The scaling of business operations is an important and exciting part of business growth. It signifies that an organization is succeeding – setting new targets and ambitions to build on achievements. However, scaling is one of the hardest parts of building a business, and while scaling operations can be thrilling, it’s crucial for businesses not to neglect security amidst the expansion.
“Unfortunately, many businesses overlook this aspect, leaving themselves vulnerable to a range of security threats,” says Tony Hasek, CEO and founder of cyber security company Goldilock.
Security becomes increasingly critical as businesses grow and scale operations, because as this happens, they typically handle more data, conduct more transactions and work with a broader client base. “Scaling operations involves expanding infrastructure, cloud presence and adding new technologies and third parties or vendors. These changes expose businesses to numerous threat vectors,” Sean Cronin, CEO of ProcessUnity, tells PEX Network.
Processes often work well when a company is small, but when they grow, the chance of risk increases due to historical strategies not serving their purpose. “As the company grows, so does the chance of risk, so the tightening of security measures becomes more significant,” says Martin Hartley, group CCO of emagine Consulting.
Scaling operations without proper security consideration is akin to navigating a minefield blindfolded. A firm that fails to prioritize security will be at risk for data breaches, financial losses, disruption of services or operations and (most notably) damage to brand and reputation. Conversely, if a firm prioritizes security measures during the scaling process, they can help safeguard against potential threats and vulnerabilities, ensuring the continuity and stability of the business as it grows.
Here are nine steps to scaling business operations securely.
1. Integrate security at every step
“First and foremost, integrate security considerations into every step of your scaling journey, from technology selection to employee training,” says Hasek. Don’t treat it as an afterthought – make it the foundation. This also means regularly assessing your IT and operational technology (OT) infrastructure for weaknesses and potential vulnerabilities. “After all, prevention is far cheaper than recovery.”
2. Assess current target operating model
Assessing the current target operating model is a crucial step towards scaling securely, says Hartley. “It’s important to know if it’s fit for purpose and how the business will execute its vision and mission on a larger scale.” This will indicate whether or not it will be realistic to achieve the overall business objectives securely and effectively.
3. Conduct regular risks assessments
Businesses should conduct risk assessments on a regular cadence and basis, focusing on vulnerabilities in systems, processes and third-party relationships, says Cronin. For example: A financial services company could conduct periodic vulnerability assessments and penetration testing to identify and address potential security weaknesses in its network infrastructure and applications. Further, a financial services company could conduct on-site visits with critical vendors to conduct walk-throughs of samplings of the third party’s critical control points.
4. Explore innovative technologies
Look beyond traditional solutions and explore innovative technologies to bolster security whilst scaling. “Take non-IP controlled solutions as an example,” says Hasek. This empowers companies to securely segment entire networks, isolating critical systems and infrastructure instantly, even in remote locations, without physically sending personnel. “This can be particularly useful if a security incident occurs during the scaling process.”
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5. Hire skilled expertise
As businesses seek to grow, operations are rapidly moving to the cloud. To securely scale, organizations must invest in specialized personnel skilled in building robust cloud architecture, says Max Heinemeyer, CPO at security vendor Darktrace. “Cloud expertise, which is increasingly harder to acquire, must expand across teams.” Tailored strategies that address the unique risks and configurations of each cloud environment are also critical. “A one-size-fits-all approach will not suffice.”
6. Provide security training
Provide cyber security training and awareness programs to educate employees about best practices for handling sensitive information, identifying phishing attempts and responding to security incidents – especially in relation to risks enhanced by the scaling process.
For example: A technology company could conduct regular cyber security training sessions for its employees covering topics such as password security, social engineering awareness and incident reporting procedures.
7. Choose security-conscious partners
If the scaling process requires new partners, businesses should purposefully choose partners who are security conscious. “In the selection process, be sure to vet potential vendors and partners for their commitment to data security and best practices. Your security chain is only as strong as your weakest link,” says Hasek.
8. Enforce strict access controls and encryption
When scaling operations, businesses need to enforce strict access controls to ensure that only authorized individuals have access to sensitive data and systems, says Cronin. For example, an e-commerce platform could implement multi-factor authentication (MFA) for employee access to critical systems and utilize role-based access control (RBAC) to restrict access to sensitive customer data based on job roles.
Organizations should also use encryption to protect data both at rest and in transit, safeguarding it from unauthorized access or interception, Cronin adds. “A healthcare provider could encrypt patient health records stored in its databases and implement secure communication protocols such as HTTPS for transmitting sensitive data over the internet.” Even if the data becomes compromised, it is encrypted and protected.
9. React swiftly to threats
When a threat is detected, swift action is crucial, says Hasek. “This minimizes potential damage and buys time for further investigation. Equally important is the role of the human element. A dedicated incident response team, with the right expertise, is essential for recognizing the signs of a cyber incident, regardless of the protocol involved.”
Ultimately, finding the perfect balance between growth and security is possible with the right approach and a commitment to continuous improvement.
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