Uncategorized Archives - Safe Systems

04 Apr 2024

Banks, Compliance, Credit Unions, Uncategorized Jamie Davis 0 comment

Top 10 Benefits for Financial Institutions to Outsource Network Management

Ensuring that your network is up and running smoothly is crucial to the success of your community bank or credit union. However, managing today’s complex networks can be time-consuming and resource-intensive. This is where working with a managed service provider can offer tremendous benefits. Let’s explore the top 10 advantages of outsourcing your network management:

1. IT Expertise

You gain access to a team of IT professionals with specialized expertise in network administration for financial institutions. These experts can serve as an extension to your team and are available regardless of internal personnel shifts, such as vacations, sick days, short/long-term leave, etc. This creates continuity, ensuring your network always operates at peak performance.

2. Network Uptime

Network downtime can be detrimental when it disrupts customer service and normal business operations. Outsourcing can minimize this risk through proactive monitoring and faster response times. In addition, staff may be focused on other responsibilities and can miss alerts that could lead to a network disruption. With an outsourced solution in place, alerts are monitored, captured, and prioritized to prevent small issues from becoming larger.

3. Enhanced Reporting

Accessing customizable dashboards and real-time reporting offers your institution invaluable insights into the effectiveness of your controls. It also aids in the detection and resolution of potential issues. Leveraging a managed service provider well-versed in the financial landscape who can furnish appropriate reports enhances your readiness for exams and audits.

4. Event Log Monitoring

Manually monitoring and analyzing logs can be an overwhelming, if not impossible undertaking. A managed service provider can help you evaluate all event logs to determine which activities need further investigation or action to enhance network security.

5. Scalability

As your financial institution grows, so does the complexity of your network. An outsourcing partner can help you scale your network according to your institution’s changing needs and ensure it has the bandwidth to keep up with your organization.

6. Core Competencies

Outsourcing your network management allows you to focus on what you do best – serving your customers and your community. By delegating network-related tasks to outsourced professionals, your IT staff can spend less time on routine, repetitive tasks and have more time to help front-line employees and concentrate on core competencies.

7. Improved Security

Network security is of utmost importance for financial institutions as they handle sensitive customer information. A network management service equips you with a dedicated security team that is up-to-date with the latest security measures. They can put into place strong security protocols, conduct routine patch management, and respond quickly to security threats.

8. Cutting-Edge Technology

Keeping up with the rapidly evolving technology landscape can be challenging. Outsourcing means you can leverage tested state-of-the-art tools and technologies. A managed provider constantly updates their systems and stays on top of emerging trends, ensuring that your network is using the best technology available.

9. Regulatory Compliance

Financial institutions must adhere to strict regulatory requirements and a reputable managed service provider will help you review systems reports, discuss controls assessments, and prepare for exams and audits. You will have more confidence in knowing your network is properly adhering to its operational, security, and compliance policies and procedures.

10. Peace of Mind

Perhaps the most significant benefit of outsourcing your network management is the peace of mind that it brings. Knowing that your network is in capable hands allows you to worry less and focus more on your day-to-day banking activities.

From dedicated IT expertise and increased network uptime to substantial reporting capabilities and improved security and compliance, outsourcing network management allows your financial institution to focus on your core competencies. By entrusting network responsibilities to reliable experts, you can feel confident that your network will operate seamlessly, providing a reliable and secure platform for your customers and community.

NetComply One is a network management service that includes a dedicated strategic advisor to help with technical support, training, guidance, and regulatory compliance assistance. Learn more about outsourcing your network management solution.

08 Mar 2024

Banks, Compliance, Credit Unions, Uncategorized The Safe Systems Compliance Team 0 comment

The Crucial Role of Cybersecurity Management in 2024

As we reflect on the challenges of 2023 and the growing reliance on cloud providers in the financial industry, it is clear that cybersecurity management is more important than ever. With the increasing threat of cyberattacks and the need to protect customer information and financial transactions, community financial institutions must prioritize cybersecurity to ensure the safety and trust of their customers.

In our recent webinar, our IT and Information Security experts discussed cybersecurity management with areas of emphasis on the importance of understanding third-party risk management, the new version of the Conference of State Bank Supervisors (CSBS) Ransomware Self-Assessment Tool (RSAT 2.0), and lessons learned from exams and audits in 2023. This post explores some of the key highlights.

NIST Framework and the Arrival of CSF 2.0

The National Institute of Standards and Technology’s Cybersecurity Framework (NIST CSF) is a valuable resource for organizations to manage and reduce cybersecurity risk. This framework continuously integrates lessons learned and best practices while retaining its core functions: Identify, Protect, Detect, Respond, and Recover. The recently updated CSF 2.0 includes the introduction of a sixth function, ‘Govern,’ underscoring the importance of clear role definitions, policies, and risk prioritization procedures within cybersecurity programs. It also provides improved guidance on implementation, ensuring that organizations are equipped to address the latest cybersecurity challenges.

