Skip to content
Advertisements

Posts from the ‘Zero Trust Security’ Category

CIO’s Guide To Stopping Privileged Access Abuse – Part I

CIOs face the paradox of having to protect their businesses while at the same time streamlining access to the information and systems their companies need to grow. The threatscape they’re facing requires an approach to security that is adaptive to the risk context of each access attempt across any threat surface, anytime. Using risk scores to differentiate between privileged users attempting to access secured systems in a riskier context than normal versus privileged credential abuse by attackers has proven to be an effective approach for thwarting credential-based breaches.

Privileged credential abuse is one of the most popular breach strategies organized crime and state-sponsored cybercrime organizations use. They’d rather walk in the front door of enterprise systems than hack in. 74% of IT decision makers surveyed whose organizations have been breached in the past say it involved privileged access credential abuse, yet just 48% have a password vault. Just 21% have multi-factor authentication (MFA) implemented for privileged administrative access. These and many other insights are from Centrify’s recent survey, Privileged Access Management in the Modern Threatscape.

How CIOs Are Solving the Paradox of Privileged Credential Abuse

The challenge to every CIO’s security strategy is to adapt to risk contexts in real-time, accurately assessing every access attempt across every threat surface, risk-scoring each in milliseconds. By taking a “never trust, always verify, enforce least privilege” approach to security, CIOs can provide an adaptive, contextually accurate Zero Trust-based approach to verifying privileged credentials. Zero Trust Privilege is emerging as a proven framework for thwarting privileged credential abuse by verifying who is requesting access, the context of the request, and the risk of the access environment.

By taking a least privilege access approach, organizations can minimize attack surfaces, improve audit and compliance visibility, and reduce risk, complexity, and the costs of operating a modern, hybrid enterprise. CIOs are solving the paradox of privileged credential abuse by knowing that even if a privileged user has entered the right credentials but the request comes in with risky context, then stronger verification is needed to permit access.

Strategies For Stopping Privileged Credential Abuse

The following are five strategies CIOs need to concentrate on to stop privileged credential abuse. Starting with an inventory of privileged accounts and progressing through finding the gaps in IT infrastructure that create opportunities for privileged credential abuse, CIOs and their teams need to take preemptive action now to avert potential breaches in the future.

In Part 1 of a CIO’s Guide to Stopping Privileged Access Abuse, below are the steps they can take to get started:

  1. Discover and inventory all privileged accounts and their credentials to define who is accountable for managing their security and use. According to a survey by Gartner, more than 65% of enterprises are allowing shared use of privileged accounts with no accountability for their use. CIOs realize that a lack of consistent governance policies creates many opportunities for privileged credential abuse. They’re also finding orphaned accounts, multiple owners for privileged credentials and the majority of system administrators having super user or root user access rights for the majority of enterprise systems.
  2. Vault your cloud platforms’ Root Accounts and federate access to AWS, Google Cloud Platform, Microsoft Azure and other public cloud consoles. Root passwords on each of the cloud platforms your business relies on are the “keys to the kingdom” and provide bad actors from inside and outside the company to exfiltrate data with ease. The recent news of how a fired employee deleted his former employer’s 23 AWS servers is a cautionary tale of what happens when a Zero Trust approach to privileged credentials isn’t adopted. Centrify’s survey found that 63% or organizations take more than a day to shut off privilege access for an employee after leaving the company. Given how AWS root user accounts have the privilege to delete all instances immediately, it’s imperative for organizations to have a password vault where AWS root account credentials are stored. Instead of local AWS IAM accounts and access keys, use centralized identities (e.g., Active Directory) and enable federated login. By doing so, you obviate the need for long-lived access keys.
  3. Audit privileged sessions and analyze patterns to find potentially privileged credential sharing or abuse not immediately obvious from audits. Audit and log authorized and unauthorized user sessions across all enterprise systems, especially focusing on root password use across all platforms. Taking this step is essential for assigning accountability for each privileged credential in use. It will also tell you if privileged credentials are being shared widely across the organization. Taking a Zero Trust approach to securing privileged credentials will quickly find areas where there could be potential lapses or gaps that invite breaches. For AWS accounts, be sure to use AWS CloudTrail and Amazon CloudWatch to monitor all API activity across all AWS instances and your AWS account.
  4. Enforce least privilege access now within your existing infrastructure as much as possible, defining a security roadmap based on the foundations of Zero Trust as your future direction. Using the inventory of all privileged accounts as the baseline, update least privilege access on each credential now and implement a process for privilege elevation that will lower the overall risk and ability for attackers to move laterally and extract data. The days of “trust but verify” are over. CIOs from insurance and financial services companies recently spoken with point out that their new business models, all of them heavily reliant on secured Internet connectivity, are making Zero Trust the cornerstone of their future services strategies. They’re all moving beyond “trust but verify” to adopt a more adaptive approach to knowing the risk context by threat surface in real-time.
  5. Adopt multi-factor authentication (MFA) across all threat surfaces that can adapt and flex to the risk context of every request for resources. The CIOs running a series of insurance and financial services firms, a few of them former MBA students of mine, say multi-factor authentication is a must-have today for preventing privileged credential abuse. Their take on it is that adding in an authentication layer that queries users with something they know (user name, password, PIN or security question) with something they have (smartphone, one-time password token or smart card), something they are (biometric identification like fingerprint) and something they’ve done (contextual pattern matching of what they normally do where) has helped thwart privileged credential abuse exponentially since they adopted it. This is low-hanging fruit: adaptive MFA has made the productivity impact of this additional validation practically moot.

Conclusion

Every CIO I know is now expected to be a business strategist first, and a technologist second. At the top of many of their list of priorities is securing the business so it can achieve uninterrupted growth. The CIOs I regularly speak with running insurance and financial services companies often speak of how security is as much a part of their new business strategies as the financial products their product design teams are developing. The bottom line is that the more adaptive and able to assess the context of risks for each privilege access attempt a company’s access management posture can become, the more responsive they can be to employees and customers alike, fueling future growth.

Advertisements

5 Things Every Executive Needs To Know About Identity And Access Management

  • For new digital business models to succeed, customers’ privacy preferences need to be secure, and that begins by treating every identity as a new security perimeter.
  • Organizations need to recognize that perimeter-based security, which focuses on securing endpoints, firewalls, and networks, provides no protection against identity and credential-based threats. Until they start implementing identity-centric security measures, account compromise attacks will continue to provide a perfect camouflage for data breaches.
  • 74% of data breaches start with privileged credential abuse that could have been averted if the organizations had adopted a Privileged Access Management (PAM) strategy, according to a recent Centrify survey.
  • Just 48% of organizations have a password vault, and only 21% have multi-factor authentication (MFA) implemented for privileged administrative access.

