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Miranda R. Dalton
511C
10.18.11




         NPOs and Information Security
   An analysis of the factors that contribute to the vulnerability of NPOs
            and best practices in combating criminal activity.
Agenda

                                                   Recommendations


                                      Securing
                                     Information


                  Vulnerability of
                      NPOs
                   Responsible
                     Factors

The Interest in
  Nonprofits
Research Approach


 • Articles disseminated over a three year period
                    (2007-2010)

 • Similarities and discrepancies among articles
   explored

 • Nonprofit Organizations will be referenced as
   NPOs
Nonprofit Sector
A growing sector in our nation’s economy


                                          1.5 Million
                                         NPOs in 2008




               A Target For Cyber Criminals
Why the Interest in Nonprofits?
  Cyber Criminals see tremendous financial gain

•Nonprofit budgets are growing

• If successful, cyber criminals can gain access to organization’s financial accounts
and personal/financial information of donors

• Cyber Criminals are finding new and innovative malware to penetrate      networks

• New malware is not easily stopped

• Development of new malware has morphed into a multi-billion dollar global
enterprise
The Vulnerability of NPOs
Responsible Factors
   Human Carelessness            Financial Constraints        Underestimating the Risk

• Accidentally posting        • Anti-virus software costly • NPOs have versatile
  information online            and quickly become out       payments options for
                                of date                      donors
• Discarding information in
  an unsecured dumpster       • Majority of funding is for   • In the process,
                                program services and           information security is
• Stolen hardware &             delivery                       lost
  information by
  temporary employees         • Difficult to allot money to • Larger NPOs more
                                purchase current security     security measures, but
                                software and employ IT        greater financial
                                staff                         transactions -TARGET
Securing Information
      A comparison of strategic approaches
    Install latest antivirus           Undergo cultural change           Back up and redundant
software and employ IT staff            related to information                  systems
                                               security

•   McAfee                         •   Securing information is the   •   The issue – reactive in nature
                                       responsibility of all
•   Norton                                                           •   Only relevant once networks
                                   •   Security Awareness Programs       have been compromised
•   Latest security versions           - training in information
    should be installed in             security                    •     Should not become the
    computers                                                            prevailing IT strategy
                                   •    Adoption of proper
•   Expensive                          protocols/procedures in
                                       securing information
•   Budgetary Issues –
    organization can’t afford IT   •   Buy in needed of all key
    staff or to contract out to        stakeholders
    third partyies
Recommendations to Nonprofits


• Information security must become a key component of
strategic planning
      * Will assist in changing the culture of an organization

      * NPOs will begin to dialogue concerning matters of information
        security and the adoption of security initiatives

• Training must occur on an ongoing basis
      * Argument: NPOs are already stressed and further training would
        add to the frustration of NPOs

      * Counter Argument: If IT and security matters are not a priority, it could harm
        contributions if donors feel that their information has been compromised
Recommendations to Nonprofits

    Five Steps in Creating an Information Security Plan

1. Develop information security policies

2. Communicate the information security policies

3. Indentify critical information assets and risks
     Five Steps in Creating an Information
4. Test and reevaluate risks
     Security Plan
5. Obtain stakeholder support
Security and the Internet - Fighting Malware. (2008, July). OECD Observer, 10-11.

Six ID Theft Trends for 2010. (2010, February). Credit Union Magazine, 42.

Baltzan, Phillips, & Haag. (2009). Information Technology and Management. (third, Ed.) McGraw-
Hill.

Dinerman, B. (2009, July 21). Security Threats: A guide for small and mid-size nonprofits.
Retrieved October 10, 2011, from TechSoup:
http://www.techsoup.org/learningcenter/techplan/page11904.cfm

Meron, J. (2009, January 26). NP Tech News. Retrieved October 10, 2011, from
http://www.nptechnews.com/management-features/increasing-data-security-in-an-increasingly-
insecure-world.html

Popa, C. (2007, February). Information Security for Nonprofits. CMA Management, 19-21.

