Executive & Board of Directors Cybersecurity Training
Does your board understand cybersecurity requirements and global regulations?
$4.45M
Average cost to a business after a cyberattack
Recent high-profile cyber breaches, impacting millions of customers and employees, have led to substantial losses for businesses, encompassing direct response costs, operational disruptions, regulatory fines, reputational harm, diminished shareholder value, and legal actions from affected parties.
Despite the rising risk of cyber attacks targeting businesses of every size and industry, there remains a significant gap for organizations when it comes to cyber literacy and education.
To establish an effective cybersecurity defense, it's essential for executives and board of directors to have a level-set understanding of cybersecurity and build this mindset into the foundation of everything the company does.
Recent Survey Results by Private Board Directors
Clarus Tech Partners surveyed the current state of cybersecurity training for board members of private companies, covering training types, effectiveness, preferred methods, regulatory knowledge, and confidence in managing cybersecurity risks and here are some of the results.
Fiduciary Duty
Do you believe you have met your fiduciary duty as a board member by participating in cybersecurity training?
41.7%
Have actively engaged in cybersecurity training to fulfill my fiduciary responsibilities
58.3%
Unsure of what cybersecurity training I need to fulfill my fiduciary responsibilities
Confidence in Decision-Making
Are cybersecurity risks and incidents regularly discussed during board meetings?
16.7%
At meetings
41.7%
Only when significant events occur
25%
Rarely discussed
16.7%
Never discussed
Confidence in Decision-Making
How confident are you in your ability to make informed decisions regarding cybersecurity governance and risk management as a result of your training?
0%
Not confident at all
8.3%
Somewhat unconfident at all
16.7%
Neutral
50%
Somewhat confident
25%
Very confident
This survey highlights diverse experiences among board members regarding cybersecurity training, with a preference for practical, interactive formats.
Confidence in current training and organizational cybersecurity measures varies, and there is a recognized need for tailored content to support effective governance.
Many board members have not participated in specialized training, leading to uncertainty about fulfilling fiduciary duties.
Key concerns include business disruptions, data breaches, and the need for regular updates to enhance cybersecurity governance and compliance.
The Clarus Board of Directors Cybersecurity & Governance Program
We first understand your company's unique requirements and tailor the agenda to align with your specific needs. Typical topics include:
Board's Fiduciary Duty & Importance of Oversight
Cybersecurity 101: What Boards Need to Know
AI Risks & Governance
How to Assess Cyberattack Impact
Incident Response Readiness
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
Cybersecurity and D&O Insurance
Global Cybersecurity & Data Privacy Regulatory Landscape
Leveraging Cybersecurity & AI Frameworks
Collaboration between Board, Executive Management & IT
Board's Pivotal Role in Compliance
Public Companies: The SEC's New Rule on Cybersecurity
The SEC’s recent adoption of cybersecurity rules mandates public companies to disclose material cybersecurity incidents and maintain robust risk management, strategy, and governance programs.
Even if your company isn't publicly traded, as a third party, you may still be held to these standards by investors and stakeholders. Private organizations are also adopting similar measures to align with current industry best practices.
These regulations underscore the need for board members to possess a solid understanding of the organization’s cybersecurity landscape to align with their fiduciary and statutory responsibilities.
SEC Requirements
Annual disclosure of cybersecurity risk management, strategy, and governance.
The disclosures must include:
-
The Board's knowledge and oversight process, including any delegation to committees.
-
How the Board is informed about risks from cybersecurity threats.
-
Management's role in assessing, identifying, and managing material risk from cybersecurity threats.
-
Any "material" cyber incidents within 4 days.
Effective reporting dates: December 18, 2023 (larger companies) and June 15, 2024 (smaller companies and foreign private issuers).
Organization Cybersecurity
Assessments & Audits
Clarus also provides cybersecurity assessments and audits to assess your organization's security posture, identify vulnerabilities, and ensure compliance with relevant regulations.
The insights gained from these assessments can inform the board and broaden their comprehension of cybersecurity risks and priorities.
-
Risk Assessment & Audit
-
Incident Response Planning & Table Top Exercises
-
Data Privacy Impact Assessment
-
Third-Party Risk Assessment
-
Policies & Procedures Development
-
Vulnerability & Penetration Testing
-
SOC2/ISO 27001 Readiness
Contact us to learn more about our organizational assessments and audits to ensure the resilience and accuracy of your cybersecurity programs.