New digital business models are redefining organizations’ growth trajectories and enabling startups to thrive, all driven by customer trust. Gaining and strengthening customer trust starts with a security strategy that can scale quickly to secure every identity and threat surface a new business model creates. Centrify’s recent survey, Privileged Access Management in the Modern Threatscape, found 74% of data breaches begin with privileged credential abuse. The survey also found that the most important areas of IT infrastructure that new digital business models rely on to succeed — including Big Data repositories, cloud platform access, containers, and DevOps — are among the most vulnerable. The most urgent challenges executives are facing include protecting their business, securing customer data, and finding new ways to add value to their business’ operations.

Why Executives Need to Know About Identity and Access Management Now  

Executives have a strong sense of urgency to improve Identity and Access Management (IAM) today to assure the right individuals access the right resources at the right times and for the right reasons. IAM components like Access Management, Single Sign-On, Customer Identity and Access Management (CIAM), Advanced Authentication, Identity Governance and Administration (IGA), IoT-Driven IAM, and Privileged Access Management address the need to ensure appropriate access to resources across an organization’s entire attack surface and to meet compliance requirements. Considering that privileged access abuse is the leading cause of today’s breaches, they’re especially prioritizing Privileged Account Management as part of their broader cybersecurity strategies to secure the “keys to their kingdom.” Gartner supports this view by placing a high priority on Privileged Account Management, including it in its Gartner Top 10 Security Projects for 2018, and again in 2019.

During a recent conversation with insurance and financial services executives, I learned why Privileged Access Management is such an urgent, high priority today. Privileged access abuse is the leading attack vector, where they see the majority of breach attempts to access the company’s most sensitive systems and data. It’s also where they can improve customer data security while also making employees more productive by giving them access systems and platforms faster. All of them know instances of hackers and state-sponsored hacking groups offering bitcoin payments in exchange for administrative-level logins and passwords to their financial systems.

Several of the executives I spoke with are also evaluating Zero Trust as the foundation for their cybersecurity strategy. As their new digital business models grow, all of them are focused on discarding the outdated, “trust, but verify” mindset and replacing it with Zero Trust, which mandates a “never trust, always verify” approach. They’re also using a least privilege access approach to minimize each attack surface and improve audit and compliance visibility while reducing risk, complexity, and costs.

The following are the five things every executive needs to know about Identity and Access Management to address a reality that every company and consumer must recognize exists today: attackers no longer “hack” in, they log in.

  1. Designing in the ability to manage access rights and all digital identities of privileged users require Privileged Access Management (PAM) and Identity Governance and Administration (IGA) systems be integrated as part of an IAM strategy. For digital business initiatives’ security strategies to scale, they need to support access requests, entitlement management, and user credential attestation for governance purposes. With identities being the new security perimeter, provisioning least privileged access to suppliers, distributors, and service organizations is also a must-have to scale any new business model. Natively, IGA is dealing only with end users – not privileged users. Therefore integration with PAM systems is required to bring in privileged user data and gain a holistic view of access entitlements.
  2. IAM is a proven approach to securing valuable Intellectual Property (IP), patents, and attaining regulatory compliance, including GDPR. The fascinating digital businesses emerging today also function as patent and IP foundries. A byproduct of their operations is an entirely new business, product and process ideas. Executives spoken with are prioritizing how they secure intellectual property and patents using an Identity and Access Management strategy.
  3. Knowing with confidence the identity of every user is what makes every aspect of an IAM strategy work. Having Multi-Factor Authentication (MFA) enabled for every access session, and threat surface is one of the main processes that make an IAM strategy succeed. It’s a best practice to reinforce Zero Trust principles through multi-factor authentication enforcement on each computer that cannot be circumvented (or bypassed) by malware.
  4. Designing in transaction verification now for future e-commerce digital business models is worth it. Think of your IAM initiative as a platform to create ongoing customer trust with. As all digital business initiatives rely on multi-channel selling, designing in transaction verification as part of an IAM strategy is essential. Organizations are combining verification and MFA to thwart breaches and the abuse of credential access abuse.
  5. In defining any IAM strategy focus on how Privileged Access Management (PAM) needs to be tailored to your specific business needs. PAM is the foundational element that turns the investments made in security into business value. It’s a catalyst for ensuring customer trust turns into revenue. Many organizations equate PAM with a password vault. But in a modern threatscape where humans, machines, applications, and services dynamically require access to a broadening range of attack surfaces such as cloud, IoT, Big Data, and containers, that outdated legacy approach won’t effectively secure the leading attack vector: privileged access abuse. Vendors such as Centrify and others are looking beyond the vault and offering Zero Trust solutions for PAM that address these modern access requestors and attack surfaces.

Conclusion

Insurance and financial services executives realize, and even predict, that there’s going to be an increase in the number and intensity of efforts to break into their systems using compromised credentials. Prioritizing Privileged Access Management as part of the IAM toolkit is proving to be an effective cybersecurity strategy for protecting their businesses and customers’ data while also making a valuable contribution to its growth. The bottom line is that Identity and Access Management is the cornerstone of any effective Zero Trust-based strategy, and taking an aggressive, pre-emptive approach to Privileged Access Management is the new normal for organizations’ cybersecurity strategies.

5 Ways To Demystify Zero Trust Security

Bottom Line: Instead of only relying on security vendors’ claims about Zero Trust, benchmark them on a series of five critical success factors instead, with customer results being key.

Analytics, Zero Trust Dominated RSA

Analytics dashboards dominated RSA from a visual standpoint, while Zero Trust Security reigned from an enterprise strategy one. Over 60 vendors claimed to have Zero Trust Security solutions at RSA, with each one defining the concept in a slightly different way.

RSA has evolved into one of the highest energy enterprise-focused conferences today, and in 2019 Zero Trust was center stage in dozens of vendor booths. John Kindervag created the Zero Trust Security framework while at Forrester in 2010. Chase Cunningham, who is a Principal Analyst at Forrester today, is a leading authority on Zero Trust and frequently speaks and writes on the topic. Be sure to follow his blog to stay up to date with his latest research. His most recent post, OK, Zero Trust Is An RSA Buzzword — So What?, captures the current situation on Zero Trust perfectly. Becca Chambers’ blog post, Talking All Things Zero Trust at RSA Conference 2019, includes an insightful video of how the conferences’ attendees define Zero Trust.

