Assessing IT Security Measures of HSBC Bank Coursework

Assessing IT Security Measures of HSBC Bank - Coursework Example Pre defined and anticipated risks have to be assessed meticulously and the adequacy of safety measures has to be ascertained to incorporate all the necessary and change and improvements required in the security systems. This current study aims to identify the various security issues that have blemished HSBC’s image and status in the recent past. The report also features the security policy that has been redefined by the organization in order to mitigate the anticipated risks along with the advanced security features that have been installed in the systems for assuring safety and security to its clients. INTRODUCTION HSBC has encountered numerous instances of data theft that has affected thousands of customers. Data reveals that almost 24,000 clients have suffered financial losses. In the year 2006, almost 9000 customers holding an account in HSBC Switzerland had their account data pilfered (Barrett L, 2010). After such incidents, it became necessary for the bank to incorporate significant improvements to its data security measures and the system as a whole involving technology in order to upgrade the current status. Such revisions added to the overall cost burden of the organization almost $93 million (Barrett L, 2010). ... However such information was shared between the administrators and home office staff that created unwanted problems for the firm. After analyzing the current case, it can be said that security issues have greatly tarnished the organization’s reputation and image. A huge amount of fine the largest fine ever imposed in UK, approximately 5% million dollars was forced on three HSBC firms for implementing ineffective and inadequate security measures (Barrett L, 2010). LITERATURE REVIEW There are numerous threats faced by an organization in the modern times, but till now there has been no single or uniform strategy that could be adopted by organizations as one comprehensive policy to resolve the issues or mitigate the challenges right from hardware to software, from core to application and from local issues to broad network problems ( Chen L, Dan Feng D & Ming L, 2007). With the rapid advancement and growth in the IT sector, parallel developments have also been witnessed in their il legal and unethical use (Ditzion R, Geddes E, & Rhodes M, 2003; Maher M K & Thompson J. M, 2002). The negative consequences of cyber crime are tremendous causing financial and economic loss both to the organization as well as the economy. The irony is that such crimes require too less a resources and equally low technical expertise. Past data reveals that almost 5percent of US based organizations including banks have been attached by computer virus and hackers which have caused huge losses to the firms and their clients (Barr K, Beiting M & Grezeskinski A, 2003). In a research conducted by Meier D, Mackman A, Dunner M, Vasireddy S, Escamilla R & Murukan A (2006), a systematic process of an attacker’s methodology was analyzed in-depth