Category: metrics

  • Cybersecurity in M&A: why the CISO must be at the due diligence table

    Cybersecurity in M&A: why the CISO must be at the due diligence table

    Mergers and acquisitions (M&A) are among the most strategically sensitive and high-impact decisions a company can make. Traditionally, the focus of M&A due diligence has centered on financial, legal, and operational assessments. However, in today’s digital-first landscape, cybersecurity posture is a critical component of enterprise value and risk exposure.

    Organizations that overlook cybersecurity risk during M&A transactions often face costly surprises after closing. These may include inherited breaches, regulatory violations, reputational damage, or operational disruption.

    This is why CISOs must no longer be involved only after the deal is signed. Their engagement during the early stages of due diligence is essential to identifying and managing digital risk across the transaction lifecycle.

    Why cybersecurity due diligence matters in M&A

    Cybersecurity directly affects business continuity, customer trust, regulatory compliance, and brand reputation. When the target company has weak security controls or a history of underreported incidents, the acquiring organization could inherit:

    • Financial liabilities from future breach remediation or fines
    • Regulatory exposure under GDPR, NIS2, DORA, or local frameworks
    • Technical debt and unsupported infrastructure
    • Integration complexity that slows post-merger execution

    Cyber risk in M&A is not hypothetical. In the Verizon–Yahoo deal, previously undisclosed data breaches led to a $350 million reduction in acquisition value. This case and others illustrate how cybersecurity gaps can become material business risks.

    The CISO’s role in M&A due diligence

    A modern CISO should be actively involved during the early evaluation phase of a transaction. Their responsibility is not limited to technical assessments. It includes identifying how security posture, risk exposure, and digital maturity impact deal value and post-merger integration.

    Key areas of responsibility

    1. Assessing the cybersecurity posture of the target

    • State of preventive and detective controls
    • Security tooling maturity, including SIEM, EDR, vulnerability management, and MFA
    • Track record of security incidents and response effectiveness
    • Regulatory certifications or gaps (e.g. ISO 27001, SOC 2, PCI DSS)

    2. Identifying hidden liabilities and risk drivers

    • Remediation costs associated with security weaknesses
    • Legacy infrastructure that requires replacement or segmentation
    • Risks inherited through third-party contracts and vendors
    • Non-compliance exposure that could trigger post-closing penalties

    3. Supporting post-deal integration planning

    • Alignment of identity and access models across the organizations
    • Consolidation of cybersecurity policies and frameworks
    • Integration of SOC operations, incident response procedures, and detection systems
    • Cultural differences in security awareness and accountability across teams

    Cybersecurity due diligence: what to include

    A structured cybersecurity due diligence framework brings consistency and depth to the evaluation process. Below is a practical breakdown of domains to assess:

    DomainWhat to assess
    Asset visibilityAccuracy of IT, data, and application inventories
    Vulnerability statusOpen CVEs, patch compliance, misconfigured systems
    Third-party riskSecurity posture of inherited vendors and contracts
    Compliance readinessAlignment with relevant laws, standards, and audit frameworks
    Incident historyFrequency and severity of past security events
    Governance structureExistence of policies, ownership models, and executive oversight

    Strategic benefits of early CISO involvement

    Involving the CISO before closing provides value that goes beyond risk avoidance. Early engagement enables:

    • Improved valuation accuracy through structured risk scoring
    • Faster and cleaner post-deal integration across IT and security functions
    • Proactive mitigation of compliance or contractual exposures
    • Greater confidence at board level through visibility into security maturity

    Cybersecurity due diligence is not just a defensive activity. It is a business enabler that helps protect investment value and accelerate integration efforts.

    Conclusion: cybersecurity as a value multiplier in M&A

    Modern acquisitions are more than financial transactions. They are also digital integrations. That is why the CISO must have a seat at the due diligence table and operate with the same level of strategic input as legal, finance, and operations.

    Cyber risk is now a board-level concern. Integrating cybersecurity due diligence into M&A processes signals maturity, governance, and foresight. Organizations that embed security into early-stage deal planning not only avoid costly surprises but also unlock faster value realization and long-term stability.