With so many vendors claiming to offer Zero Trust solutions, how can you tell which ones have enterprise-ready, scalable solutions?  The following are five ways to demystify Zero Trust:

  1. Customer references are willing to talk and case studies available. With the ambitious goal of visiting every one of the 60 vendors who claimed to have a Zero Trust solution at RSA, I quickly realized that there’s a dearth of customer references. To Chase Cunningham’s point, more customer use cases need to be created, and thankfully that’s on his research agenda. Starting the conversation with each vendor visited by asking for their definition of Zero Trust either led to a debate of whether Zero Trust was needed in the industry or how their existing architecture could morph to fit the framework. Booth staffs at the following companies deserve to be commended for how much they know about their customers’ success with Zero Trust: AkamaiCentrifyCiscoMicrosoftMobileIronPalo Alto NetworksSymantec, and Trend Micro. The team at Ledios Cyberwho was recently acquired by Capgemini, was demonstrating how Zero Trust applied to Industrial Control Systems and shared a wealth of customer insights as well.
  2. Defines success by their customers’ growth, stability and earned trust instead of relying on fear. A key part of de-mystifying Zero Trust is seeing how effective vendors are at becoming partners on the journey their customers are on. While in the Centrify booth I learned of how Interval International has been able to implement a least privilege model for employees, contractors, and consultants, streamline user onboarding, and enable the company to continue its rapid organic growth. At MobileIron, I learned how NASDAQ is scaling mobile applications including CRM to their global sales force on a Zero Trust platform. The most customer-centric Zero Trust vendors tend to differentiate on earned trust over selling fear.
  3. Avoid vendors who have a love-hate relationship with Zero Trust. Zero Trust is having an energizing effect on the security landscape as it provides vendors with a strategic framework they can differentiate themselves in. Security vendors are capitalizing on the market value right now, with product management and engineering teams working overtime to get new applications and platforms ready for market. I found a few vendors who have a love-hate relationship with Zero Trust. They love the marketing mileage or buzz, yet aren’t nearly as enthusiastic about changing product and service strategies. If you’re looking for Zero Trust solutions, be sure to watch for this and find a vendor who is fully committed.
  4. Current product strategies and roadmaps reflect a complete commitment to Zero Trust. Product demos at RSA ranged from supporting the fundamentals of Zero Trust to emulating its concepts on legacy architectures. One of the key attributes to look for is how perimeterless a given security application is that claims to support Zero Trust. How well can a given application protect mobile devices? An IoT device? How can a given application or security platform scale to protect privileged credentials? These are all questions to ask of any vendor who claims to have a Zero Trust solution. Every one of them will have analytics options; the question is whether they fit with your given business scenario. Finally, ask to see how Zero Trust can be automated across all user accounts and how privileged access management can be scaled using Identity Access Management systems including password vaults and Multi-Factor Authentication (MFA).
  5. A solid API strategy for scaling their applications and platforms with partner successes that prove it. One of the best questions to gauge the depth of commitment any vendor has to Zero Trust is to ask about their API strategy. It’s interesting to hear how vendors with Zero Trust-based product and services strategies are scaling inside their largest customers using APIs. Another aspect of this is to see how many of their services, system integration, technology partners are using their APIs to create customized solutions for customers. Success with an API strategy is a leading indicator of how reliably any Zero Trust vendor will be able to scale in the future.

Conclusion

RSA is in many ways a microcosm of the enterprise security market in general and Zero Trust specifically. The millions of dollars in venture capital invested in security analytics and Zero Trust made it possible for vendors to create exceptional in-booth experiences and demonstrations – much the same way venture investment is fueling many of their roadmaps and sales teams. Zero Trust vendors will need to provide application roadmaps that show their ability to move beyond prevention of breaches to more prediction, at the same time supporting customers’ needs to secure infrastructure, credentials, and systems to ensure uninterrupted growth.

74% Of Data Breaches Start With Privileged Credential Abuse

Centrify’s survey shows organizations are granting too much trust and privilege, opening themselves up to potential internal and externally-driven breaches initiated with compromised privileged access credentials. Photo credit: iStock

Enterprises who are prioritizing privileged credential security are creating a formidable competitive advantage over their peers, ensuring operations won’t be interrupted by a breach. However, there’s a widening gap between those businesses protected from a breach and the many who aren’t. In quantifying this gap consider the typical U.S.-based enterprise will lose on average $7.91M from a breach, nearly double the global average of $3.68M according to IBM’s 2018 Data Breach Study.

Further insights into how wide this gap is are revealed in Centrify’s Privileged Access Management in the Modern Threatscape survey results published today. The study is noteworthy as it illustrates how wide the gap is between enterprises’ ability to avert and thwart breaches versus their current levels of Privileged Access Management (PAM) and privileged credential security. 74% of IT decision makers surveyed whose organizations have been breached in the past, say it involved privileged access credential abuse, yet just 48% have a password vault, just 21% have multi-factor authentication (MFA) implemented for privileged administrative access, and 65% are sharing root or privileged access to systems and data at least somewhat often.

Addressing these three areas with a Zero Trust approach to PAM would make an immediate difference in security.

“What’s alarming is that the survey reveals many organizations, armed with the knowledge that they have been breached before, are doing too little to secure privileged access. IT teams need to be taking their Privileged Access Management much more seriously, and prioritizing basic PAM strategies like vaults and MFA while reducing shared passwords,” remarked Tim Steinkopf, Centrify CEO. FINN Partners, on behalf of Centrify, surveyed 1,000 IT decision makers (500 in the U.S. and 500 in the U.K.) online in October 2018. Please see the study here for more on the methodology.

How You Choose To Secure Privileged Credentials Determines Your Future 

Identities are the new security perimeter. Threats can emerge within and outside any organization, at any time. Bad actors, or those who want to breach a system for financial gain or to harm a business, aren’t just outside. 18% of healthcare employees are willing to sell confidential data to unauthorized parties for as little as $500 to $1,000, and 24% of employees know of someone who has sold privileged credentials to outsiders, according to a recent Accenture survey.

Attackers are increasingly logging in using weak, stolen, or otherwise compromised credentials. Centrify’s survey underscores how the majority of organizations’ IT departments have room for improvement when it comes to protecting privileged access credentials, which are the ‘keys to the kingdom.’ Reading the survey makes one realize that forward-thinking enterprises who are prioritizing privileged credential security gain major cost and time advantages over their competitors. They’re able to keep their momentum going across every area of their business by not having to recover from breaches or incur millions of dollars on losses or fines as the result of a breach.

One of the most promising approaches to securing every privileged identity and threat space within and outside an organization is Zero Trust Privilege (ZTP). ZTP enables an organizations’ IT team to grant least privilege access based on verifying who is requesting access, the context of the request, and the risk of the access environment.

Key Lessons Learned from the Centrify Survey

How wide the gap is between organizations who see identities as the new security perimeter and are adopting a Zero Trust approach to securing them and those that aren’t is reflected in the results of Centrify’s Privileged Access Management in the Modern Threatscape surveyThe following are the key lessons learned of where and how organizations can begin to close the security gaps they have that leave them vulnerable to privileged credential abuse and many other potential threats:

  • Organizations’ most technologically advanced areas that are essential for future growth and attainment of strategic goals are often the most unprotected. Big Data, cloud, containers and network devices are the most important areas of any IT infrastructure. According to Centrify’s survey, they are the most unprotected as well. 72% of organizations aren’t securing containers with privileged access controls. 68% are not securing network devices like hubs, switches, and routers with privileged access controls. 58% are not securing Big Data projects with privileged access controls. 45% are not securing public and private cloud workloads with privileged access controls. The study finds that UK-based businesses lag U.S.-based ones in each of these areas as the graphic below shows:

  • Only 36% of U.K. organizations are very confident in their company’s current IT security software strategies, compared to 65% in the U.S. The gap between organizations with hardened security strategies that have a higher probability of withstanding breach attempts is wide between U.K. and U.S.-based businesses. 44% of U.K. respondents weren’t positive about what Privileged Access Management is, versus 26% of U.S. respondents. 60% of U.K. respondents don’t have a password vault.

