Compliance Cost Efficiency
According to the US National Cyber Security Alliance, 60% of small companies go out of business within six months of falling victim to a data breach or cyberattack. This statistic shows that security and compliance must be a priority for organizations of all sizes. Still, it can be challenging to know how much compliance will cost, especially regarding your return on investment (ROI). To be efficient with your compliance budget, your organization should continuously consider all expenses required to meet your industry-specific regulations.
Let’s take a look at common compliance expenses, benefits of achieving compliance, and how your organization can calculate your specific compliance cost efficiencies.
Compliance Costs
Compliance costs aren't about spending as much as it takes to check the box. It's about thinking of your customer first and what it takes to keep those involved with your organization safe. One of the biggest mistakes companies make when determining a security budget is viewing the budget as the cost to meet compliance. Instead, consider your compliance budget as its own data piece that can be informed by how much you value your overall compliance objectives.
While your expenses will vary depending on the size and environment of your specific organization, direct compliance costs typically involve the following items at one point or another:
Costs of compliance staff, such as salaries, benefits, and travel expenses
Training costs
Software and hardware costs
Consultant or external audit fees
Certification and licensing fees
Additionally, compliance costs include indirect expenses such as time spent by non-compliance staff on compliance activities and potential operational slowdowns due to compliance activities. While these items are subject to change with your organization's individual needs, you'll want to consider incidental costs along with the expenses described above.
Compliance Benefits
In today's business world, compliance is not only beneficial—it's critical. When you fail to protect sensitive information, you face serious financial, legal, and reputational repercussions. No matter if your organization outsources a third-party auditor or completes your compliance requirements on your own, you're the ones who are ultimately responsible for any consequences. And such costs can be devastating to businesses of all sizes.
Compliance will not only help your organization avoid fines and penalties. In the process of achieving compliance through audits and assessments, you'll discover the needs of your specific environment. You'll learn how to navigate your servers, hardware, and networking equipment on a deep level, ultimately reducing your system's downtime and increasing operational efficiency.
While compliance was once limited to a handful of people or specific teams, in today's environment, it's ideal for everyone in an organization to have a compliance-first perspective. Embedding compliance in your organization's core values helps create a culture of awareness around security management and can include the following benefits:
Improved corporate reputation
Enhanced customer trust
Increased employee confidence and morale
Interested in learning more about how Audora can help your organization achieve compliance through automation? Schedule a call to learn more.
