
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Download the white paper today.