An analysis on effects of information security investments: a BSC perspective

Abstract

With the growing importance of information security due to the arrival of information society and the spread of the internet, information security is emerging as a tool to guarantee competitive advantage and is at the same time an indispensable requirement for stable business execution for companies and organizations. Additionally, the value of tangible and intangible assets that need to be protected as components of corporate assets are on the rise, where the importance of efficient and effective information asset management and information security investment is increasing for the organizations and companies managing them. However, despite an increase in the information security investment of an organization, there is a lack of systematic methodology pertaining to performance appraisals, which makes decision-making activities and determining means of improvement difficult. The existing financially focused information security investment is inadequate for systematic analyses and understanding due to the opportunity cost type characteristics of information security investment and the difficulty involved in presenting future strategic direction. This paper, considering the characteristics of the effects of information security investment, analyzes from a balanced score card perspective information security investment strategies and performance relationships. In short, critical success factors and key performance indicators are initially obtained from previous research related to information security investment, and the data collected through surveys at related companies and organizations are empirically analyzed utilizing the structural equation model.

A game-theoretic analysis of information security investment for multiple firms in a network

“…Then, they presented some advisable methods for investing in IT security. Within the changing corporate business environment, Kong et al (2012) analyzed the information security investment strategies and performance from a balanced score card perspective by considering the characteristics of information security investment. Bojanc et al (2012) proposed a mathematical model to optimize the information security investment evaluation and decision-making processes.…”

Information Security and Organizational Performance: Empirical Study of Korean Securities Industry

“…This is because, as the biggest barrier to the efficiency of information security, an organization regards information security activities not as an investment but as a cost. The members of an organization have neither the proper awareness nor share the necessity of information security activities, instead regarding information security activities as little more than troublesome, inconvenient procedures, thereby failing to be motivated to conduct information protection activities [5]. Regarding the goal and necessity of the adoption and management of information technologies, the members of an organization have a high awareness of such necessity and performance, but a low awareness of the necessity of the corresponding investment, thereby they fail to facilitate such activities.…”

Analysis on Operation of Anti-Virus Systems with Real-Time Scan and Batch Scan

“…Solving (9), we obtain that     for four cases in Table 1. 10 shows the average cost in (8). In Fig.…”

“…Bodin et al showed how a chief information security officer can apply the analytic hierarchy process (AHP) to determine the best way to spend a limited information security budget [7] . Kong et al evaluated information security investments from a BSC perspective [8] .…”