Sherstobitoff, R. (2008, April 21). How to Make Sure You Aren't the "Low-Hanging Fruit" for Fraud.
8.

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NPOs and Information Security

  • 1. Miranda R. Dalton 511C 10.18.11 NPOs and Information Security An analysis of the factors that contribute to the vulnerability of NPOs and best practices in combating criminal activity.
  • 2. Agenda Recommendations Securing Information Vulnerability of NPOs Responsible Factors The Interest in Nonprofits
  • 3. Research Approach • Articles disseminated over a three year period (2007-2010) • Similarities and discrepancies among articles explored • Nonprofit Organizations will be referenced as NPOs
  • 4. Nonprofit Sector A growing sector in our nation’s economy 1.5 Million NPOs in 2008 A Target For Cyber Criminals
  • 5. Why the Interest in Nonprofits? Cyber Criminals see tremendous financial gain •Nonprofit budgets are growing • If successful, cyber criminals can gain access to organization’s financial accounts and personal/financial information of donors • Cyber Criminals are finding new and innovative malware to penetrate networks • New malware is not easily stopped • Development of new malware has morphed into a multi-billion dollar global enterprise
  • 6. The Vulnerability of NPOs Responsible Factors Human Carelessness Financial Constraints Underestimating the Risk • Accidentally posting • Anti-virus software costly • NPOs have versatile information online and quickly become out payments options for of date donors • Discarding information in an unsecured dumpster • Majority of funding is for • In the process, program services and information security is • Stolen hardware & delivery lost information by temporary employees • Difficult to allot money to • Larger NPOs more purchase current security security measures, but software and employ IT greater financial staff transactions -TARGET
  • 7. Securing Information A comparison of strategic approaches Install latest antivirus Undergo cultural change Back up and redundant software and employ IT staff related to information systems security • McAfee • Securing information is the • The issue – reactive in nature responsibility of all • Norton • Only relevant once networks • Security Awareness Programs have been compromised • Latest security versions - training in information should be installed in security • Should not become the computers prevailing IT strategy • Adoption of proper • Expensive protocols/procedures in securing information • Budgetary Issues – organization can’t afford IT • Buy in needed of all key staff or to contract out to stakeholders third partyies
  • 8. Recommendations to Nonprofits • Information security must become a key component of strategic planning * Will assist in changing the culture of an organization * NPOs will begin to dialogue concerning matters of information security and the adoption of security initiatives • Training must occur on an ongoing basis * Argument: NPOs are already stressed and further training would add to the frustration of NPOs * Counter Argument: If IT and security matters are not a priority, it could harm contributions if donors feel that their information has been compromised
  • 9. Recommendations to Nonprofits Five Steps in Creating an Information Security Plan 1. Develop information security policies 2. Communicate the information security policies 3. Indentify critical information assets and risks Five Steps in Creating an Information 4. Test and reevaluate risks Security Plan 5. Obtain stakeholder support
  • 10. Security and the Internet - Fighting Malware. (2008, July). OECD Observer, 10-11. Six ID Theft Trends for 2010. (2010, February). Credit Union Magazine, 42. Baltzan, Phillips, & Haag. (2009). Information Technology and Management. (third, Ed.) McGraw- Hill. Dinerman, B. (2009, July 21). Security Threats: A guide for small and mid-size nonprofits. Retrieved October 10, 2011, from TechSoup: http://www.techsoup.org/learningcenter/techplan/page11904.cfm Meron, J. (2009, January 26). NP Tech News. Retrieved October 10, 2011, from http://www.nptechnews.com/management-features/increasing-data-security-in-an-increasingly- insecure-world.html Popa, C. (2007, February). Information Security for Nonprofits. CMA Management, 19-21. Sherstobitoff, R. (2008, April 21). How to Make Sure You Aren't the "Low-Hanging Fruit" for Fraud. 8.