Critical Third-party Relationship Management

Third-party risk management is crucial as financial institutions are increasingly relying on third and fourth parties. Interagency guidance underscores the importance of understanding the impact and interaction levels of these relationships on operations and customers. Financial institutions are encouraged to establish sound methodologies for comprehensive oversight of the activities surrounding third parties. This includes a thorough understanding of third-party business processes and systems as well as an understanding of the risks and benefits before contract execution. As financial institutions move forward with third-party relationships, they must also exert pressure on their service providers to ensure adherence to strong cybersecurity standards to effectively safeguard the interests of the financial institution and ultimately its customers.

Importance of the Ransomware Self-Assessment Tool (RSAT 2.0)

The Ransomware Self-Assessment Tool (RSAT) version 2.0 represents a significant step forward in helping financial institutions fortify their defenses against ransomware attacks. The latest version is developed through the integration of feedback from institutions that have been impacted by ransomware, ensuring that the tool remains relevant and effective as this type of malware continues to evolve. With a focus on cloud-based service providers, RSAT 2.0 emphasizes the importance of understanding the flow of data, particularly in environments outside the U.S., and how it is subject to various privacy regulations like GDPR. Furthermore, RSAT 2.0 places increased emphasis on multifactor authentication (MFA) and employee cyber-awareness, reflecting the industry’s recognition of the critical role these factors play in strengthening cybersecurity postures.

Key Lessons Learned from Exams and Audits

A few of the biggest areas of scrutiny that we’re seeing from recent IT exams and audits include:

Asset Management – paying attention to asset lifecycles and end-of-life risks as well as implementing robust authentication methods that govern customers who are logging into electronic banking applications
Change Management – establishing baseline standards and auditable procedures for change requests and appropriate reporting for project management and cost overruns
Data Recovery – periodically rotating through your critical servers and restoring data so that you can ensure the effectiveness, integrity, and availability of that data
Increased Incident Response Testing and Training – conducting testing as frequently as possible over different threat scenarios, documenting those tests, and training the employees who are going to be involved in the actual response

For more lessons learned and emerging trends, watch the full webinar recording.

Community banks and credit unions must prioritize cybersecurity management to protect customer information and maintain operational resilience. Enhanced cybersecurity strategies are imperative, urging institutions to adopt a multidimensional approach that incorporates people, processes, and technologies. Regular assessments, third-party risk management, and adherence to cybersecurity frameworks contribute to a proactive defense against cyber threats.

If you have any questions or want to learn more about our complimentary information security review, please visit safesystems.com/review.

03 Dec 2015

Banks, Technology, Uncategorized Safe Systems 0 comment

Can Smaller Community Banks Afford a Dedicated Resource to Manage IT Networks and Workstations?

Managing a financial institution’s IT network is a full time, demanding job! A community bank’s IT administrator needs to truly understand the increasing complexity of IT operations, continuously changing regulatory requirements and FFIEC compliance guidelines. However, many smaller community banks are often located in communities that lack the qualified personnel resources to efficiently manage their IT and regulatory responsibilities.

Can Smaller Community Banks Afford a Dedicated Resource to Manage IT Networks and Workstations?

In addition, community banks often can’t afford to have a team dedicated to IT management. Given the remote location of some community institutions, locating, training and retaining qualified individuals is a challenge, and many community banks cannot afford to pay qualified individuals enough to keep them. Banks that do try to maintain an in-house department often spend an inordinate amount of time and effort recruiting and training staff as community banks are faced with losing employees to competitive salaries in the marketplace.

However, regardless of location and size, these community banks are under the same regulations as larger institutions. Regulatory agencies are continuously changing and increasing regulations around cybersecurity and network management. In fact, the FFIEC recently released the Cybersecurity Assessment Tool (CAT) that is designed to help institutions identify their risks and determine their cybersecurity preparedness. Even though some regulatory agencies have indicated that completion of the tool is not mandatory, all the agencies have stated they intend to use the tool to assess an institution’s cybersecurity readiness, and have already begun to issue citations to financial institutions that have lapses or are not meeting regulations.

Smaller financial institutions should be looking for ways to more efficiently manage their IT networks and compliance strategies. Oftentimes, they determine outsourcing the management of IT needs and security risks is the most cost-efficient method.

Another factor small community banks should consider is the need for an outsourced provider to manage individual PC’s and workstations in addition to their IT networks. By assigning an outsourced provider to manage your banks’ individual PC’s and workstations, the chances of the workstations having issues is reduced, and easily resolved with no added stress to the bank’s IT team.

