# “IT’S SECURITY, STUPID…”
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2016-09-07
Category: TECHNOLOGY
Category URL: https://financedigest.com/category/technology
Meta Title: Financial Services Cybersecurity: Digital Business Resilience
Meta Description: Learn why cyber-security should be your top priority in the financial services sector. Daisy Group offers solutions to keep your business secure and resilient
URL: https://financedigest.com/its-security-stupidhtml

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_Keeping the bad guys out of your business should be trumping everything on your agenda._

 Alan Prescott Brann

_But how do you hardwire instead of retrofit…?_

BOARDROOMS are being infiltrated from bedrooms. Hackers in hoodies are stealing our cash.

In today’s digital Wild West, technological advancement is a double-edged sword – and for the financial [services sector](https://www.financedigest.com/how-communication-technology-can-help-relieve-pressure-on-staff-in-the-financial-services-sector.html "How communication technology can help relieve pressure on staff in the financial services sector "), it can be the difference between life and death.

[Mobile banking apps](https://www.financedigest.com/why-you-should-use-a-mobile-banking-app-and-how-to-make-the-most-of-it.html "Why You Should Use a Mobile Banking App – and How to Make the Most of It") are the future, and moving money over the web is now commonplace.

For the customer, it seems, the [digital revolution](https://www.financedigest.com/the-fintech-digital-revolution-will-continue-in-2022.html "The Fintech Digital Revolution Will Continue in 2022") is delivering in spades.

But for the businesses providing those services, it’s a world where [risk management](https://www.financedigest.com/extended-reality-applications-in-risk-management.html "Extended Reality Applications in Risk Management") is king.

And, if they fail to get their [digital strategy](https://www.financedigest.com/minding-the-gap-the-importance-of-inclusive-financial-strategies-as-digital-currencies-rise.html "Minding The Gap: The importance of inclusive financial strategies as digital currencies rise ") right, they risk getting everything wrong.

Despite that apparently precarious state of affairs, a recent study carried out by converged digital comms and IT services [provider](https://www.financedigest.com/can-companies-minimise-their-dependency-on-cloud-service-providers.html "Can companies minimise their dependency on cloud service providers?") Daisy Group found that more than half of financial services businesses are not taking the necessary effective steps.

And when the only word that counts is ‘security’, that is a high-stakes game with potentially dire consequences.

Daisy’s Head of Sales for [Business Continuity & Resiliency Services Alan Prescott Brann knows the sector needs](https://www.financedigest.com/the-four-pillars-of-data-integrity-what-finance-businesses-need-to-know.html "The four pillars of data integrity: what finance businesses need to know") to operate in an ‘always-on’ environment, but says the threat levels cannot be underestimated.

“The rise of digital natives, or Generation X, is putting increasing pressure on [banks to be everything to everyone all of the time,” he says](https://www.financedigest.com/swiss-national-bank-raises-rates-says-bank-crisis-stopped.html "Swiss National Bank raises rates, says bank crisis stopped").

“They are forced to develop better, more user-friendly mobile [banking apps](https://www.financedigest.com/why-pay-by-bank-app-will-come-into-its-own-in-2022.html "Why Pay by Bank App will come into its own in 2022 ") in order to remain relevant and responsive. But a mobile banking app may be just what the customer asked for, but what about the reliability and security of it to not only keep your customers satisfied, but to protect their [accounts and the bank’s](https://www.financedigest.com/scams-avoided-how-to-prevent-bank-account-scams-in-2023.html "Scams Avoided: How to Prevent Bank Account Scams in 2023") reputation?

“The digital revolution has produced savvier cyber criminals and opened up even more entry points for them to wreak havoc. From competitors to organised crime groups, political activists and even national governments, it seems the threat is everywhere. The criminals come in all guises, and possess the skills to violate a company’s infrastructure with just a few clicks.”

It has become a sophisticated art, one that can make or break businesses. And it’s rightly keeping Britain’s FS institutions up at night.

“Cybercrime is twice as common in the financial services sector compared to any other industry, costing every [company an average annualised £4.1m last year,” says](https://www.financedigest.com/french-unions-unanimously-sign-wage-agreement-with-edf-company-says.html "French unions unanimously sign wage agreement with EDF, company says") Prescott-Brann.

“That’s a lot of money, but should those stats deter the FS sector from embracing digitisation?  If they don’t try and compete with the speed at which consumers are [embracing new technology](https://www.financedigest.com/banking-from-anywhere-embracing-technology-to-exceed-customer-expectations.html "Banking from anywhere: embracing technology to exceed customer expectations"), they are surely destined to die out. The answer has to be Digital Business Resilience: the ability to allow customers to consume services as they want, with the peace of mind that you have a back-up plan to keep that ‘always on’ promise in the [face](https://www.financedigest.com/cup-holder-market-emerging-industries-challenges-and-threats-faced-by-key-vendors-and-global-business-outlook-till-2031.html "Cup Holder Market Emerging industries, Challenges and Threats Faced by Key Vendors and Global Business Outlook till 2031") of that threat.”

