1. CHAPTER 4 Information Security
Before, during, or after this chapter, you might want to show your students the
PBS DVD entitled “Cyberwar”. It was done in 2003, but the topics remain current
today (particularly in light of the cyber attack on Estonia and the Republic of Georgia).
Further, see the cyber attack on the U.S. electrical grid in the Wall Street Journal, April,
8, 2009).
Information Security

2. CHAPTER OUTLINE
4.1 Introduction to Information Security 4.2 Unintentional Threats to Information Security 4.3 Deliberate Threats to Information Security 4.4 What Organizations Are Doing to Protect Information Resources 4.5 Information Security Controls

3. LEARNING OBJECTIVES
1. Identify the five factors that contribute to the increasing vulnerability of information resources, and provide a specific example of each one. 2. Compare and contrast human mistakes and social engineering, and provide a specific example of each one. 3. Discuss the nine types of deliberate attacks.

4. LEARNING OBJECTIVES (continued)
4. Define the three risk mitigation strategies, and provide an example of each one in the context of you owning a home. 5. Identify the three major types of controls that organizations can use to protect their information resources, and provide an example of each one.

5. 7.1 Introduction to Information Security
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6. Key Information Security Terms
Threat
Exposure
Vulnerability
Information security refers to all of the processes and policies designed to protect an organization’s
information and information systems from unauthorized access, use, disclosure, disruption,
modification, or destruction.
A threat to an information resource is any danger to which a system may be exposed.
The exposure of an information resources is the harm, loss or damage that can result if a threat
compromises that resource.
A system’s vulnerability is the possibility that the system will suffer harm by a threat.
© Sebastian/AgeFotostock America, Inc.
Example of a threat (video)

7. Five Factors Increasing the Vulnerability of Information Resources
Today’s interconnected, interdependent, wirelessly-networked business environment Smaller, faster, cheaper computers and storage devices Decreasing skills necessary to be a hacker Organized crime taking over cybercrime Lack of management support
Organizations and individuals are now exposed to untrusted networks.
An untrusted network, in general, is any network external to your organization.
The Internet, by definition, is an untrusted network.

8. Networked Business Environment

9. Smaller, Faster Devices
© laggerbomber-Fotolia.com
© Dragonian/iStockphoto
© PhotoEdit/Alamy Limited

10. Decreasing Skills Needed to be a Hacker
New & Easier Tools make it very easy to attack the Network
Attacks are becoming increasingly sophisticated
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11. Organized Crime Taking Over Cybercrime
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12. Lack of Management Support
© Sigrid Olsson/Photo Alto/Age Fotostock

13. 7.2 Unintentional Threats to Information Systems
George Doyle/ImageSource Limited

14. Security Threats

15. Most Dangerous Employees
Human resources and MIS
These employees hold ALL the information
As we are discussing human errors, we should note that the biggest threat to the security of an organization’s information assets are the company’s employees.
In fact, the most dangerous employees are those in human resources and MIS. HR employees have access to sensitive personal data on all employees. MIS employees not only have access to sensitive personal data, but also control the means to create, store, transmit, and modify these data.
The image represents how a human resources or MIS employee has access to, or controls, sensitive information in the organization.
© WAVEBREAKMEDIA LTD/Age Fotostock America, Inc.

16. Consultants, Janitors and Security Guards
Source: YouraPechkin/iStockphoto
© fatihhoca/iStockphoto

17. Human Errors
Carelessness with laptops and portable computing devices Opening questionable s Careless Internet surfing Poor password selection and use And more

18. Social Engineering Two examples Tailgating Shoulder surfing
To deter tailgating, many companies have anti-tailgating doors protecting the entrance into high-security areas. Note that only one person at a time can go through this type of door.
Shoulder surfing occurs when the attacker watches another person’s computer screen over that person’s shoulder. Particularly dangerous in public areas such as airports, commuter trains, and on airplanes.
© Purestock/Age Fotostock America, Inc

19. The “King” of Social Engineering
60 Minutes Interview with Kevin Mitnick
Kevin Mitnick served several years in a federal prison. Upon his release, he opened his own consulting firm, advising companies on how to deter people like him
See his company here
Social engineering is an attack where the attacker uses social skills to trick a legitimate employee into providing confidential company information such as passwords.
Social engineering is a typically unintentional human error on the part of an employee, but it is the result of a deliberate action on the part of an attacker.
The video shows Kevin Mitnick being interviewed by Ed Bradley of “60 Minutes.” It is interesting to note Mitnick’s reaction as to whether or not he considered himself to be a criminal.

20. 7.3 Deliberate Threats to Information Systems

21. There are many types of deliberate attacks including:
• Espionage or Trespass • Information extortion • Sabotage or vandalism • Theft of equipment or information • Identity theft • Compromises to intellectual property • Soft ware attacks • Alien soft ware • Supervisory control and data acquisition (SCADA) attacks • Cyberterrorism and cyberwarfare

22. Deliberate Threats Espionage or trespass Information extortion
Sabotage or vandalism
Theft of equipment or information
For example, dumpster diving
Espionage or trespass: Competitive intelligence consists of legal information-gathering techniques.
Industrial espionage crosses the legal boundary.
The two images show dumpster divers. Many dumpster divers wear protective clothing and use snorkels, as it is not a good idea to receive cuts from items in the dumpster, and the air is foul.
© Diego Cervo/Age Fotostock America, Inc.

23. Deliberate Threats (continued)
Identify theft
Identity theft video
Compromises to intellectual property
The identity theft video gives an excellent overview of the problem and how it affects lives. The video continues with a look at how to prevent identity theft.
Compromises to intellectual property
Intellectual property. Property created by individuals or corporations which is protected under trade secret, patent, and copyright laws.
Trade secret. Intellectual work, such as a business plan, that is a company secret and is not based on public information.
Patent. Document that grants the holder exclusive rights on an invention or process for 20 years.
Copyright. Statutory grant that provides creators of intellectual property with ownership of the property for life of the creator plus 70 years.
Piracy. Copying a software program without making payment to the owner.
Virus is a segment of computer code that performs malicious actions by attaching to another computer program.
Worm is a segment of computer code that performs malicious actions and will spread by itself without requiring another computer program.
Trojan horse is a computer program that hides in another computer program and reveals its designated behavior only when it is activated.
Logic bomb is a segment of computer code that is embedded inside an organization’s existing computer programs and is designed to activate and perform a destructive action at a certain time or date.
Frederic Lucano/Stone/Getty Images, Inc.

24. Deliberate Threats (continued)
Software attacks
Virus
Worm
1988: first widespread worm, created by Robert T. Morris, Jr.
(see the rapid spread of the Slammer worm)
Trojan horse
Logic Bomb
A virus is a segment of computer code that performs malicious actions by attaching to another computer program.
A worm is a segment of computer code that spreads by itself and performs malicious actions without requiring another computer program.
A Trojan horse is a software program that hides in other computer programs and reveal its designed behavior only when it is activated. A typical behavior of a Trojan horse is to capture your sensitive information (e.g., passwords, account numbers, etc.) and send them to the creator of the Trojan horse.
A logic bomb is a segment of computer code that is embedded within an organization’s existing computer programs and is designed to activate and perform a destructive action at a certain time and date.

25. Deliberate Threats (continued)
Software attacks (continued)
Phishing attacks
Phishing slideshow
Phishing quiz
Phishing example
Distributed denial-of-service attacks
See botnet demonstration
Phishing attacks use deception to acquire sensitive personal information by masquerading as official-looking s or instant messages.
The phishing slideshow presents a nice demonstration of how phishing works.
The phishing quiz presents a variety of s. You must decide which are legitimate and which are phishing attempts.
The phishing examples show actual phishing attempts.
In a distributed denial-of-service attack, the attacker first takes over many computers. These computers are called zombies or bots. Together, these bots form a botnet.
The botnet demonstration shows how botnets are created and how they work.

26. How to Detect a Phish E-mail

27. Is the email really from eBay, or PayPal, or a bank?
As Spammers get better, their s look more genuine. How do you tell if it’s a scam and phishing for personal information? Here’s how ...