  • Just 35% of U.S. organizations and 30% of those in the UK are relying on Privileged Access Management to manage partners’ access to privileged credentials and infrastructure. Partners are indispensable for scaling any new business strategy and expanding an existing one across new markets and countries. Forward-thinking organizations look at every partner associates’ identity as a new security perimeter. The 35% of U.S.-based organizations doing this have an immediate competitive advantage over the 65% who aren’t. By enforcing PAM across their alliances and partnerships, organizations can achieve uninterrupted growth by eliminating expensive and time-consuming breaches that many businesses never fully recover from.
  • Organizations’ top five security projects for 2019 include protecting cloud data, preventing data leakage, analyzing security incidents, improving security education/awareness and encrypting data. These top five security projects could be achieved at scale by having IT teams implement a Zero Trust-based approach to Privileged Access Management (PAM). The time, cost and scale advantages of getting the top five security projects done using Zero Trust would free up IT teams to focus on projects that deliver direct revenue gains for example.

Conclusion

Centrify’s survey shows organizations are granting too much trust and privilege, opening themselves up to potential internal and externally-driven breaches initiated with compromised privileged access credentials. It also reveals that there is a strong desire to adhere to best practices when it comes to PAM (51% of respondents) and that the reason it is not being adequately implemented rarely has to do with prioritization or difficulty but rather budget constraints and executive buy-in.

The survey also shows U.K. – and U.S.-based organizations need to realize identity is the new security perimeter. For example, only 37% of respondents’ organizations are able to turn off privileged access for an employee who leaves the company within one day, leaving a wide-open exposure point that can continue to be exploited.

There are forward-thinking organizations who are relying on Zero Trust Privilege as a core part of their digital transformation efforts as well. The survey found that given a choice, respondents are most likely to say digital transformation (40%) is one of the top 3 projects they’d prefer to work on, followed by Endpoint Security (37%) and Privileged Access Management (28%). Many enterprises see digital transformation’s missing link being Zero Trust and the foundation for redefining their businesses by defining every identity as a new security perimeter, so they can securely scale and grow faster than before.

What IoT Leaders Do To Drive Greater Results

  • IoT Leaders are achieving cost and revenue gains of at least 15% or more, while laggards see less than 5%.
  • Pursuing 80% more IoT use cases compared to their peers, IoT Leaders are progressing faster down the learning curve of monetizing their application areas.
  • IoT Leaders anticipate that their IoT use cases will boost their gross profits by 13% over the next three years, three times as much as IoT laggards.

What IoT leaders do to excel and drive greater results compared to their peers is explored in the recent McKinsey report, What separates leaders from laggards in the Internet of Things. The study is based on interviews with 300 IoT executive-level practitioners from companies with more than $500M revenues which are implementing large-scale IoT strategies with projects that have progressed from pilot to production. Enterprises from 11 major industry segments from Canada, China, Germany, and the United States were included in the survey.

McKinsey found 16% of enterprises have IoT programs in production, delivering aggregate cost and revenue impacts of at least 15%. The study also found 16% of enterprises are lagging, attaining aggregate revenue and cost improvements of less than 5%. The following graphic compares companies by the level of financial impact from IoT initiatives:

Nine practices differentiate IoT Leaders from laggards, and the study provides a fascinating look into each based on the survey data. Key insights into IoT Leader’s practice areas is provided here:

  • Leaders are more aggressive about pursuing a greater number, scope, and variety of IoT applications and use cases than their less successful peers. What IoT Leaders learn quickly is how steep the IoT learning curve is, and how it’s essential to run as many IoT pilots as possible to learn more. Leaders discover the first 15 or so IoT use cases typically have a modest payback, with the average payback rising until approximately 30 use cases have been achieved. IoT Leaders anticipate that their IoT use cases will boost their gross profits by 13% over the next three years, three times as much as IoT laggards. The following graphic illustrates the financial impact per IoT use case by the cumulative number of IoT use cases enterprises initiate.

  • Leaders are more willing than their peers to change business processes to unlock IoT’s value. McKinsey found IoT Leaders are three times more likely than their peers to say that managing changes to business processes is one of the three most important capabilities for implementing IoT. CEOs who champion their company’s IoT initiatives make strong contributions in this area, removing barriers and roadblocks quickly to keep IoT programs moving forward.
  • Leaders design, pilot and move to production IoT use cases that rely on advanced endpoints far more than their peers. McKinsey finds that IoT Leaders are more visionary and aggressive than peers in developing applications with advanced endpoints.  Leaders are gaining expertise and mastery of how to creatively use advanced endpoints today, reporting higher levels of satisfaction and positive results.

  • Leaders clearly define how IoT will create value and excel in building effective business cases. McKinsey found that IoT Leaders are 75% more likely than their peers to cite the preparation of a strong business case as a critical success factor for their IoT programs. The study’s respondents who have an IoT vision that includes a strong value proposition, a proven delivery model, and a business model that drives revenue are getting results faster than their peers. 35% of Leaders rate the importance of “strong business case and vision for value creation” as one of the top three success factors versus 20% of laggards. Leaders leave nothing to chance when it comes to defining how IoT will deliver business value either in the form of greater revenue or reduced costs.

  • A CEO’s involvement and support are essential for any enterprise to succeed with  IoT. Based on personal experience with IoT pilots, C-level executives are indispensable in removing barriers and making process-level changes necessary for success. 72% of the surveyed executives agree. A vital catalyst of any enterprise succeeding with IoT is a clear, unequivocal time commitment on the part of the CEO. Enterprises in the Leaders quintile were 2.4 more likely than laggards to report that their CEO serves as the champion of IoT efforts as the following graphic illustrates:

  • Leaders credit strong alignment with IoT strategies and priorities enterprise-wide as a critical factor in their success. IoT initiatives and pilots on their way to production require executives, managers, and frontline workers to learn fresh skills and collaborate across business and functional boundaries in new ways. Enterprises need to have a strong unifying vision of where they’re going with IoT, with the CEO championing the change management required to make sure they succeed.
  • Leaders begin by adding IoT capability to existing products and services first. McKinsey found that Leaders are three times more likely than their peers to make their top priority adding IoT capabilities to existing products. They focus on how to turn the current scale they’ve achieved with suppliers, selling and service networks into a formidable competitive advantage. They’re also more adept at cross-selling and up-selling IoT-enabled products by capitalizing on current customer relationships. The following graphic compares enterprises’ single highest-priority IoT effort:

  • Leaders excel at tapping into, scaling and relying on an ecosystem of partners for innovation versus doing it all themselves. McKinsey finds that IoT Leaders excel at scaling their partner ecosystems faster and more strategically than their peers. IoT Leaders also rely more on partners for the latest technology innovations instead of attempting to create them entirely on their own. They’re also deliberately choosing IoT platforms that support third-party developers and the advanced endpoints as the graphic below shows:

  • Leaders prepare for cyber attacks, so they don’t slow things down. McKinsey found that 30% of enterprises from both IoT Leaders and their peers say that they’ve experienced cyber attacks that have resulted in high to severe damage. 57% of Leaders had been the target of cyber attacks compared to 44% of their peers. The higher number of cyber attacks happening for Leaders is due to the broader threat surface their many pilots, and production-level use cases create. The more distributed and varied IoT use cases are the greater the risk of privileged credential abuse as well. Thwarting privileged credential abuse needs to start with a least privilege access approach, minimizing each attack surface, improving audit and compliance visibility while reducing risk, complexity, and costs. Leaders in Zero Trust include CentrifyMobileIronPalo Alto Networks, and others.

Predicting The Future Of Next-Gen Access And Zero Trust Security In 2019

Bottom Line:  The most valuable catalyst all digital businesses need to continue growing in 2019 is a Zero Trust Security (ZTS) strategy based on Next-Gen Access (NGA) that scales to protect every access point to corporate data, recognizing that identities are the new security perimeter.

The faster any digital business is growing, the more identities, devices and network endpoints proliferate. The most successful businesses of 2019 and beyond are actively creating entirely new digital business models today. They’re actively recruiting, and onboarding needed experts independent of their geographic locations and exploring new sourcing and patent ideas with R&D partners globally. Businesses are digitally transforming themselves at a faster rate than ever before. Statista projects businesses will spend $190B on digital transformation in 2019, soaring to $490B by 2025, attaining a 14.4% Compound Annual Growth Rate (CAGR) in six years.

Security Perimeters Make Or Break A Growing Business

80% of IT security breaches involve privileged credential access according to a recent Forrester study. The Verizon Mobile Security Index 2018 Report found that 89% of organizations are relying on just a single security strategy to keep their mobile networks safe. A typical data breach cost the average company $3.86M in 2018, up 6.4% from $3.62M in 2017 according to IBM Security’s latest  2018 Cost of a Data Breach Study.

The hard reality for any digital business is realizing that their greatest growth asset is how well they protect the constantly expanding perimeter of their business. Legacy approaches to securing infrastructure that relies on trusted and untrusted domains can’t scale to protect every identity and device that comprises a company’s rapidly changing new security perimeter. All these factors and more are why Zero Trust Security (ZTS) enabled by Next-Gen Access (NGA) is as essential to digital businesses’ growth as their product roadmaps, pricing strategies, and services with Idaptive being an early leader in the market. To learn more about Identity-as-a-Service please see the Forrester report, The Forrester Wave™: Identity-As-A-Service, Q4 2017 (client access required)

Predicting The Future Of Next-Gen Access And Zero Trust Security

The following are predictions of how Next-Gen Access (NGA) powered by Zero Trust Security (ZTS) will evolve in 2019:

  • Behavior-based scoring algorithms will improve markedly in 2019, improving the user experience by calculating risk scores with greater precision than before. Thwarting attacks start with a series of behavior-based algorithms that calculate a risk score based on a wide variety of variables including past access attempts, device security posture, operating system, location, time of day, and many other measurable factors. Expect to see these algorithms and the risk scores they generate using machine learning techniques improve from accuracy and contextual intelligence standpoint in 2019. Leading companies in the field including Idaptive are actively investing in machine learning technologies to accomplish this today.
  • Multifactor Authentication (MFA) adoption soars as digital businesses seek to protect new R&D projects, patents in progress, roadmaps, and product plans. State-sponsored hacking organizations and organized crime see the intellectual property in fast-growing digital businesses as among the most valuable assets they can exfiltrate and sell on the Dark Web. MFA, one of the most effective single defenses against compromised passwords, will be adopted by the most successful businesses in AI, aerospace & defense, chip design for cellular and IoT devices, e-commerce, enterprise software and more.
  • Smart, connected products without adequate security designed in will proliferate in 2019, further challenging the security perimeters of the digital businesses. The era of smart, connected products is here, with Capgemini estimating the size of the connected products market will be $519B to $685B by 2020. Manufacturers expect close to 50% of their products to be smart, connected products by 2020, according to Capgemini’s Digital Engineering: The new growth engine for discrete manufacturers. The study is downloadable here (PDF, 40 pp., no opt-in). With every smart, connected device creating a new threat surface for a company, expect to see at least one device manufacturer design Zero Trust Security (ZTS) support to the board level to increase their sales into enterprises by reducing the threat of a breach starting from their device.
  • Looking for greater track and traceability, healthcare and medical products supply chains will adopt Zero Trust Security (ZTS). What’s going to make this an urgent issue in healthcare and medical products are the combined effects of greater regulatory reporting and compliance, combined with the pressure to improve time-to-market for new products and delivery accuracy for current customers. The pillars of ZTS are a perfect fit for healthcare and medical supply chains’ need for track and traceability. These pillars are real-time user verification, device validation, and intelligently limiting access, while also learning and adapting to verified user behaviors.
  • Real-time Security Analytics Services is going to thrive in 2019 as digital businesses seek insights into how they can fine-tune their ZTS strategies across every threat surface and machine learning algorithms improve. Many enterprises are in for an epiphany in 2019 when they see just how many potential breaches they’ve stopped using a combination of security strategies including Single Sign-On (SSO) and Multi-factor Authentication (MFA). Machine learning algorithms will continue to improve using behavior-based scoring, further improving the user experience. Leaders in the field include Idaptive who is setting a rapid pace of innovation in Real-Time Security Analytics Services.   

Conclusion

Security is at an inflection point today. Long-standing methods of protecting IT systems and a businesses’ assets can’t scale to protect every new identity, device or threat surface. When every identity is a new security perimeter, a new approach is needed to securing any digital business. The pillars of ZTS including real-time user verification, device validation, and intelligently limiting access, while also learning and adapting to verified user behaviors are proving to be effective at thwarting breaches and securing company’ digital assets of all kinds. It’s time for more digital businesses to see security as the growth catalyst it is and take action now to ensure their operations continue to flourish.

6 Best Practices For Increasing Security In AWS In A Zero Trust World

  • Amazon Web Services (AWS) reported $6.6B in revenue for Q3, 2018 and $18.2B for the first three fiscal quarters of 2018.
  • AWS revenue achieved an impressive 46% year-over-year net sales growth between Q3, 2017 and Q3, 2018 and 49% year-over-year growth for the first three quarters of the year.
  • AWS’ 34% market share is bigger than its next four competitors combined with the majority of customers taken from small-to-medium sized cloud operators according to Synergy Research.
  • The many announcements made at AWS Re:Invent this year reflect a growing focus on hybrid cloud computing, security, and compliance.

Enterprises are rapidly accelerating the pace at which they’re moving workloads to Amazon Web Services (AWS) for greater cost, scale and speed advantages. And while AWS leads all others as the enterprise public cloud platform of choice, they and all Infrastructure-as-a-Service (IaaS) providers rely on a Shared Responsibility Model where customers are responsible for securing operating systems, platforms and data.  In the case of AWS, they take responsibility for the security of the cloud itself including the infrastructure, hardware, software, and facilities. The AWS version of the Shared Responsibility Model shown below illustrates how Amazon has defined securing the data itself, management of the platform, applications and how they’re accessed, and various configurations  as the customers’ responsibility:

Included in the list of items where the customer is responsible for security “in” the cloud is identity and access management, including Privileged Access Management (PAM) to secure the most critical infrastructure and data.

Increasing Security for IaaS in a Zero Trust World

Stolen privileged access credentials are the leading cause of breaches today. Forrester found that 80% of data breaches are initiated using privileged credentials, and 66% of organizations still rely on manual methods to manage privileged accounts. And while they are the leading cause of breaches, they’re often overlooked — not only to protect the traditional enterprise infrastructure — but especially when transitioning to the cloud.

Both for on-premise and Infrastructure-as-a-Service (IaaS), it’s not enough to rely on password vaults alone anymore. Organizations need to augment their legacy Privileged Access Management strategies to include brokering of identities, multi-factor authentication enforcement and “just enough, just-in-time” privilege, all while securing remote access and monitoring of all privileged sessions. They also need to verify who is requesting access, the context of the request, and the risk of the access environment. These are all essential elements of a Zero Trust Privilege strategy, with Centrify being an early leader in this space.

6 Ways To Increase Security in AWS

The following are six best practices for increasing security in AWS and are based on the Zero Trust Privilege model:

  1. Vault AWS Root Accounts and Federate Access for AWS Console

Given how powerful the AWS root user account is, it’s highly recommended that the password for the AWS root account be vaulted and only used in emergencies. Instead of local AWS IAM accounts and access keys, use centralized identities (e.g., Active Directory) and enable federated login. By doing so, you obviate the need for long-lived access keys.

  1. Apply a Common Security Model and Consolidate Identities

When it comes to IaaS adoption, one of the inhibitors for organizations is the myth that the IaaS requires a unique security model, as it resides outside the traditional network perimeter. However, conventional security and compliance concepts still apply in the cloud. Why would you need to treat an IaaS environment any different than your own data center? Roles and responsibilities are still the same for your privileged users. Thus, leverage what you’ve already got for a common security infrastructure spanning on-premises and cloud resources. For example, extend your Active Directory into the cloud to control AWS role assignment and grant the right amount of privilege.

  1. Ensure Accountability

Shared privileged accounts (e.g., AWS EC2 administrator) are anonymous. Ensure 100% accountability by having users log in with their individual accounts and elevate privilege as required. Manage entitlements centrally from Active Directory, mapping roles, and groups to AWS roles.

  1. Enforce Least Privilege Access

Grant users just enough privilege to complete the task at hand in the AWS Management Console, AWS services, and on the AWS instances. Implement cross-platform privilege management for AWS Management Console, Windows and Linux instances.

  1. Audit Everything

Log and monitor both authorized and unauthorized user sessions to AWS instances. Associate all activity to an individual, and report on both privileged activity and access rights. It’s also a good idea to use AWS CloudTrail and Amazon CloudWatch to monitor all API activity across all AWS instances and your AWS account.

  1. Apply Multi-Factor Authentication Everywhere

Thwart in-progress attacks and get higher levels of user assurance. Consistently implement multi-factor authentication (MFA) for AWS service management, on login and privilege elevation for AWS instances, or when checking out vaulted passwords.

Conclusion

One of the most common reasons AWS deployments are being breached is a result of privileged access credentials being compromised. The six best practices mentioned in this post are just the beginning; there are many more strategies for increasing the security in AWS.  Leveraging a solid Zero Trust Privilege platform, organizations can eliminate shared Amazon EC2 key pairs, using auditing to define accountability to the individual user account level, execute on least privilege access across every login, AWS console, and AWS instance in use, enforce MFA and enable a common security model.

How To Protect Healthcare Records In A Zero Trust World

  • There’s been a staggering 298.4% growth in the reported number of patient records breached as a result of insider-wrongdoing this year alone according to Protenus.
  • The total disclosed number of breached patient records has soared from 1.1M in Q1 2018 to 4.4M in Q3 2018 alone, 680K of which were breached by insiders.
  • There were 117 disclosed health breaches in the last 90 days alone.
  • On average it’s taking 402 days to discover a healthcare provider has been breached.

Diagnosing Healthcare’s Breach Epidemic

Using access credentials stolen from co-workers or stolen laptops, unethical healthcare insiders are among the most prolific at stealing and selling patient data of any insider threat across any industry. Accenture’s study, “Losing the Cyber Culture War in Healthcare: Accenture 2018 Healthcare Workforce Survey on Cybersecurity,” found that the most common ways healthcare employees financially gain from stealing medical records is to commit tax return and credit card fraud.

Treating healthcare’s breach epidemic needs to start by viewing every threat surface, access point, identity, and login attempt as the new security perimeter. Healthcare providers urgently need to take a “never trust, always verify” approach, adopting  Zero Trust Security to protect every threat surface using Next-Gen Access for end-user credentials and Privileged Access Management (PAM) for privileged credentials. One of the leaders in Next-Gen Access is Idaptive, a newly created spin-off of Centrify. Centrify itself is offering Zero Trust Privilege Services helping over half of the Fortune 100 to eliminate privileged access abuse, the leading cause of breaches today. Centrify Zero Trust Privilege grants least privilege access based on verifying who is requesting access, the context of the request, and the risk of the access environment.

18% of healthcare employees are willing to sell confidential data to unauthorized parties for as little as $500 to $1,000, according to a recent Accenture study. 24% of employees know of someone who has sold access to patient data to outsiders. 58% of all healthcare breaches are initiated by insiders. Confidential patient diagnosis, treatment, payment histories, and medical records are the most valuable on the Dark Web, selling for as much as $1,000 per record according to Experian.

Key insights from Protenus’ Breach Barometer illustrate how healthcare’s breach epidemic is growing exponentially:

  • There’s been a staggering 298.4% growth in the number of patient records breached as a result of insider-wrongdoing this year alone. In Q1 of this year, there were 4,597 patient records exfiltrated by insider wrong-doing, jumping to 70,562 in Q2 and soaring to 290,689 in Q3. Healthcare insiders can easily thwart healthcare systems’ legacy security approaches today by using compromised access credentials. Zero Trust Security, either in the form of Next-Gen Access for end-user credentials or Zero Trust Privilege for privileged access credentials has the potential to stop this

  • The total number of breached patient records has soared from 1.1M in Q1 of this year to 4.4M in Q3, a 58.7% jump in less than a year. Protenus found a total of 117 incidents were disclosed to U.S. Department of Health and Human Services (HHS) or the media in Q3 2018 alone. Details were disclosed for 100 of these incidents, affecting 4,390,512 patient records, the highest level ever recorded. Jumping from 1.1M medical records in Q1 to 4.4M in Q3, healthcare providers could easily see over 6.5M records breached in Q4 2018 alone.

