SecureBIT Logo

3 Classifications of IT Risks and How to Reduce Them

A photograph of a workspace with a laptop, keyboard, tablet, and computer monitor on the desk.

In today’s digital world, information technology (IT) is vital in our professional lives. Whether communicating with clients or working on important projects, we rely on IT systems to keep things running smoothly.

However, with the numerous benefits of technology, there are also risks. IT risks can range from mild inconvenience to disaster. Risks can cause slowdowns or IT downtime.

In the case of cyberattacks, organizations can lose intellectual property, client data, reputation, and much more.

In the face of such dire consequences, it’s essential to identify risks and work to reduce them.

WEBIT Services created SecureBIT to help businesses simplify security. We are passionate about using education, not fear, to help companies make informed IT Security decisions and investments based on facts and their risk tolerance.

By reading this article, you will learn about common IT risks, including IT security risks, risks of hardware failure, and IT disasters, and provide practical tips to reduce them.

Reducing IT Security Risks

IT security risks are potential IT threats and vulnerabilities that can compromise productivity and confidential data. These risks can come in various forms, including malware, social engineering, and cyber attacks.

1. Use Strong Passwords

Create unique and complex passwords for all your accounts. The more complex the password, the harder it is for cybercriminals to break it.

Use uppercase and lowercase letters, numbers, and special characters. Avoid using common words or personal information that can be easily guessed.

2. Utilize Two-Factor Authentication (2FA)

Enable two-factor authentication (2FA), also known as multi-factor authentication, whenever possible.

2FA adds an extra layer of security by requiring a second form of verification. Users much enter their login information and an additional, one-time code to enter an account.

This drastically reduces the risk of a breach. Even if a cybercriminal obtains login information, they can’t access the application or network without the 2FA code.

3. Promptly Install Security Updates and Patches

Keep your operating system, antivirus software, and applications up to date. Developers frequently release updates and patches to address security vulnerabilities, so install them promptly.

4. Utilize Security Technology and Firewalls

Networks should utilize security technology like endpoint detection and response (EDR) programs or antivirus software. Both work to identify and address threats within your system.

In addition, your network should also have an active firewall. Firewalls help control the flow of information into and out of your network.

All of these tools help detect and prevent malicious activities on your system.

5. Employee Training

Educate yourself and your team about common security threats and build a security-conscious culture.

Training may cover topics like phishing emails and social engineering scams. Encourage safe online practices and provide regular training sessions to keep everyone informed and vigilant.

6. Run Framework-Based Risk Assessments

Risk assessments shed light on potential risks within your IT system. You gain valuable insight into your systems’ vulnerabilities, weaknesses, and possible threats by conducting an IT risk assessment.

The most effective risk assessments follow security frameworks to ensure consistency and thoroughness.

The NIST (National Institute of Standards and Technology) and CIS (Center for Internet Security) security frameworks provide the best guidelines for identifying and addressing IT risks.

Reducing the Risks of Hardware and Software Failure

Hardware and software failure can lead to unexpected downtime, data loss, and daily operations disruption. While removing all risks is impossible, there are best practices for reducing IT downtime and data loss.

1. Backup Your Data

Regularly back up your important files and data. This can be done using external hard drives, cloud storage services, or network-attached storage (NAS). Ensure that your backups are up-to-date and accessible.

2. Use Reliable Hardware and Replace Old Hardware

Invest in quality, business-grade hardware from reputable manufacturers. Outdated hardware is more prone to failures, leading to potential downtime and loss of productivity.

Your IT provider or internal IT team can help monitor your organization’s hardware age and functionality. This process is known as IT Asset Lifecycle Management and is part of your IT roadmap’s strategy and planning.

3. Practice Regular Maintenance

Schedule regular maintenance and updates for your hardware and software to keep it running smoothly and proactively address issues.

4. Consider Using an Uninterruptible Power Supply (UPS)

An uninterruptible power supply (UPS) protects your devices from power outages and voltage fluctuations.

A UPS provides temporary power to your equipment, allowing you to save your work and shut down your systems properly. A file can become corrupted if you lose power while saving or moving it. A UPS prevents this data loss by acting as a backup power source for essential network devices.

Reducing the Risks of IT Disasters

IT disasters can have severe consequences. These may range from extended system outages to complete data loss. Planning proactively is the best way to mitigate damage from an IT disaster.

1. Consider an IT Service Continuity Plan

Like a business continuity plan (BCP), an IT service continuity plan focuses on keeping your IT systems running in the face of a disaster.

IT continuity identifies essential IT applications, tools, data, and functions. If you face a disaster, you will know critical data is safe and accessible. Productivity can also continue, though perhaps more slowly, until the disaster is resolved.

However, IT continuity can be expensive and may not be a match for all businesses. Your IT provider or internal IT team can help you select the level of IT continuity that best meets your needs.

2. Develop an IT Incident Response Plan

An IT incident response plan anticipates likely risks and incidents and then plans appropriate responses. For instance, an office in Illinois may not need to prepare for a hurricane, but it might have a response plan for a tornado.

This plan should include backup and recovery strategies, alternative communication channels, and a clear chain of command.

3. Ensure Accessible Backups

IT backups are a crucial part of recovery in an IT disaster. If an IT disaster wipes out mission-critical data, backups are the only way to recover it. If it’s not backed up, the information is lost.

Backups should be regularly tested to ensure they work.

In addition, you may consider off-site data storage. Storing data and backups off-site or in the cloud protects it from physical damage.

Talk to your IT provider or internal IT team about what you’re backing up, how regularly it’s tested, backup locations, and how frequently files are backed up.

4. Run Testing and Simulations of Your Response Plans

Regularly test your disaster recovery plans to ensure they work as intended. Conduct simulations to assess your strategies’ effectiveness and identify improvement areas.

Tests should be run and plans reviewed at least annually. Otherwise, planning steps or contacts may be outdated. You don’t want to be searching for phone numbers or processes in a crisis!

5. Verify Your Cyber Insurance Plan

Cyber insurance is now an essential part of business insurance. These plans help protect your business in the face of an IT disaster.

Consult with your insurance provider to understand the coverage options for IT disasters. Consider investing in suitable policies that can provide financial support in case of significant losses.

Next Steps for Reducing IT Risks

IT risks can be broken into three categories:

  1. IT security risks
  2. Hardware or software failure
  3. IT disasters

Unfortunately, it is impossible to eliminate all risks all of the time. Technology changes rapidly, and cybercriminals create new threats every day.

However, users can reduce risks by proactively planning, utilizing IT strategy, and utilizing strong security practices. The more a business is prepared for a potential crisis, the better the outcomes will be.

If you’re unsure about your current risk profile, talk to your IT provider or internal IT team. They can run a risk assessment and review any IT response plans. Risk assessments should be run quarterly or after a significant IT change.

It is a major red flag if your provider does not have an incident response plan or refuses to run a framework-based risk assessment.

WEBIT Services has been identifying and managing risk for small to medium sized businesses for almost 30 years.

If you’re looking for security answers, book a call with our team to see how SecureBIT can help simplify security.

If you are not ready to make a commitment but would like to learn more about IT risks, we recommend the following articles: