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Security _ PCI Compliance - Vicitude

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Vicitude Client

Breakfast

November 2008

Volume 1 Issue 1

V i c i t u d e B u s i n e s s S o l u t i o n s ( P t y ) L t d , 3 H o h e i z e n P a r k , H o h e i z e n C r e s c e n t , Be l l v i l l e , 7 5 3 0

| w w w . v i c i t u d e . c o. z a | + 2 7 2 1 9 1 3 8 3 4 4 |









Security & PCI Compliance

Bernard Peacocke

INSIDE THIS ISSUE

High-profile data breaches continue to spotlight the growing risks consumers face

1 Security & PCI Compliance of identity theft and credit card fraud. Four highly visible data breaches disclosed

in the last 18 months are particularly worrisome because they show a systemic

1 Service Orientated failure in the procedures that both the public and regulatory agencies expect

Architecture & Integration companies to get right.



4 Systems, Network and

Infrastructure Management One notorious incident involved retail giant TJX. In that case, hackers stole

some 46 million credit and debit card numbers when they accessed the

6 Industry Skills Shortage computer systems at two TJX corporate hubs over a period of several years. By

some estimates, the intrusion was the biggest breach of personal data ever

reported.

Please see Security & PCI Compliance on page 2







Service Orientated Architecture &

Integration

Neville Nightingale



It is the same old story, business is changing at an ever-increasing rate and IT is

struggling to keep up.





Some of the most important reasons for IT’s lack of ability to keep up are:

 IT applications are continually evolving to meet the demands of the

changing business and in the process are becoming more complex

 Legacy applications have and are being integrated with each other and

with newly developed applications, leading to not only more complex

applications but also making the applications more dependent on each

other. Thus changing a single application is often causing a “ripple effect”

necessitating changes to many related applications

 This is all happening in a time when there is a chronic critical shortage of

IT skills, which is getting worse rather than better.



Please see SOA & Integration on page 4

We have found that in many cases business growth is in fact being hampered by

the lack of the IT systems’ ability to keep up with the demand for change.

Businesses are starting to look towards implementing a Services Orientated

Architecture (SOA) to help make them more “change agile”, by:

Page 2 Vicitude Client Breakfast





Security & PCI Compliance from page 1

Merchants wanting to continue accepting credit or

debit card payments, regardless of their transaction

TJX officials reported that unauthorised software

volume, are required to meet the PCI standard. Failure

placed on its Computer systems stole at least 100 files

to comply may result in substantial fines or permanent

containing data on millions of accounts from systems

expulsion from card acceptance programmes.

that process and store transaction information there.

TJX officials believe the hackers were able to steal

payment card data from one system as transactions To accomplish this difficult task requires more than a

were being approved. once-off risk management project. It requires an

organisation to run an initial compliance audit to

identify and eliminate its current vulnerabilities.

In my investigation I have spoken to a number of

senior IT & Business people. Based on their

experience I have identified a number of key areas Thereafter it needs to continually audit its systems,

that should be addressed by companies. processes and infrastructure for new vulnerabilities

and resolve them as they occur.

The following quotes illustrate these:

• Security is about more than denial of service

This is a resource intensive task and is best done via

attacks or the latest worm variant, and

automated compliance tools that operate seamlessly

compliance is about more than a “check the

in the background and only require human intervention

box” process.

in exceptional circumstances.

• Sensitive Data Differs by Industry. Everybody

has it and it has value! However PCI is just one of many compliance

• Fraud is costly and becoming more pervasive standards – there are also compliance such as

SOX (Sarbanes-Oxley), IT Governance, ISO, etc.

• PCI Compliance is a crucial requirement for all

merchants to avoid fines by the Payment Card

Industry And what about other security risks? What about

things like viruses, malware, data breaches and

• Our industry has a requirement to create a set insider threats?

of security standards to protect their

customers from security breaches and identity

threat David Perry, Global Director for Trend Micro:

"Back in 1990 we were seeing a handful of new

Horror stories of companies carelessly losing viruses each week. Now, we're having to analyze

thousands or even millions of records containing between 2,000 and 3,000 new viruses per hour."

customers’ credit card information will soon be a thing

of the past. A new compliance standard, designed by So, “Blacklisting”, i.e. trying to identify and close down

Visa and MasterCard, and endorsed by other card “bad” applications, services, malware, etc. is becoming

giants, now forces merchants that retain clients’ increasingly difficult:

personal information to efficiently safeguard the

information.

Dave DeWalt, CEO, McAfee:

“Blacklisting - where vendors compile lists of known

The Payment Card Industry (PCI) Data Security malware - has become technically unfeasible. As

Standard creates a common industry security standard blacklisting becomes increasingly difficult, whitelisting

that effectively eliminates the possibility of careless or holds promise.”

malicious loss of information.

Vicitude Client Breakfast Page 3





Security & PCI Compliance continued from page 2





SO WHAT IS WHITELISTING?