  • Hackers targeted healthcare systems aggressively in Q3 of this year, exfiltrating 3.6M patient records in just 90 days. Compromised access credentials are hackers’ favorite technique for exfiltrating massive quantities of medical records they resell on the Dark Web or use to commit tax and credit card fraud. Healthcare providers need to minimize their attack surfaces, improve audit and compliance visibility, reduce risk, complexity, and costs across their modern, hybrid enterprises with Zero Trust. Healthcare providers need to shut down hackers now, taking away the opportunities they’re capitalizing on to exfiltrate medical records almost at will.
  • It takes 71 days on average for healthcare providers to realize their data is breached with one breach lasting over 15 years. Protenus found a wide variation in the length of time it takes healthcare providers to realize they’ve been breached and one didn’t know until 15 years after the initial successful breach. All breaches tracked by Protenus found that the insiders and/or hackers were successful in gaining access to a wealth of patient information including addresses, dates of birth, medical record numbers, healthcare providers, visit date, health insurance information, financial histories, and payment information.

Conclusion

Zero Trust is the antidote healthcare needs to treat its raging breach epidemic.  It’s exponentially growing as insiders’ intent on wrongdoing turn to exfiltrating patients’ data for personal gain. Hackers also find healthcare providers’ legacy systems among the easiest to access using stolen access credentials, exfiltrating millions of records in months. With every new employee and device being a new security perimeter on their networks, the time is now for healthcare providers to discard the old model of “trust but verify” which relied on well-defined boundaries. Zero Trust mandates a “never trust, always verify” approach to access, from inside or outside healthcare providers’ networks.

High-Tech’s Greatest Challenge Will Be Securing Supply Chains In 2019

Bottom Line: High-tech manufacturers need to urgently solve the paradox of improving supply chain security while attaining greater visibility across supplier networks if they’re going make the most of smart, connected products’ many growth opportunities in 2019.

The era of smart, connected products is revolutionizing every aspect of manufacturing today, from suppliers to distribution networks. Capgemini estimates that the size of the connected products market will be $519B to $685B by 2020. Manufacturers expect close to 50 percent of their products to be smart, connected products by 2020, according to Capgemini’s Digital Engineering: The new growth engine for discrete manufacturers. The study is downloadable here (PDF, 40 pp., no opt-in).

Smart, connected products free manufacturers and their supply chains from having to rely on transactions and the price wars they create. The smarter the product, the greater the services revenue opportunities. And the more connected a smart product is using IoT and Wi-Fi sensors the more security has to be designed into every potential supplier evaluation, onboarding, quality plan, and ongoing suppliers’ audits. High-tech manufacturers are undertaking all of these strategies today, fueling them with real-time monitoring using barcoding, RFID and IoT sensors to improve visibility across their supply chains.

Gaining even greater visibility into their supply chains using cloud-based track-and-trace systems capable of reporting back the condition of components in transit to the lot and serialized pack level, high-tech suppliers are setting the gold standard for supply chain transparency and visibility. High-tech supply chains dominate many other industries’ supplier networks on accuracy, speed, and scale metrics on a consistent basis, yet the industry is behind on securing its vast supplier network. Every supplier identity and endpoint is a new security perimeter and taking a Zero Trust approach to securing them is the future of complex supply chains. With Zero Trust Privilege, high-tech manufacturers can secure privileged access to infrastructure, DevOps, cloud, containers, Big Data, production, logistics and shipping facilities, systems and teams.

High-Tech Needs to Confront Its Supply Chain Security Problem, Not Dismiss It

It’s ironic that high-tech supply chains are making rapid advances in accuracy and visibility yet still aren’t vetting suppliers thoroughly enough to stop counterfeiting, or worse. Bloomberg’s controversial recent article,The Big Hack: How China Used a Tiny Chip to Infiltrate U.S. Companies, explains how Amazon Web Services (AWS) was considering buying Portland, Oregon-based Elemental Technologies for its video streaming technology, known today as Amazon Prime Video. As part of the due diligence, AWS hired a third-party company to scrutinize Elemental’s security all the way up to the board level. The Elemental servers that handle the video compression were assembled by Super Micro Computer Inc., a San Jose-based company in China. Nested on the servers’ motherboards, the testers found a tiny microchip, not much bigger than a grain of rice, that wasn’t part of the boards’ original design that could create a stealth doorway into any network the machines were attached to. Apple (who is also an important Super Micro customer) and AWS deny this ever happened, yet 17 people have confirmed Supermicro had altered hardware, corroborating Bloomberg’s findings.

The hard reality is that the scenario Bloomberg writes about could happen to any high-tech manufacturer today. When it comes to security and 3rd party vendor risk management, many high-tech supply chains are stuck in the 90s while foreign governments, their militaries and the terrorist organizations they support are attempting to design in the ability to breach any network at will. How bad is it?  81% of senior executives involved in overseeing their companies’ global supply chains say 3rd party vendor management including recruiting suppliers is riskiest in China, India, Africa, Russia, and South America according to a recent survey by Baker & McKenzie.

PriceWaterhouseCoopers (PwC) and the MIT Forum for Supply Chain Innovation collaborated on a study of 209 companies’ supply chain operations and approaches to 3rd party vendor risk management. The study, PwC and the MIT Forum for Supply Chain Innovation: Making the right risk decisions to strengthen operations performance, quantifies the quick-changing nature of supply chains. 94% say there are changes in the extended supply chain network configuration happening frequently. Relying on trusted and untrusted domain controllers from server operating systems that are decades old can’t keep up with the mercurial pace of supply chains today.

Getting in Control of Security Risks in High-Tech Supply Chains

It’s time for high-tech supply chains to go with a least privilege-based approach to verifying who or what is requesting access to any confidential data across the supply chains. Further, high-tech manufacturers need to extend access request verification to include the context of the request and the risk of the access environment. Today it’s rare to find any high-tech manufacturer going to this level of least-privilege access approach, yet it’s the most viable approach to securing the most critical parts of their supply chains.

By taking a least-privilege access approach, high-tech manufacturers and their suppliers can minimize attack surfaces, improve audit and compliance visibility, and reduce risk, complexity, and operating costs across their hybrid manufacturing ecosystem.

