As Singapore invests heavily in digitalisation to strive towards its Smart Nation goals, Small and Medium-sized Enterprises (SMEs) will need to be more prepared. Going digital has its pros and cons. But SMEs face some harsh realities if they continue to harbour the many misconceptions and ignorance about cyber incidents as this survey shows – 65% of them have experienced a cyber incident in the past year, yet 47% believe their organisation will never experience a cyber incident.
This overconfidence is more evident when 83% said they are sufficiently prepared to overcome a surprise attack by sophisticated hackers or cyber criminals. However, 39% of them reported there isn’t a consistent understanding within their organization of what ‘cyber risk’ means; and 59% believe they are not aware of all the cyber threats their businesses face.
Last year, the most common types of cyber incidents experienced were data loss and business interruption from system malfunction or technical faults, and human error. A weak link identified within the organisation is employees. 54% of cyber incidents were caused by employees, and 53% of SME leaders are not confident that employees with access to sensitive data are fully aware of their data privacy responsibilities.
These findings, based on the Chubb SME Cyber Preparedness Report 2019: Ignorance is Risk, suggest that there is a gap between the perceived and actual cyber preparedness of SMEs in Singapore. There is opportunity for SMEs to better prevent and be prepared to overcome cyber incidents, on their digitalisation journey.