39% of European businesses admit to being breached by a cyberattack but the majority of hacks remain hidden from public.
Nearly two-fifths of European businesses have knowingly fallen victim to a cyberattack in the last five years, with 64% admitting that they may have been hacked unknowingly, according to a new report by RSM, the leading middle market audit, tax and consulting network. This is compounded by a sense of apathy and acceptance, as 62% of respondents believe hackers are more sophisticated than security software developers.
The research, which was conducted for RSM by the European Business Awards, surveyed 597 business decision makers across 33 European countries, suggests that employees are the weak link in many European businesses. Almost half (46%) of successful attacks targeted employees via emails in a practice known as phishing with 22% of businesses still providing no cybersecurity training to their staff.
Despite the European General Data Protection Regulation (GDPR) requiring firms to report certain types of data breach within the first 72 hours of detection, 75% of hacks never become public knowledge with just 23% of businesses choosing to inform the regulator following a breach.
Although reputational damage is a key concern for respondents, genuine confusion appears to be driving the lack of transparency with a third (34%) admitting that they do not understand the circumstances in which they would need to report a breach.
With 80% of European businesses saying that digital transformation is a strategic priority for their growth it is concerning to find that just 34% of businesses have a cybersecurity strategy in place which they believe will protect them from cybercrime with 21% having no strategy at all. Despite this, middle market businesses remain resilient in the face of cyber risk with 86% saying that the increased risk of cyberattacks has not dissuaded them from investing in digital transformation, with 29% of businesses seeing their revenue grow as a result of digital investments with cloud technology the biggest area of focus.
“In the age of digital transformation, more and more middle market businesses see the need for better data security. Companies more often than ever look for a safe and reliable system that will provide them with real-time information, the so-called single source of truth for the entire organization” – adds Hubert SKRUKWA, Head of IT Consulting at RSM Poland. "The RSM report on data security leaves no doubt that the future of middle market business navigates towards cloud solutions. Advanced Oracle NetSuite software, using artificial intelligence algorithms, is not only a response to the growing needs of the ERP market, but also ensures the highest security of cloud computing, confirmed by standards such as PCI-DSS and ISO 27001” – concludes the expert.
For further information and to download the full report please visit: https://www.rsm.global/catch-22-digital-transformation-and-its-impact-cy...