Benefits of ISO 27001 for cloud service companies

Written by Ivar van Duuren

June 19, 2023

security island

In these modern times when businesses and organizations depend on technology, information security is essential. Cloud service companies deal with large amounts of sensitive information stored in the cloud. It is therefore important that they ensure that this information is secure and cannot be stolen or lost.

To achieve this, many cloud service providers have chosen to implement the ISO 27001 standard. After all, this is often required in (government) tenders and procurement. Moreover, ISO 27001 certification helps build stakeholder trust.

But what exactly does this standard entail? And what are the benefits of implementing it for cloud service companies?

What is the ISO 27001 standard?

The ISO 27001 standard is an international standard that focuses on information security. This standard contains requirements for establishing, implementing, maintaining and continuously improving an Information Security Management System (ISMS). Its purpose is to ensure the confidentiality, integrity and availability of information through risk management.

ISO 27001 covers various aspects such as policies, procedures, guidelines, controls and other measures to ensure security. An important part of this is conducting risk assessments to identify vulnerabilities that could lead to unauthorized access to data.

Also read: Tips for creating information security policies

Why is information security essential for cloud service companies?

Cloud service providers have access to vast amounts of their customers’ personal and sensitive information. It is therefore essential that they ensure that this information is secure and cannot be stolen or lost.

When information is stored in the cloud, there are several risks that can occur. One of the biggest risks involves a cyber attack. Hackers then try to gain access to data through phishing emails, malware attacks or other forms of hacking.

In addition, errors in software development sometimes lead to security breaches. This then results in accidentally opening up access to personal data to unauthorized parties.

Another risk faced by cloud service companies is the loss of data due to technical failures, natural disasters or human error. Consider a major fire, the electricity going out or the sharing of login credentials.

Examples of companies offering cloud services are:

  • Software as a Service (SaaS)
  • Hosting services
  • Telecom, VOIP and videoconferencing
  • Platform as a Service (PaaS)
  • Netwerkarchitecture and maintenance
  • Co-locating services
  • Infrastructuur as a Service (IaaS)

Benefits of ISO 27001 certification for cloud service companies

Implementing the ISO 27001 standard for a cloud service company can be challenging. To help you assess whether ISO 27001 certification is worthwhile, here we give you the benefits of ISO 27001 certification for cloud companies.

1. ISO 27001 certification and cyber attacks

Cyber attacks are a reality today and any organization can be affected by them. However, cloud service providers have the added risk of having access to a large amount of customers’ confidential data, making them an attractive target for hackers. Having ISO 27001 certification means that procedures and protocols are already built in to deal with such attacks.

Implementing the requirements from the ISO 27001 standard allows you as a cloud service provider to proactively protect against potential threats through risk management plans and procedures. This means that your organization regularly checks itself for potential vulnerabilities or weaknesses in its infrastructure. And then addresses these before malicious actors take advantage of them. This way, you prevent breaches. And if they do occur, you can respond more quickly and effectively to limit the damage.

2. ISO 27001 certification and security breaches

Even though cloud service providers are often very aware of security risks, it can happen that a security breach occurs. In such cases, it is important to respond quickly and effectively to prevent further damage. ISO 27001 certification ensures that a plan exists for how everyone should handle such a situation and that all employees know their role in this process.

In addition, the standard has requirements for reporting and communication procedures, making timely notification of all relevant parties better and faster. This sometimes makes just the difference in restoring trust with customers by being transparent about the situation and the actions you take.

3. ISO 27001 certification and technical failures

Cloud service providers depend on technology that sometimes does not work as expected. A failure can have serious consequences for customers by potentially depriving them of access to their data or systems. By certification to the ISO 27001 standard, you as an organization have thought about and built in protocols for continuity management. We also call this business continuity management. Because of this preparation, plans are already in place for when such problems arise.

This means that, as an organization, you can react more quickly to solve the problem and restore services. Having such a plan in place also helps minimize the impact of outages, so customers are less inconvenienced and can get back to business faster.

4. ISO 27001 certification and natural disasters

There are times when natural disasters such as floods or earthquakes, lead to system failures and downtime at cloud service providers. This can have serious consequences for customers. ISO 27001 certification has requirements for emergency procedures, including emergency continuity management. This is also called emergency management continuity planning. This means that as an organization you have plans ready in case such a situation occurs.

This preparation ensures that you as an organization can respond quickly to emergencies and that services are restored as quickly as possible. By following these procedures, you avoid being disabled for long periods of time or even going out of business altogether.

5. ISO 27001 certification and human error

Human error is inevitable and can have major consequences for cloud service companies. An employee accidentally leaking confidential information or accidentally disabling a critical system component can cause serious damage. ISO 27001 certification ensures that procedures and protocols are in place to mitigate these risks.

By implementing training and employee awareness programs, organizations minimize the risk of human error. In addition, the standard places requirements on access control procedures, meaning that only authorized individuals have access to confidential information. This helps prevent inadvertent or intentional leaks of confidential information.

Conclusion

ISO 27001 certification is thus an important tool for cloud service providers to ensure they meet international information security standards. The certification gives customers confidence that their data is safe with the company and that procedures and protocols are in place to respond quickly to problems. By implementing the ISO 27001 standards, you provide your customers with the best possible service while ensuring the security and protection of their data.

Need help implementing ISO 27001 certification?

Need help taking steps to comply with ISO 27001 certification? ISOPlanner prevents financial and reputational damage by providing an approachable way to help organizations comply with increasingly complex laws and regulations. Start a free trial of our software or contact us, we are happy to help!

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