Technology incidents yield increasing costs
This year major technology incidents, tracked by KPMG's Technology Risk Radar, have proven to have increasingly high costs, both in financial losses and in persons affected. According to the KMPG report, each technology-related problem costs organisations an average of £410,000 per incident, while affecting almost 800,000 individuals and four million bank and credit card accounts.
More than fifty percent of the incidents were caused by “avoidable” issues, like coding errors or failed IT changes, the report reveals, while human error also remains a noted factor.
These failures are especially great for customer-facing organisations, such as financial enterprises, where steep fines due to the loss of personal data, or inaccurate documentation, can be added onto the overall losses. As the demand for greater security increases in these industries, complexity will be the “single biggest risk” in the coming year, KPMG surmises.