Given their modest internal resources, smaller community financial institutions can benefit from outsourcing or partnering with a provider who offers network and workstation management solutions exclusively tailored for community banks. Having a service in place that offers key features such as patch management, third party patching, antivirus, hardware and software inventory management, vulnerability remediation and compliance-focused reporting to verify that your financial institution’s network is adhering to your policies and procedures is critical in today’s environment.

Capabilities to look for in an outsourced solution include:

Network and Workstation Monitoring
A solution should be able to provide proactive remote monitoring, alerting, preventive maintenance, ticketing, support and reporting for servers, workstations and other devices.
Network Management
A team of certified network engineers who have expertise, banking knowledge and a true understanding of a financial institutions’ technology and technology needs. This expertise ensures issues are resolved in a timely and efficient manner.
Workstation/PC Support
This includes bank applications as well as internal systems and applications. Tasks such as keeping the individual computers up-to-date with anti-virus software are completed and managed by the provider.
Compliance-Focused Reports
Reports that deliver pertinent and useful information to help management ensure the institution is adhering to FFIEC regulatory policies and procedures and to meet the needs of regulators and examiners expectations.
Documentation
Dedicated account managers and experts who understand the financial industry’s regulatory requirements and overall best practices. The Account Manager should deliver compliance-focused Quarterly Control Self-Assessments and Annual Systems Reviews as recommended by the FFIEC as well as provide ongoing strategic planning, technical consulting and participation with your technology committee meetings.
Compliance Guidance
IT regulatory assistance by experts who can be available for IT audit and examination support. Working together pre and post audit/exam, this team prepares banks and credit unions for audits/examinations and can assist the financial institution with any findings.
Educational Webinars and Education
Continuous education and webinars on recent trends and changes in technology and compliance provide financial institutions with a forum where they can learn and interact with subject matter experts and banking peers.

Eliminating the burden of IT network and workstation management, security and regulatory compliance enables your institution to focus on strategy and customer care and have peace of mind in knowing your institution is safe from cybersecurity threats and in compliance with government regulations.

Dispelling 5 IT Outsourcing Myths within Financial Institutions

Learn why five of the most commonly believed “facts” about IT outsourcing within community financial institutions are actually myths.

31 Oct 2013

Uncategorized Safe Systems 0 comment

A Closer Look at the OCC’s New Rule on Third-Party Risk Management

Matt Gunn, Managing Editor | TechComply

You can’t outsource responsibility, or so the adage goes. The Office of the Comptroller of the Currency reinforced the notion with its updated risk management guidance on third-party relationships.

Under the new guidance, financial institutions face new or increased scrutiny relating to their relationships — contract or otherwise — with outside partners. As the OCC’s press release points out, using a third party doesn’t ease the responsibility of the financial institutions, its board or its management when it comes to ensuring safe and compliant banking.

“We have concerns regarding the quality of risk management on the growing volume, diversity, and complexity of banks’ third-party relationships, both foreign and domestic,” Comptroller of the Currency Thomas J. Curry said in a statement. “This guidance provides (more…)

04 Mar 2011

Uncategorized Safe Systems 0 comment

Extending the Life of Your Hardware: Best Practices for Reducing Risk

Jay Butler, Senior Technical Consultant — The economic circumstances of the last several years have forced most of us to make some difficult financial choices in both our personal and professional lives. Our financial institution clients have been faced with shrinking IT budgets that have had a major impact on how IT is managed. Some very innovative solutions have emerged to help reduce IT expenses and set the stage for future savings. IT expenses have also been reduced through some necessary tough decisions that involve increased risk. One trend I’ve noticed over the last several years among our clients is the choice to keep hardware longer than has been customary. With less money in the budget and higher priority requirements elsewhere, hardware has taken a back seat in many cases out of necessity.

For those who must endure the risks associated with keeping older and older hardware, I have a few recommendations to help reduce the risk:

(more…)

03 May 2010

Uncategorized Safe Systems 0 comment

5 Keys to an Effective Disaster Recovery Strategy

Curt Frierson, Chief Technology Officer

A guide to overcoming the traditional obstacles while cutting costs.

Current Disaster Recovery Landscape

Real-world disasters over the past few years such as Hurricanes Katrina, Ike, and Rita have created an increased focus on the issues of disaster recovery (DR) and business continuity for financial institutions and have led to increased regulatory scrutiny in these areas. Faced with this growing demand, most institutions have at least documented a disaster recovery plan. Although this is a step in the right direction, having a documented plan does not necessarily mean that your institution could recover effectively from a major disruption, much less be able to continue operations through the disaster. The simplest way to measure your current disaster preparedness is to ask the following question:

“Do you have complete confidence in your institution’s ability to recover from a disaster?”
(more…)