28. Is the email really from eBay, or PayPal, or a bank?
As an example, here is what the said:
Return-path:
From:
Subject: You have 1 new Security Message Alert !
Note that they even give
advice in the right column
about security

29. Example Continued – bottom of the email

30. How to see what is happening View Source
In Outlook, right click on , click ‘view source’
In GroupWise, open and click on the Message Source tab
In Mozilla Thunderbird, click on View, and Source.
Below is the part of the text that makes the look official – the images came from the PayPal website.

31. View Source – The Real Link
In the body it said, “If you are traveling, “Travelling Confirmation Here”
Here is where you are really being sent
Notice that the link is not only not PayPal, it is an IP address, 2 giveaways of a fraudulent link.

32. Another Example – Amazon
View Source

33. Deliberate Threats (continued)
Alien Software
Spyware (see video)
Spamware
Cookies
Cookie demo
Spyware collects personal information about users without their consent. Two types of spyware are keystroke loggers (keyloggers) and screen scrapers. Keystroke loggers record your keystrokes and your Web browsing history. Screen scrapers record a continuous “movie” of what you do on a screen.
The spyware video provides a nice overview of spyware and how to avoid it.
Spamware is alien software that is designed to use your computer as a launchpad for spammers. Spam is unsolicited .
Cookies are small amounts of information that Web sites store on your computer.
The cookie demo will show you how much information your computer sends when you connect to a Web site.
© Manfred Grafweg/Age Fotostock America, Inc.

34. Example of CAPTCHA

35. Deliberate Threats (continued)
Supervisory control and data acquisition (SCADA) attacks
A supervisory control and data acquisition (SCADA) system is a large-scale, distributed, measurement and control system.
SCADA systems are the link between the electronic world and the physical world.
© SergeyTitov/iStockphoto

36. What if a SCADA attack were successful?
Northeastern U.S. power outage in 2003
Results in NYC
Many tourists simply slept on the street or on in hotel lobbies, as elevators were not working
Hundreds of thousands of people walked home from Manhattan during the blackout
The northeastern power outage shown here was caused by a tree limb breaking a high-voltage wire.
However, a successful SCADA attack on the U.S. power grid could have the same results.

37. Example of SCADA attack (and cyberwarfare)
The Stuxnet Worm (IT’s About Business 7.2)
© Vladimir Mucibabic/Age Fotostock America, Inc.

38. Cyberwarfare and Cyberterrorism
See video of cyber warfare
directed at Estonia

39. 7.4 What Organizations Are Doing to Protect Themselves

40. Risk Management Risk Risk management Risk analysis Risk mitigation
Risk. The probability that a threat will impact an information resource.
Risk management. To identify, control and minimize the impact of threats.
Risk analysis. To assess the value of each asset being protected, estimate the probability it might be compromised, and compare the probable costs of it being compromised with the cost of protecting it.
Risk mitigation is when the organization takes concrete actions against risk. It has two functions:
(1) implement controls to prevent identified threats from occurring, and
(2) developing a means of recovery should the threat become a reality.
© Youri van der Schalk/Age Fotostock
America, Inc.

41. Risk Mitigation Strategies
Risk Acceptance Risk limitation Risk transference
Risk Acceptance. Accept the potential risk, continue operating with no controls, and absorb any damages that occur.
Risk limitation. Limit the risk by implementing controls that minimize the impact of threat.
Risk transference. Transfer the risk by using other means to compensate for the loss, such as purchasing insurance.

42. 7.5 Information Security Controls
Physical controls Access controls Communications (network) controls
Physical controls. Physical protection of computer facilities and resources.
Access controls. Restriction of unauthorized user access to computer resources; use biometrics and passwords controls for user identification.
Communications (network) controls. To protect the movement of data across networks and include
border security controls, authentication and authorization.

43. Where Defense Mechanisms (Controls) Are Located

44. Access Controls Authentication
Something the user is (biometrics powerpoints)
Video on biometrics
The latest biometric: gait recognition
Something the user has
Something the user does
Something the user knows
passwords
passphrases
Authentication - Major objective is proof of identity.
Something the User Is - Also known as biometrics, these access controls examine a user's innate physical characteristics.
Something the User Has - These access controls include regular ID cards, smart cards, and tokens.
Something the User Does - These access controls include voice and signature recognition.
Something the User Knows - These access controls include passwords and passphrases. A password is a private combination of characters that only the user should know. A passphrase is a series of characters that is longer than a password but can be memorized easily.

45. Access Controls (continued)
Authorization
Privilege
Least privilege
Authorization - Permission issued to individuals and groups to do certain activities with information resources, based on verified identity.
A privilege is a collection of related computer system operations that can be performed by users of the system.
Least privilege is a principle that users be granted the privilege for some activity only if there is a justifiable need to grant this authorization.

46. Communications Controls
Firewalls
Anti-malware systems
Whitelisting and Blacklisting
Encryption
Firewalls. System that enforces access-control policy between two networks.
Anti-malware systems (also called antivirus software) are software packages that attempt to identify and eliminate viruses, worms, and other malicious software. The logos show three well-known anti-malware companies. Clicking on the link will take you to each company’s homepage, respectively.
Whitelisting is a process in which a company identifies the software that it will allow to run and does not try to recognize malware.
Blacklisting is a process in which a company allows all software to run unless it is on the blacklist.
Encryption. Process of converting an original message into a form that cannot be read by anyone except the intended receiver.

47. Communication or Network Controls (continued)
Virtual private networking Secure Socket Layer (now transport layer security) Employee monitoring systems
A virtual private network is a private network that uses a public network (usually the Internet) to connect users.
Secure socket layer (SSL), now called transport layer security (TLS), is an encryption standard used for secure transactions such as credit card purchases and online banking.
Employee monitoring systems monitor employees’ computers, activities, and Internet surfing activities.

48. Basic Home Firewall (top) and Corporate Firewall (bottom)
In a basic home firewall, the firewall is implemented as software on the home computer.
An organizational firewall has the following components:
(1) external firewall facing the Internet
(2) a demilitarized zone (DMZ) located between the two firewalls; the DMZ contains
company servers that typically handle Web page requests and .
(3) an internal firewall that faces the company network

49. How Public Key Encryption Works
For a complete look at how encryption works, see

50. How Digital Certificates Work
A digital certificate is an electronic document attached to a file certifying that the file is from
the organization that it claims to be from and has not been modified from its original
format.
Certificate authorities, which are trusted intermediaries between two organizations, issue
digital certificates.

51. Virtual Private Network and Tunneling
Tunneling encrypts each data packet that is sent and places each encrypted packet
inside another packet.

52. Employee Monitoring System
Popular Employee Monitoring Systems include:
SpectorSoft
Websense
With most monitoring systems a network administrator sees the screens that everyone
is on, and c “zoom in” on any one person’s screen.
Clicking on the names of the two organizations above will take you to each company’s home page.
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53. Business Continuity Planning, Backup, and Recovery
Hot Site Warm Site Cold Site
Hot Site is a fully configured computer facility, with all services, communications links, and physical plant operations.
Warm Site provides many of the same services and options of the hot site, but it typically does not include the actual applications the company runs.
Cold Site provides only rudimentary services and facilities and so does not supply computer hardware or user workstations.

54. Information Systems Auditing
Types of Auditors and Audits
Internal
External
Information systems auditing. Independent or unbiased observers task to ensure that information systems work properly.
Audit. Examination of information systems, their inputs, outputs and processing.
Types of Auditors and Audits
Internal. Performed by corporate internal auditors.
External. Reviews internal audit as well as the inputs, processing and outputs of information systems.

55. IS Auditing Procedure
Auditing around the computer Auditing through the computer Auditing with the computer
Auditing around the computer means verifying processing by checking for known outputs or specific inputs.
Auditing through the computer means inputs, outputs and processing are checked.
Auditing with the computer means using a combination of client data, auditor software, and client and auditor hardware.

56. Chapter Closing Case
The Business Problem
The IT Solutions
The Results