New Approaches for Security, Privacy and Trust in Complex by John Haggerty, Mark Taylor (auth.), Hein Venter, Mariki

By John Haggerty, Mark Taylor (auth.), Hein Venter, Mariki Eloff, Les Labuschagne, Jan Eloff, Rossouw von Solms (eds.)

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Additional resources for New Approaches for Security, Privacy and Trust in Complex Environments: Proceedings of the IFIP TC-11 22nd International Information Security Conference (SEC 2007), 14–16 May 2007, Sandton, South Africa

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Next, the three companies in the study are investigated. In the following section conclusions are drawn. Finally, the results of the research are discussed. 1 Introduction To promote shareholder value every measure taken by the management should maximize value creation, from strategic investments to procedures for managing the daily operations. the underlying value drivers of the business must also be the drivers of free cash flow" [1]. No other strategies are accepted than those linked to the creation of shareholder value: "Value based strategic planning upholds no particular orthodoxy.

By combining an imaginary curve, representing yield, with a curve representing the benefit that a company experiences due to increased security investments, the "optimal security" can be identified by using the CMU model. It is depicted in the diagram when the two curves intersect. The CMU model concludes that if one can proof the need for a security investment, the model can deliver optimal security. 5 Applicability in Value Creation It is important to observe that the three ROSI models studied are to a different extent "economically correcf with regard to the valuation of IT security.

Department of Defense. In that way the ratio Annual Loss Expectancy (ALE) could be calculated in accordance with the normal procedure as a measure of the economic damage an attack causes multiplied with its likeliness. 000 dollar. Accordingly, the Hummer model uses the ratio ALE as an important component when valuating intrusion detection systems. According to Wei the economic basis of Value creation and Return On Security Investments (ROSI) 29 the Hummer model is a "cost-benefit analysis", the objective of which is to weigh the pro and cons of intrusion detection systems with one another.

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