Question
Assume that a year has passed and XYZ has improved security by applying several controls. Using the information from Exercise 3(information is below ) and
Assume that a year has passed and XYZ has improved security by applying several controls. Using the information from Exercise 3(information is below ) and the following table, calculate the post-control ARO and ALE for each threat category listed.
Threat Category | Cost per Incident | Frequency of Occurrence | Cost of Control | Type of Control |
Programmer mistakes | $5,000 | 3 per month | $20,000 | Training |
Loss of intellectual property | $25,000 | 1 per 2 years | $20,000 | Firewall/IDS |
Software piracy | $500 | 1 per 2 months | $9,000 | Firewall/IDS |
Theft of information (hacker) | $1,500 | 2 per 6 months | $20,000 | Firewall/IDS |
Why have some values changed in the Cost per Incident and Frequency of Occurrence columns? How could a control affect one but not the other? Assume that the values in the Cost of Control column are unique costs directly associated with protecting against the threat. In other words, dont consider overlapping costs between controls. Calculate the CBA for the planned risk control approach in each threat category. For each threat category, determine whether the proposed control is worth the costs.
The inforamtion from section 3:
Programming mistakes: ARO= 2*52=104; ALE= 5,000* 104=520,000
Loss of Intellectual property: ARO= 1; ALE= 1*25,000= 25,000;
Software piracy
ARO= 26; ALE= 26*500=13,000;
Theft of Information ARO= 16; ALE= 16*1500= 24,000;
Threat Category | Cost per Incident (SLE) | Frequency of Occurrence |
Programmer mistakes | $5,000 | 2 per weeks |
Loss of intellectual property | $25,000 | 1 per year |
Software piracy | $500 | 1 per 2 weeks |
Theft of information (hacker) | $1,500 | 4 per quarter |
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