Data security is a major issue in today’s digital world. Organizations, both big and small, have made major investments to secure their data. Encryption is one of the most effective techniques for securing data from unauthorized access. One way this technique is implemented is through advisory services.
Is encryption consultation service expensive? Before spending on any of them, you should find out if it is worth the cost and whether you will get any returns.
In this article, you will explore how to calculate the returns on investments (ROI) of implementing encryption through advisory services. You will also get tips on how to maximize this ROI.
Understand the Benefits of Encryption
Before you think of ROI that you will get from the encryption advisory service, you should start by understanding the benefits of encryption for your business. This will help you answer why you should implement it and calculate its ROI.
Encryption is a data security measure that entails converting data into ciphertext, which only authorized parties can decode/decipher. This is usually offered in the form of Security as a service. Here are some of the top benefits that you can gain from encryption:
Data privacy: Nobody else can access the data except the owner and the target recipient. Encryption provides high levels of data privacy and protection.
Compliance: By embracing encryption, you will comply with various data regulatory bodies such as GDPR and HIPPA. Failing to comply with some of these regulations will attract heavy fines.
Secure browsing: Would you like to feel safe when browsing the internet? Encryption is a perfect solution. Your data will be secure even as you access various websites.
Conversely, data breaches can have serious consequences without encryption that attract lawsuits. This doesn’t just hurt you financially; damaging your reputation can be irreparable. So, it makes sense to use encryption advisory services to get everything right and protect your investment.
Cost of Encryption Advisory Services
All the benefits we have outlined come at a cost. You will be in a perfect position to calculate the return on investment based on these costs. There are many factors to consider while calculating the cost of an encryption advisory service.
1. The Cost of the Actual Service
While hiring experts who will provide advisory services, it is essential to discuss their charges. Factors such as the scope of work and encryption consultancy fees will determine your pay.
2. Cost of Tech Tools Used
Encryption advisory services must consider the technologies you use and those you need to implement encryption. Simple systems may be cheap, while complex ones tend to attract high costs.
Data systems, software applications, hardware, licenses, and technical support are some of the technological factors that affect the final cost.
3. Organization’s Size
What is your organization's size? This, too, will affect the cost of encryption advisory services. Larger organizations will attract higher service costs than smaller organizations.
What is the capability of your staff? Do they have necessary information and skills in encryption and cybersecurity? This may help you pay lower costs than if the staff have little information about security matters. You will also pay lower costs if you have complied with some international regulations.
Calculating the ROI: Formula
Basically, there are two key requirements for calculating the ROI of implementing encryption through advisory services: benefits and cost. The final value of the ROI will be the difference between the service's costs and the benefits. So, compare them to gauge where you fall. Ideally, the ROI is positive if the benefits outweigh the costs.
To make your ROI calculations easier, list direct and indirect financial benefits. Direct financial benefits refer to the costs you would have incurred directly due to a breach in data security. They include fines, compensation due to data breaches, legal fees, reputation management costs, and the cost of repairing data systems, among others.
A key indirect financial benefit from encryption advisory services is a good brand reputation. You are also likely to enjoy streamlined business operations. Such benefits will have a long-term impact on your finances.
Possible Challenges
You may encounter challenges when measuring the ROI of implementing encryption through advisory services. One of the challenges is the difficulty in measuring intangible elements. For instance, how will you know you have won customer trust after implementing encryption through advisory services?
The time factor may also make it hard to determine the ROI of this implementation. You may not be in a perfect position to tell whether the ROI is long-term or short-term. However, you can overcome these challenges when you work with an expert.
Conclusion
So, are you ready to implement encryption through advisory services? As discussed in this article, the ROI of this investment is relatively high. We cannot overlook how much you will save when you prevent possible threats to your systems and data. As we have mentioned, direct and indirect financial benefits come with this investment.
To maximize your ROI, you should strive to find the best encryption advisors in the industry. They should prove they deeply understand encryption technologies and can help you with the implementation.