Key actions that high-tech manufacturers can take to secure their supply chain and ensure they don’t end up in an investigative story of hacked supply chains include the following:

  • Taking a Zero Trust approach to securing every endpoint provides high-tech manufacturers with the scale they need to grow. High-tech supply chains are mercurial and fast-moving by nature, guaranteeing they will quickly scale faster than any legacy approaches enterprise security management. Vetting and then onboarding new suppliers needs to start by protecting every endpoint to the production and sourcing level, especially for next-generation smart, connected products.
  • Smart, connected products and the product-as-a-service business models they create are all based on real-time, rich, secured data streams that aren’t being eavesdropped on with components no one knows about. Taking a Zero Trust Privilege-based approach to securing access to diverse supply chains is needed if high-tech manufacturers are going to extend beyond legacy Privileged Access Management (PAM) to secure data being generated from real-time monitoring and data feeds from their smart, connected products today and in the future.
  • Quality management, compliance, and quality audits are all areas high-tech manufacturers excel in today and provide a great foundation to scale to Zero Trust Privilege. High-tech manufacturers have the most advanced quality management, inbound inspection and supplier quality audit techniques in the world. It’s time for the industry to step up on the security side too. By only granting least-privilege access based on verifying who is requesting access, the context of the request, and the risk of the access environment, high-tech manufacturers can make rapid strides to improve supply chain security.
  • Rethink the new product development cycles for smart, connected products and the sensors they rely on, so they’re protected as threat surfaces when built. Designing in security to the new product development process level and further advancing security scrutiny to the schematic and board design level is a must-do. In an era of where we have to assume bad actors are everywhere, every producer of high-tech products needs to realize their designs, product plans, and roadmaps are at risk. Ensuring the IOT and Wi-Fi sensors in smart, connected products aren’t designed to be hackable starts with a Zero Trust approach to defining security for supplier, design, and development networks.

Conclusion

The era of smart, connected products is here, and supply chains are already reverberating with the increased emphasis on components that are easily integrated and have high-speed connectivity. Manufacturing CEOs say it’s exactly what their companies need to grow beyond transaction revenue and the price wars they create. While high-tech manufacturers excel at accuracy, speed, and scale, they are falling short on security. It’s time for the industry to re-evaluate how Zero Trust can stabilize and secure every identity and threat surface across their supply chains with the same precision and intensity quality is today.

86% Of Enterprises Increasing IoT Spending In 2019

  • Enterprises increased their investments in IoT by 4% in 2018 over 2017, spending an average of $4.6M this year.
  • 38% of enterprises have company-wide IoT deployments in production today.
  • 84% of enterprises expect to complete their IoT implementations within two years.
  • 82% of enterprises share information from their IoT solutions with employees more than once a day; 67% are sharing data in real-time or near real-time.

These and many other fascinating insights are from Zebra Technologies’ second annual Intelligent Enterprise Index (PDF, 25 pp., no opt-in). The index is based on the list of criteria created during the 2016 Strategic Innovation Symposium: The Intelligent Enterprise hosted by the Technology and Entrepreneurship Center at Harvard (TECH) in 2016. An Intelligent Enterprise is one that leverages ties between the physical and digital worlds to enhance visibility and mobilize actionable insights that create better customer experiences, drive operational efficiencies or enable new business models, “ according to Tom Bianculli, Vice President, Technology, Zebra Technologies.

The metrics comprising the index are designed to interpret where companies are on their journeys to becoming Intelligent Enterprises. The following are the 11 metrics that are combined to create the Index: IoT Vision, Business Engagement, Technology Solution Partner, Adoption Plan, Change Management Plan, Point of use Application, Security & Standards, Lifetime Plan, Architecture/Infrastructure, Data Plan and Intelligent Analysis. An online survey of 918 IT decision makers from global enterprises competing in healthcare, manufacturing, retail and transportation and logistics industries was completed in August 2018. IT decision makers from nine countries were interviewed, including the U.S., U.K./Great Britain, France, Germany, Mexico, Brazil, China, India, and Australia/New Zealand. Please see pages 24 and 25 for additional details regarding the methodology.

Key insights gained from the Intelligent Enterprise Index include the following:

  • 86% of enterprises expect to increase their spending on IoT in 2019 and beyond. Enterprises increased their investments in IoT by 4% in 2018 over 2017, spending an average of $4.6M this year. Nearly half of enterprises globally (49%) interviewed are aggressively pursuing IoT investments with the goal of digitally transforming their business models this decade. 38% of enterprises have company-wide IoT deployments today, and 55% have an IoT vision and are currently executing their IoT plans.

  • 49% of enterprises are on the path to becoming an Intelligent Enterprise, scoring between 50 – 75 points on the index. The percent of enterprises scoring 75 or higher on the Intelligent Enterprise Index gained the greatest of all categories in the last 12 months, increasing from 5% to 11% of all respondents. The majority of enterprises are improving how well they scale the integration of their physical and digital worlds to enhance visibility and mobilize actionable insights. The more real-time the integration unifying the physical and digital worlds of their business models, the better the customer experiences and operational efficiencies attained.

  • The majority of enterprises (82%) share information from their IoT solutions with employees more than once a day, and 67% are sharing data in real-time or near real-time. 43% of enterprises say information from their IoT solutions is shared with employees in real-time, up 38% from last year’s index. 76% of survey respondents are from retailing, manufacturing, and transportation & logistics. Gaining greater accuracy of reporting across supplier networks, improving product quality visibility and more real-time data from distribution channels are the growth catalysts companies competing in retail, manufacturing, and transportation & logistics need to grow. These findings reflect how enterprises are using real-time data monitoring to drive quicker, more accurate decisions and be more discerning in which strategies they choose. Please click on the graphic to expand to view specifics.

  • Enterprises continue to place a high priority on IoT network security and standards with real-time monitoring becoming the norm. 58% of enterprises are monitoring their IoT networks constantly, up from 49%, and a record number of enterprises (69%) have a pre-emptive, proactive approach to IT security and network management. It’s time enterprises consider every identity a new security perimeter, including IoT sensors, smart, connected products, and the on-premise and cloud networks supporting them. Enterprises need to pursue a “never trust, always verify, enforce least privilege” approach and are turning to Zero Trust Privilege (ZTP) to solve this challenge today. ZTP grants least privilege access based on verifying who is requesting access, the context of their request, and ascertaining the risk of the access environment. Designed to secure infrastructure, DevOps, cloud, containers, Big Data, and scale to protect a wide spectrum of use cases, ZTP is replacing legacy approaches to Privileged Access Management by minimizing attack surfaces, improving audit and compliance visibility, and reducing risk, complexity, and costs for enterprises. Leaders in this field include Centrify for Privileged Access Management, Idaptive, (a new company soon to be spun out from Centrify) for Next-Gen Access, as well as CiscoF5 and Palo Alto Networks in networking.

  • Analytics and security dominate enterprise’ IoT management plans this year. 66% of enterprises are prioritizing analytics as their highest IoT data management priority this year, and 63% an actively investing in IoT security. The majority are replacing legacy approaches to Privilege Access Management (PAM) with ZTP.  Enterprises competing in healthcare and financial services are leading ZTS’ adoption today, in addition to government agencies globally. Enterprises investing in Lifecycle management solutions increased 11% between 2017 and 2018. Please click on the graphic to expand to view specifics.

%d bloggers like this: