And what businesses can do about them
As businesses gear up for the challenges of 2024, a study by the Council of Small Business Organisations of Australia’s Cyber Wardens program has identified the top five everyday habits that render small businesses susceptible to cyber threats.
The findings, based on a survey of more than 2,000 Australian small businesses, aim to raise awareness and provide actionable steps to bolster cybersecurity.
Despite an increasing emphasis on cybersecurity, a staggering 78% of small business owners have observed routine habits within their teams that inadvertently expose them to cyber vulnerabilities.
“It’s hard to remain vigilant, so this is a reminder on how to avoid slipping into bad habits and instead build good habits that improve your business culture of simple cyber security,” said Luke Achterstraat (pictured above left), COSBOA CEO.
What’s cyber-safe and what’s not
The study revealed prevalent bad habits among Australian small businesses.
For instance, some businesses put their computers in “sleep mode” rather than shutting them down, leaving them susceptible to cyber criminals due to outdated software. Cyber-safe practices, such as shutting down computers nightly, can ensure automatic software updates, enhancing protection against cyber intrusions.
Password practices also contribute to vulnerabilities, with 26% of small businesses reusing passwords across multiple systems and platforms, and 16% employing short, easily crackable passwords. To counter this, adopting long, unique passphrases, changing passwords regularly, and using secure password managers are recommended cyber-safe habits.
Additionally, 21% of small businesses delete suspicious emails without alerting IT or management, hindering efforts to investigate and block potential scams. Reporting suspected scams to the appropriate authorities, such as the National Anti-Scam Centre, Scamwatch, is emphasized as a cyber-safe habit.
Other identified habits include sharing passwords among team members (20%), which increases the risk of compromised accounts, and delaying software updates (18%), leaving systems vulnerable to security weaknesses. Unique logins for team members and prioritising timely software updates are recommended cyber-safe habits.
The Cyber Wardens program and combatting scams
The Cyber Wardens program encourages small businesses to integrate these cyber-safe habits into their daily operations. The initiative, backed by the Australian government, offers free training on essential cybersecurity practices, including multi-factor authentication, password management, and device updates.
“Through the Cyber Wardens program, we are encouraging small business owners to make simple swaps in the everyday habits of your business as the easiest way to kickstart your new year cyber safety plan,” Achterstraat said.
Rebecca Warren (pictured above right), EGM of small business banking at Commonwealth Bank, stressed the severe financial and emotional impact scams and fraud can inflict on small businesses.
“While the prevalence of scams continues to rise, recent CommBank data shows anti-scam initiatives announced by the bank over the past year are making a real difference for customers, with CommBank protecting retail and business customers from more than $228 million scam attempts through its early prevention and detection program,” Warren said in a media release.
“People are the first line of defence when it comes to payment scams which is why the Cyber Wardens program to upskill small businesses in cyber safety, so small businesses can build resilience from the ground up, is such an important initiative.”
To read the CommBank media release, click here. To read the Bad Habits Research report, click here.
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