SECTION A

Read the case study below and answer ALL the questions that follow.

Cyberattack Fears Delay Digitalisation Digitalisation offers game-changing productivity improvements, savings and consumer convenience - but businesses and governments must be properly prepared. The growing speed and scope of digital transformation, along with the increasing number of targetable devices, are creating a 'perfect storm' for cyberattacks. "Effects of an attack can be long lasting and expensive. Large organisations with more than 500 employees in APAC may stand to lose as much as US$30 million in the event of a cyber-breach." As many as three in five businesses in the Asia Pacific (APAC) region have put off digitalisation plans out of fear of cyberattacks, according to the Deloitte Cyber Smart: Enabling APAC businesses report, commissioned by VMware. Some 48 per cent of businesses in the region have experienced security attacks in the past 12 months and as many as 63 per cent have experienced business interruption due to a security breach. Effects of an attack can be long lasting and expensive. According to our report, large organisations with more than 500 employees in APAC may stand to lose as much as US$30 million in the event of a cyber-breach. Threats can also flow beyond individual organisations affected to broader business networks using 'island hopping' tactics. As the digital economy continues to grow in each country, so too does the exposure to cyberattacks according to Duncan Hewett, Senior Vice President and General Manager of Asia Pacific and Japan at VMware. "Being appropriately prepared can mitigate the risks to organisations and minimise the potential costs of an attack," according to Hewett. "Based on what we have seen in the region, businesses with an established cyber security strategy in place have confidence to invest in new technologies which can lead to higher levels of capital investment and productivity growth." The challenge for policy makers is to build a comprehensive legislative framework and environment that protects businesses from cybersecurity risks while allowing them to innovate and maximise the potential of digital technologies.

Deloitte sees interest from government, business owners and vertical experts in building a cyber smart Asia Pacific that we estimate can unlock as much as 0.7 per cent or $US145 billion additional gross domestic product (GDP) growth over the next 10 years. (Source: https://bluenotes.anz.com/posts/2020/04/deloitte-vmware-cyber-attacks-digital-growth-apac).

QUESTION 1

1.1 As stated above, "Effects of an attack can be long lasting and expensive. Large organisations with more than 500 employees in APAC may stand to lose as much as US$30 million in the event of a cyber-breach."

In light of this, advise large organisations with regard to some preventative measures and techniques which may be implemented at these organisations in order to help mitigate harm and prevent such attacks and cyber-breaches.

(20 marks)

1.2 According to the article, "the challenge for policy makers is to build a comprehensive legislative framework and environment that protects businesses from cybersecurity risks while allowing them to innovate and maximise the potential of digital technologies." With regard to this, critically discuss some recommendations which can be taken in order to help reduce cybercrime in the country. (20 marks)

2

SECTION B

QUESTION 2 (20 MARKS)

It is common practice for all businesses to have an effective Software Management Process (SMP) in place in order to effectively manage the quality of the software in the organisation so that it meets its customers' expectations and needs. It is usually advisable to have a written policy and quality objectives in place.

With reference to this, advise all businesses with regard to some of the requirements for an effective software management process as well as the benefits of an effective software management process.

QUESTION 3 (20 Marks)

Outsourcing gives businesses flexibility in staffing, manpower management, helps you save costs and can also pick the best people to run your core functions. (Source: https://www.outsource2india.com/why_outsource/articles/advantages-disadvantages-outsourcing.asp)

Evaluate the above and advise businesses on some of the benefits of outsourcing with regard to Information Technology.

QUESTION 4 (20 Marks)

From a purely South Africa perspective, critically discuss some of the challenges South Africa faces with regard to the reduction and prevention of cyber-attacks in South Africa.

QUESTION 5 (20 Marks)

Although there are several reasons to outsource, there are also disadvantages to the practice such as the risk of losing sensitive data and the loss of confidentiality by outsourcing activities or processes to external parties.

(Source: https://corporatefinanceinstitute.com/resources/knowledge/strategy/outsourcing/)

Analyse the above and advise businesses on some of the negative aspects of outsourcing with regard to Information Technology