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Security. Myths about Business Risks in the Information Age. Security is only about protecting “things” We don’t have any information anyone would want Security problems have never happened here. Firewalls provide enough security Technology will solve the security problem

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myths about business risks in the information age
Myths about Business Risksin the Information Age
  • Security is only about protecting “things”
  • We don’t have any information anyone would want
  • Security problems have never happened here.
  • Firewalls provide enough security
  • Technology will solve the security problem
  • The “enemy” is outside
  • Our people won’t tolerate tight security
  • My PC is secure, so I’m secure
  • The Internet can’t be used for secure communications

The Economist and Arthur Andersen

  • Deter
  • Detect
  • Minimize
  • Investigate
  • Recover
security risks
Security Risks
  • Internal
  • External
  • Disaster and breakdowns
  • Access and disclosure
  • Alteration or destruction
  • Improper use
risk assessment
  • P1 Probability of attack
  • P2 Probability of success
  • L Cost of Loss

Expected Loss = P1 * P2 * L

Minimize Threat Categories

security policy
Security Policy

Security is always a cost to efficiency. It must be promoted to be effective.

  • From the top
  • Before installing hardware
  • Politically charged
writing a security policy
Writing a Security Policy
  • Assess the types of risks
  • Identify vulnerabilities
  • Analyze user needs
  • Write the policy
  • Develop change procedures
  • Plan implementation
  • Implement
risk areas
Personnel Risk

Background checks

Segregation of duties

Terminated employees

Physical Access Risk

Disaster Risk

Disaster Recovery

Backup/hot sites

Integrity Risk

Access Risk

Availability Risk

Infrastructure Capability

Denial of service

Risk Areas
integrity risk
Integrity Risk

Risks associated with the authorization, completeness and accuracy of transactions

  • User interface
  • Processing
  • Error Processing
  • Interfaces with other systems/databases
  • Change Management
  • Data
    • Privacy
    • Backup
access risk
Access Risk

Risks associated with inappropriate access to systems or data

  • Identification, authentication and nonrepudiation
    • What you know, what you have, what you are
    • Encryption (algorithm and key)
      • Secret key, private/public key
      • smart cards, hardware tokens
    • Digital Signature (hashing and public key; encrypt with private key, send with private key, and then decode with public key)
    • Certification authority and digital certificates
    • Security Protocols
  • Firewalls and Guards
elements of risk
Elements of Risk




administrative controls limit the threat
Administrative Controls:Limit the Threat

Standards, rules, procedures and discipline to assure that personnel abide by established policies. Includes segregation of functions.

administrative controls
Administrative Controls
  • Security organization
  • Audits
  • Risk assessment
  • Administrative standards and procedures
protecting the assets
Protecting the Assets
  • Resource management
  • Disaster recovery
  • System segregation
resource management
Resource Management
  • Backup planning
  • Job scheduling
  • Redundant design
  • Selective decoupling
disaster management
Disaster Management
  • Redundancy and fault tolerant systems
  • Backups and off site storage
  • Hot and cold sites
  • Planning and procedures
elements of risk18
Elements of Risk




  • Servers

Securing operating systems and applications

  • Networks

Access protection from snooping, attacks, spoofing

  • Clients and modems

User verification for PCAnywhere etc.

  • Viruses
operating systems
Operating Systems
  • UNIX
  • Novell Netware
  • Windows and Windows NT
secure operating systems
Secure Operating Systems
  • U.S. Government Certification
    • A1, B1, B2, B3, C1, C2 (most commercial systems), D
  • Ease of use
  • CERT (Computer Emergency Response Team)
top 12 securityrisks
Top 12 SecurityRisks

1. Hosts run unnecessary services

3. Information leakage through network service programs

4. Misuse of trusted access

5. Misconfigured firewall access lists

7. Misconfigured web servers

10.Inadequate logging, monitoring or detecting

top 12 security risks
Top 12 Security Risks

2. Unpatched, outdated or default configured software

6. Weak Passwords

8.Improperly exported file sharing services

9. Misconfigured or unpatched Windows NT servers

11.Unsecured remote access

12.Lack of comprehensive policies and standards

  • Firewalls
  • Network partitioning and routers
  • Encryption
  • Testing tools
  • Consultants
firewall functions
Firewall functions
  • Packet Filter:Blocks traffic based on IP address and/or port numbers.
  • Proxy Server:Serves as a relay between two networks, breaking the connection between the two.
  • Network Address Translation (NAT):Hides the IP addresses of client stations in an internal network by presenting one IP address to the outside world.
  • Stateful Inspection:Tracks the transaction in order to verify that the destination of an inbound packet matches the source of a previous outbound request. Generally can examine multiple layers of the protocol stack.
firewall operation27
Firewall Operation

1. A router sits between two


2. A programmer writes an access control list, which contains IP addresses that can be allowed onto the network.

3. A message gets sent to the router. It checks the address against the access control list. If address the is on the list, it can go through.

4. If the address isn't on the list, the message is denied access to the network.

  • Keys and key length
  • Public key/private key
  • Processing problems
  • Location
    • Application
    • Network
    • Firewall
    • Link
how public encryption works
How Public Encryption Works

1. Sue wants to send a message to Sam, so she finds his public key in a directory.

2. Sue uses the public key to encrypt the message and send it to Sam.

3. When the encrypted message arrives, Sam uses his private key to decrypt the data and read Sue's message.

  • Passwords
  • “Credit” cards
  • Biometrics
  • Isolation
  • Remote location verification
biometrics how it works
Biometrics: how it works
  • Users "enroll" by having their fingerprints, irises, faces, signatures or voice prints scanned.
  • Key features are extracted and converted to unique templates, which are stored as encrypted numerical data.
  • Corresponding features presented by a would-be user are compared to the templates in the database.
  • Matches will rarely be perfect, and the owners of the system can vary a sensitivity threshhold so as to minimize either the rate of false rejections, which annoy users, or false acceptances, which jeopardize security. This offers far more flexibility than the binary "Yes" or "No" answers given by password technologies.
common biometric techniques and how they rate
Common biometric techniques and how they rate

International Biometric Group, New York

as reported in Computerworld, Quick Study: Biometrics, 10/12/98