Study by TELUS and Rotman first to provide clarity on the state of IT
security in Canada
TORONTO, July 28 /CNW/ - A new study from TELUS in partnership with
Rotman School of Management released today shows that IT security breaches are
costing publicly traded Canadian companies an average loss of more than
$637,000 annually. In government, the cost is $320,000 per organization, while
the cost to private companies is $294,000 a year to cyber crime.
Similar studies in the U.S. show the cost of data security breaches more
than doubling year over year, rising to an average of US$345,000 in 2007 from
US$167,713 in 2006 for public companies. There is no similar benchmark data
for Canada, but Rotman business economics professor Dr. Walid Hejazi says the
trend towards increased loss is likely similar here.
"IT security is a C-suite level business issue," said Dr. Hejazi. "In an
increasingly information-based society, managing data security is fundamental
to business strategy. Security breaches come with indirect and direct costs.
The damage to brand and customer confidence can last a very long time, and as
our study shows, while direct costs are significant and measurable. Simply
put, our study clearly shows that lacking the ability to collect and store
information safely will severely limit the success and growth potential of any
There are many IT security studies available that are either global or
U.S.-centric, or specific to certain industries. To better understand the
nature of IT security in Canada, TELUS and the Rotman School of Management
partnered in the Rotman-TELUS Joint Study on Canadian IT Security Practices to
provide clarity on the state of IT security specifically in Canada. The study
examines the IT security practices of more than 300 Canadian businesses.
"At TELUS, we are committed to helping Canadian companies use technology
to realize limitless opportunities for competitive advantage," said Yogen
Appalraju, vice-president, TELUS Security Solutions. "IT security is a
technology cornerstone for business. To successfully protect incoming and
outgoing information from breaches, customers need to be able to measure,
evaluate and improve the effectiveness of their security investments. This new
study in partnership with Rotman provides Canadian organizations with insights
into building an effective security program."
Other key findings from the study include:
- Not every industry fares the same in terms of IT security performance.
Those performing above the average include IT companies, healthcare
and financial institutions.
- Canada has caught up with the U.S. in terms of IT security investment.
This has been driven by requirements to comply with Canadian
regulations such as Payment Card Industry (PCI) and Personal
Information Protection and Electronic Documents Act (PIPEDA).
- The best practices for IT security include having a focus on
performance measurement, balancing staffing investments in proportion
to the growth of technology, and utilizing application security
outside of the network, like encryption, to protect customer data.
The full results of the study will be made public tomorrow at the
Information Systems Audit and Control Association (ISACA) 2008 international
conference in Toronto. Please contact TELUS for additional results of this
survey or go to www.telus.com/securitystudy or
TELUS is a global leader in security products and services, operating one
of the world's leading threat and vulnerability analysis labs. For more
information about TELUS Security Solutions, please go to
About Rotman School of Management
The Rotman School of Management at the University of Toronto is
redesigning business education for the 21st century with a curriculum based on
Integrative Thinking. Located in the world's most diverse city, the Rotman
School fosters a new way to think that enables the design of creative business
solutions. The School is currently raising $200 million to ensure Canada has
the world-class business school it deserves. For more information, visit
TELUS (TSX: T, T.A; NYSE: TU) is a leading national telecommunications
company in Canada, with $9.2 billion of annual revenue and 11.2 million
customer connections including 5.6 million wireless subscribers, 4.4 million
wireline network access lines and 1.2 million Internet subscribers. TELUS
provides a wide range of communications products and services including data,
Internet protocol (IP), voice, entertainment and video. In support of our
philosophy to give where we live, TELUS, our team members and alumni have
contributed $113 million to charitable and not-for-profit organizations and
volunteered more than 2.1 million hours of service to local communities since
2000. Eight TELUS Community Boards across Canada lead our local philanthropic
initiatives. For more information about TELUS, please visit telus.com.
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For further information:
For further information: Allison Vale, TELUS Media Relations, (416)
629-6425, Allison.Vale@telus.com; Ken McGuffin, Manager, Media Relations,
Rotman School of Management, (416) 946-3818, firstname.lastname@example.org