  • The CISO’s compass: defining effective KPIs and KRIs for cybersecurity leadership

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    In an increasingly complex digital landscape, the Chief Information Security Officer (CISO) has evolved from a technical gatekeeper to a strategic business enabler. This transition demands not only operational excellence but also measurable accountability. To demonstrate value, guide decision-making, and align with enterprise priorities, a modern CISO must define and manage a set of meaningful Key Performance Indicators (KPIs) and Key Risk Indicators (KRIs).

    This article explores how security executives can leverage KPI and KRI frameworks to enhance visibility, align security outcomes with business strategy, and drive continuous improvement across the cybersecurity function.

    KPIs: Measuring the Impact of Cybersecurity Initiatives

    Key Performance Indicators (KPIs) are critical metrics that assess the effectiveness and efficiency of cybersecurity operations. They offer actionable insights into program maturity, resource utilization, and overall performance. Below are the most impactful KPIs every CISO should consider tracking:

    • Mean Time To Detect (MTTD): Measures the average time taken to identify a security incident, reflecting detection capability and tooling effectiveness.
    • Mean Time To Respond (MTTR): Quantifies how long it takes to contain and remediate an incident after detection, highlighting response agility.
    • Security Awareness Completion Rate: Percentage of employees who have successfully completed mandatory security training, a proxy for organizational readiness.
    • Critical (and exploitable) Vulnerabilities Resolved Within SLA: Tracks the percentage of critical vulnerabilities remediated within the defined Service Level Agreements, offering insights into patch management discipline.
    • Phishing Simulation Failure Rate: Assesses employee susceptibility to social engineering by measuring click-through rates on simulated phishing campaigns.

    Well-defined KPIs provide a quantitative foundation for justifying cybersecurity investments, reporting to the board, and steering day-to-day decisions.

    KRIs: anticipating risk before it materializes

    While KPIs focus on performance, Key Risk Indicators (KRIs) serve as early warning signals for emerging threats. They are essential for proactive risk management and provide a forward-looking view of potential exposures. The following KRIs can help CISOs identify latent vulnerabilities:

    • Unauthorized devices on the network: A growing number of rogue endpoints may indicate gaps in asset management or policy enforcement.
    • Incident frequency over time: An upward trend in incident volume can signal deeper systemic issues or an expanding attack surface.
    • IT security staff turnover rate: High attrition within security teams can result in knowledge gaps, delays in remediation, and loss of institutional memory.
    • Policy non-compliance rate: Measures the extent to which employees fail to adhere to internal security protocols and standards.
    • Average exposure time to known vulnerabilities: Tracks the time systems remain exposed to publicly known threats, indicating responsiveness to CVEs.

    When integrated into a broader enterprise risk framework, KRIs empower CISOs to make informed trade-offs and prioritize resources effectively.

    Best practices for implementing KPIs and KRIs

    To derive actionable insights and real business value, security leaders should approach metrics strategically. Consider the following implementation best practices:

    1. Align with business objectives
      KPIs and KRIs should reflect organizational priorities, stakeholder expectations, and risk appetite.
    2. Define clear benchmarks and thresholds
      Establish targets, baselines, and escalation points to ensure consistent interpretation and response.
    3. Leverage automation and real-Time dashboards
      Use SIEM, SOAR, and GRC platforms to automate data collection, correlation, and visualization.
    4. Communicate with stakeholders in Business terms
      Translate metrics into operational or financial impact to drive engagement and board-level support.
    5. Continuously review and evolve metrics
      Cyber risk evolves rapidly—your metrics should too. Periodically reassess them based on threat intelligence, audit findings, and strategic shifts.

    Conclusion: metrics as a driver for strategic security

    For CISOs, metrics are more than numbers—they are strategic instruments for visibility, accountability, and influence. When defined and applied correctly, KPIs and KRIs bridge the gap between technical operations and executive strategy, enabling the security function to scale with the business.

    In short, cybersecurity cannot be governed in the dark. It must be measured, optimized, and aligned with the broader goals of the organization. KPIs and KRIs are the compass that allows CISOs to navigate this mission with clarity and purpose.