5 Ways Elite Cybersecurity Training Drives the Bottomline

Cybersecurity threats are rising, costing businesses billions of dollars annually. With the proper cybersecurity training, CEOs can protect their stock prices from dropping and lower the operational impacts and costs of cyber breaches. Cybersecurity training helps CEOs safeguard their business information and maintain trust in their brands. Investing in training to have a skilled cyber workforce seems obvious. The ROI is simple to quantify based on the average cost of $4.35 million for cyber breaches based on the joint report from IBM and Ponemon Group.

Hard market capitalization and costs of a breach

For example, in 2017, the Equifax breach caused a share price drop that peaked at 31% a week after its disclosure and took almost two years to recover. Marriot was sued hours after disclosing a data breach in a class-action lawsuit seeking $12.5 billion. Zappos recently settled a seven-year class-action complaint in which lawyers claimed $1.6 million. The simple message is that investing in the proper cyber security training, live-fire exercise, and security technology optimization cost far less than the impact on market value, brand reputation, and cash settlements. According to research done by Comparitech:

• Share prices of breached companies hit a low point of approximately 110 market days following a breach. Share prices fall -3.5% on average and underperform the NASDAQ by -3.5%.
• Six months after a breach, 21 out of 40 breaches resulted in worse stock performance versus the NASDAQ in the six months after a breach than they did in the six months prior.
• In the long term, breached companies underperform the market. After one year, the share price fell -8.6% on average, underperforming the NASDAQ by -8.6%. After two years, the average share price dropped by -11.3% and underperformed the NASDAQ by -11.9%. And after three years, the average share price is down by -15.6% and down against the NASDAQ by -15.6%. It's important to note the impact of data breaches likely diminishes over time.
• Tech and finance companies saw the most significant drop in share price performance following a breach, while e-commerce and social media companies were the least affected.
• Breaches that leak highly sensitive information like credit card and social security numbers see a more immediate drop in share price performance on average than companies that expose less sensitive data.

The strategic value of cyber training to the bottomline

When organizations think about cybersecurity, they often see the cost of breaches as a calculated part of their risk management strategy. However, security can now be a strategic differentiation tool. It can be a new reason to pick your organization versus competitors. Many new regulations like Cybersecurity Maturity Model Certification (CMMC) now require you to provide proof of your security posture. A comprehensive cybersecurity strategy can drive business growth and improve the bottom line when implemented correctly. However, the problem with cybersecurity is that organizations only realize its actual value once an incident occurs, and it is too late. Conventional thinking could lead to organizations missing the competitive and strategic benefits of a cohesive and visible cybersecurity strategy. At the end of the quarter and the year, spending on the proper training will prevent breaches, create a new competitive advantage and add to the bottom line.

5 ways military-grade cyber ranges create strategic security advantage

Here are five ways investing in military-grade cyber ranges for elite cyber training will help your company improve the bottom line, protect your brand and ensure your stock price is not adversely impacted:

1. Control cybersecurity costs: Cybersecurity training helps organizations better prepare and respond to the rising threats against their networks, ultimately reducing costs associated with cybersecurity incidents. Organizations can also partner with accredited vendors for on-site training that covers best practices and industry standards for security.
2. Protect your brand and stock price: Cybersecurity breaches can damage a company's brand, leading to lost customers and decreased stock prices. Cybersecurity training teaches employees how to recognize malicious actors and proactively protect the organization from potential attacks, helping to maintain customer trust and prevent long-term losses.
3. Improve employee productivity: Cybersecurity training teaches employees how to correctly identify cyber threats, resulting in improved efficiency and productivity. Cybersecurity-savvy employees have the skills to recognize potential attacks before they happen, allowing them to act quickly and reduce or eliminate costly security breaches.
4. Optimize response to cyber incidents: Cybersecurity training also helps organizations optimize their response to cyber incidents, as employees become better prepared to identify and respond quickly when a breach occurs. By having an effective incident response plan and providing essential training to key personnel, organizations can minimize damage caused by a breach and more quickly restore operations.
5. Lower costs to comply with regulations: Cybersecurity compliance regulations are constantly changing due to the rapid evolution of cyber threats, so organizations need to stay up-to-date on the latest laws and best practices. Cybersecurity training helps organizations better understand how to comply with regulations and avoid costly penalties for non-compliance.

Conclusion

Cybersecurity training is essential for organizations to protect their networks, brands, and stock prices from rising cybercrime threats. Cybersecurity-savvy employees have the skills to recognize potential attacks before they happen, allowing them to act quickly and reduce or eliminate costly security breaches. By investing in military-grade cyber ranges for elite cyber training, companies can improve the bottom line, protect their brand and ensure their stock price is not adversely impacted.