A Security Management with Cyber Insurance

Summary of the talk: Since the recent security breach requires the intensification of security management, the documents, describing the best practice of security management, are published by experts. However, the implementations of all best practices are tough because of the cost and the difficulty of cost-effective security investment. In this talk, I will discusses the security management theory with cyber risk insurance, especially the effectiveness of cyber risk insurance by Monte Carlo simulation approach. Once organizations have the security incident and breaches, they have to pay tremendous costs. Although visible cost, such as the incident response cost, customer follow-up care, and legal cost are predictable and calculable, it is tough to evaluate and estimate the invisible damage, such as losing customer loyalty, reputation impact, and the damage of branding. In this talk, I also will present a new method, called Event Study Methodology with Twitter Sentimental Analysis to evaluate the invisible cost. This method helps to assess the impact of the security breach and the impact on corporate valuation.

Biography: Kouichi Sakurai received the B.S. degree in mathematics from the Faculty of Science, Kyushu University in 1986. He received the M.S. degree in applied science in 1988, and the Doctorate in engineering in 1993 from the Faculty of Engineering, Kyushu University. He was engaged in research and development on cryptography and information security at the Computer and Information Systems Laboratory at Mitsubishi Electric Corporation from 1988 to 1994. From 1994, he worked for the Dept. of Computer Science of Kyushu University in the capacity of associate professor, and became a full professor there in 2002. He is concurrently working also with the Institute of Systems & Information Technologies and Nanotechnologies, as the chief of Information Security laboratory, for promoting research co-oporations among the industry, university and government under the theme "Enhancing IT-security in social systems". He has been successful in generating such co-operation between Japan, China and Korea for security technologies as the leader of a Cooperative International Research Project supported by the National Institute of Information and Communications Technology (NICT) during 2005-2006. Moreover, in March 2006, he established research co-oporations under a Memorandum of Understanding in the field of information security with Professor Bimal Kumar Roy, the first time Japan has partnered with The Cryptology Research Society of India (CRSI). Hi is now working with Cyber Security Center of Kyushu Univ. Department of Advanced Technologies for Cyber security. Professor Sakurai has published more than 3000 academic papers around cryptography and information security