But what about those shackled by the restrictions of legacy IT and pressure from [shareholders on investment](https://www.financedigest.com/joby-aviation-to-get-investment-from-tesla-shareholder-baillie-gifford.html "Joby Aviation to get investment from Tesla shareholder Baillie Gifford")?

“What we are seeing is a reluctance to embrace [digital from those with traditional banking](https://www.financedigest.com/how-traditional-bank-and-insurance-cfos-can-maintain-pace-in-a-disruptive-digital-first-marketplace.html "How traditional bank and insurance CFOs can maintain pace in a disruptive, digital-first marketplace") roots. In those we surveyed, 65% of large financial services [businesses claimed their biggest barrier to change](https://www.financedigest.com/unitedhealth-to-sell-change-healthcares-claims-business-for-2-2-billion.html "UnitedHealth to sell Change Healthcare’s claims business for .2 billion") is legacy technology. At the same time, we find ourselves in a world where the majority of the population would now prefer to make [digital payments](https://www.financedigest.com/why-anti-spoofing-fingerprint-technology-is-essential-for-the-continued-growth-of-digital-payments.html "Why anti-spoofing fingerprint technology is essential for the continued growth of digital payments") rather than visit their local branch, so the pressure has reached boiling point. If you consider some Asian countries for example, such as Indonesia, less than ½ the population have a bank account, however mobile phone subscriptions sit at around 120% of population, so the potential opportunity is huge for both [Fintech companies](https://www.financedigest.com/7-cyber-threats-fintech-companies-should-watch-out-for.html "7 Cyber Threats FinTech Companies Should Watch Out For"), traditional banks and cyber criminals’ alike.”

In a separate study carried out by Temenos [last year](https://www.financedigest.com/uk-new-car-sales-rise-in-january-full-year-sales-to-top-last-year-smmt.html "UK new car sales rise in January, full-year sales to top last year – SMMT"), it was shown that, in 12 months, the digital strategy had jumped from fourth place to the top spot on retail banks’ agendas.

It’s no [longer a water](https://www.financedigest.com/chinese-findings-on-mars-suggest-water-existed-for-longer-on-planets-surface.html "Chinese findings on Mars suggest water existed for longer on planet’s surface") cooler conversation: it’s made its way into the boardroom and onto the CEO’s notepad.

“When it comes to the digital business resilience piece, priority number one for all businesses – but particularly those in the FS sector – should be cyber [risk](https://www.financedigest.com/ai-holds-the-key-for-both-competitive-advantage-and-risk-mitigation-in-2022.html "AI holds the key for both competitive advantage and risk mitigation in 2022") mitigation,” says Prescott Brann.

“With the pressure from consumers, the [industry and technology](https://www.financedigest.com/adverty-launches-industry-first-streaming-video-technology-for-in-play-ads-in-partnership-with-seenthis.html "Adverty launches industry-first streaming video technology for In-Play™ ads in partnership with SeenThis") itself, it can feel like they are being forced to rush their digital journey, and what they will no doubt encounter are risks that they are not expecting, and that they don’t fully understand.

“But you can’t wait until something goes [wrong before you start thinking about protecting your business](https://www.financedigest.com/a-uk-covid-lockdown-would-be-wrong-right-now-business-minister-says.html "A UK COVID lockdown would be wrong right now, business minister says"). You [need to treat business](https://www.financedigest.com/pstn-isdn-switch-off-what-businesses-need-to-know.html "PSTN/ISDN switch-off: what businesses need to know ") continuity and resilience as a proactive BAU programme. The right BC partner should act as a natural extension to your business. They should work with you to identify those risks, develop a roadmap, and [provide thorough testing before implementing the service](https://www.financedigest.com/high-energy-shockwave-therapy-units-market-end-user-demand-by-types-regions-top-players-service-provides-regional-outlook-and-forecast-to-2028-2.html "High Energy Shockwave Therapy Units Market End-User Demand by Types, Regions, Top Players, Service Provides, Regional Outlook and Forecast to 2028") into your operations. If the worst happens, use a [business continuity centre to soak up additional demand and extend the capacity of your business operations](https://www.financedigest.com/how-business-owners-can-improve-their-operational-and-financial-performance-through-contactless-and-card-payments.html "How Business Owners can Improve their Operational and Financial Performance through Contactless and Card Payments") or use agile home working solutions to allow flexible workers to work anytime, anyplace, anywhere. With your business’ profile ideally already mapped using sophisticated Business [Continuity Planning](https://www.financedigest.com/the-case-for-continuous-planning-in-a-world-turned-upside-down.html "The case for continuous planning in a world turned upside down") software, it is just a case of your staff turning up and logging on to your systems to continue business as usual. And if you are the victim of a cyberattack or outage, you can have your [business back up and running in no time](https://www.financedigest.com/isnt-it-time-open-banking-delivered-for-businesses.html "Isn’t It Time Open Banking Delivered for Businesses?"), covering both on-site and mobile data sources and devices.”

It’s resiliency hard-wired in; not retro-fitted.

And it’s about as crucial as it gets.

- To find out more about the Daisy Group, go to www.daisygroup.com


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