A few big ideas…
In a recent article, Jenica McHugh, Managing Director at Accenture, discusses how IT leaders can turn disruptions like service outages and data breaches into opportunities for growth. As crises are inevitable, she emphasizes that CIOs should use these events to advocate for funding aimed at risk mitigation and cost avoidance. With a notable shift towards outcome-based contracts, vendors are now more engaged in the success of projects, sharing risks and rewards with their clients. Moreover, companies must prioritize their public reputation during crises, developing rapid response plans to support customers effectively. McHugh highlights that tech leaders are now evaluated not just on cost management but also on non-financial outcomes, underscoring the evolving role of the CIO in driving growth and innovation.
In an article in Dark Reading, Vishaal “V8” Hariprasad, CEO & Co-Founder of Resilience writes that in the wake of the July CrowdStrike outage, which reportedly cost Fortune 500 companies over $5 billion, industry leaders are urged to reevaluate their approach to vendor reliability and risk management. Despite the chaos, CrowdStrike Falcon remains highly effective, with fewer than 3% of clients experiencing a cyber-insurance claim. Experts recommend businesses assess their vendors’ overall reliability before making any switches, as the costs of changing providers can extend beyond monetary figures. They also stress the importance of not overhauling update processes, as rapid response to emerging threats is crucial. Lastly, decision-makers are cautioned against panic-driven reactions, which could introduce new vulnerabilities, emphasizing the need for proactive risk management strategies to maintain business continuity in the face of cyber incidents.
And in Channel Futures, Kaseya CEO Fred Voccola is actively influencing Congress on cybersecurity regulations, emphasizing the need for compliance to protect small and mid-sized businesses from cyber threats. During a recent interview at DattoCon in Miami, Voccola highlighted the challenges faced by Managed Service Providers, or MSPs, who operate on slim profit margins averaging just 10 percent. He stated that Kaseya aims to ease these pressures through its new Kaseya 365 User service, which has already seen high demand, similar to its earlier Kaseya 365 Endpoint launch. Voccola pointed out that the SolarWinds hack was a wake-up call for lawmakers, sparking discussions on the economic impact of cybercrime, which he likened to a “mafia tax” affecting GDP. He believes that upcoming regulations will help MSPs provide essential cybersecurity tools to businesses lacking IT departments.
Why do we care?
My questions for you to ponder.
How can you leverage downtime discussions for business outcomes?
What should your vendor evaluation process be, and how often should you reevaluate it?
And do you want Kaseya as your advocate for cybersecurity? Or should you join an organization like the National Society of IT Service Providers?