Anova Paper

1145 words - 5 pages

AbstractTeam B will examine a study on the expenses accrued by 31 organizations that lost confidential consumer information and had a regulatory requirement to notify publicly the individuals affected. This paper will begin by describing the research issue and the data included in this study. Then Team B will perform an ANOVA and interpret the concluded results. Finally we will discuss the resulted impact on the organizations as a whole.INTRODUCTION AND DESCRIPTIONWith the increase over the last several years of identity theft and other forms of confidential information crimes the requirement for businesses to be held accountable for customer's personal information has become increasingly important and necessary. Customers deserve protection for their personal information and company's should be held accountable when that personal information is lost, stolen or otherwise obtained and used, not for it's intended purpose, but for the ill-gotten gain of an unknown or unwanted entity.This study from the Ponemon Institute, "examines the costs organizations incur when responding to data breach incidents resulting in the loss or theft of protected personal information" (Ponemon Institute, 2007). Data loss incidents are becoming more frequent according to the Privacy Rights Clearinghouse; "Since February, 2005 they have identified more than ninety-three million records of United States residents have been exposed dues to security breaches" (Ponemon Institute, 2007). Data loss incidents are not specific to a particular industry or sector and have the potential to impact virtually anyone. This study from the Ponemon Institute has identified several key findings during their study ranging in emphasis from total costs incurred by a company who experienced a data loss or information security breach to loss of productivity for those companies that now must reallocate resources from employees diverting them from their regular tasks to tasks related to the data loss incident. Other findings included the cost associated with implementing new or updated IT preventative security measures as well as overall total cost for the entire data loss incident.This study not only focuses on the factors precipitating a data loss incident, the financial and market share consequences, and the costs and results included therein but it also looks at the corporate response responsibility level to such incidents both regulated and independent and the impact customer notification, compensation, and other acts of reimbursement have on the public.Pomenon acknowledges that many of the losses of personal information that companies encounter are IT-related and often include such incidents as stolen laptops or compromised emails. In many states a company's responsibility to notify customer of a security breach of their personal information is dependent upon the IT security measures that company has in place. Measures such as 128-bit encryption or whether the data was originally considered...

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