Application Whitelisting is a new way for enterprises to secure and control their

desktops, laptops and servers. It provides IT an efficient mechanism to identify and

control applications such that only programs that have been given permission to do

so can run. Thus, no malware can even start up. No home downloaded setup.exe

can create an imbalance in IT’s carefully crafted and stable standard workstation

“I’ll be chasing

configuration!

my tail forever

trying to block

JohnThompson, CEO, Symantec: every one of

those things“

“... additional investments in identity management and whitelisting technologies in

an attempt to better manage user behavior and data. I'll be chasing my tail forever

trying to block every one of those things. ” .





Mark Bregman, CTO, Symantec:

“If the trend continues and bad programs outnumber good ones, then scanning for

legitimate applications (whitelisting) makes more sense from both an efficiency and

effectiveness perspective. Eventually, a comprehensive whitelist of legitimate

software may be as close to a silver bullet as one can hope to find – one that best

serves the evolving security needs of the growing cyber community.”





John Stewart, CSO, Cisco: “Whitelisting is

the next

"I am not so sure that we can get to a place of feeling confident in our infrastructure generation of

without doing whitelisting. Whitelisting is the next generation of defense“ defense“



The best approach is to control, not only what software runs, but also devices (like

memory sticks) so that only what is TRUSTED runs.





For example, a call-centre manager interviewed expressed concern due to high

staff turnover because the more semi-skilled workers and “new-hires” one has in

such an environment, the greater the chance of one of them stealing confidential

client information (copying it onto a flash drive) and selling it. E.g. bank call

centre... Identity theft is becoming rife!









THE GOOD NEWS IS ...

Vicitude has excellent solutions

to help you

to address all of these.

Page 4 Vicitude Client Breakfast



SOA & Integration from page 1 The net result of this is that IT is getting more and more

agile in its ability to meet the demands of rapid business

This approach should help reduce the time taken for IT process change. The further IT travels down this path

to implement changed business processes. Changes the more agile it becomes.

to IT systems should not involve too much of

developing new, or changing existing applications, but

rather the “stringing together” of existing re-usable IT

Systems, Network and

services to implement the changes of new business Infrastructure

process. We can think of this as a Services Orientated

Integrated (SOI) approach to IT application coupling. Management

This means that:

 Re-useable business services are Bernard Peacocke

implemented by means of re-useable IT

services The majority of Vicitude staff have their roots in

Systems Management. As one of our colleagues

 Re-usable IT services are integrated in such a once said: “We manage stuff – with other stuff”

way that they:

o Each perform their designated service

without being interested or even Systems Management addresses the alignment of

aware of the other IT services Business and IT.



o The integration layer acts as a “postal

service” fetching and carrying Business has the job of making revenue targets and IT is

business information between the a tool set that, when implemented and managed

services. correctly, allows business to achieve their goals.

The challenges today with the ever increasing demand

BUT, what about the large number of existing on IT to deliver more and more are:

applications that are currently supporting the business  The lack of IT skills

processes? In most cases they are not re-useable IT

services and they are already integrated in a way that  Using expensive IT skills to manage minor tasks

makes changing them difficult and time consuming.  The lack of integration

 The lack of a structured approach

Vicitude has a team of SOI specialists that have, for a

number of years, helped businesses de-couple their

traditionally integrated IT applications and implement In terms of IT Asset Management (desktops, laptops,

SOI based technologies. This is normally achieved servers and software)

with the minimum amount of, and often without any,

change to existing applications.

I interviewed a number of CIO’s. Very few of them were

able to confidently claim that they have a cradle-to-grave

The results of this is that IT shops find that due to the approach to management of IT assets.

fact that individual applications may be more easily

changed/replaced without the so-called “ripple effect”:

Thus, the most serious short-coming of most

 Changes to applications are much quicker and organisations I visited was an absence of clear

less error prone processes backed by supporting work-flow procedures

 Applications can be more easily re-engineered and solutions in order to consistently manage the life of

into, or replaced with, “re-usable business IT IT assets from date of order to disposal.

services”



Please see Systems, Network & Infrastructure

Management on page 5

Vicitude Client Breakfast Page 5



But, secondly,

Systems, Network & Infrastructure Management

from page 4 Speaking to CIO’s and other high levels of management,

they say their biggest concern is with a viable

implementation of the ITIL set of best practises. To them

This inconsistent approach to IT asset management “IT is the business and the business is IT”. According to

leads to a huge loss in terms of Return on Investment in Network World “Forrester Research conducted a survey

IT Assets. which showed that IT management rated problem

management and service-level management as the top

two management areas in importance”

My investigations into systems, network and

infrastructure management identified two significant

levels of requirement: A service monitoring solution must be able to monitor the

performance of a service end-to-end. It is necessary to

move away from a silo view of the IT infrastructure.

Firstly,

Network administrators are interested in having a very

This they claim is much more than the ability to hook

graphical view of the network topology that not only

together monitoring of a certain database and its

allows them to quickly identify a fault with a link, a switch

supporting server, and with this portion of the network

or a router, but also to be able to perform bandwidth

and that application. True service monitoring involves

management, splitting network data in order to identify

understanding the inter-dependencies between

the usage of the network by specific applications

applications and network devices and using the

whereas

knowledge of these inter-dependencies to determine

where the bottlenecks involved in supporting the service

may lie.

Database administrators are concerned with database

performance issues –speed of data access -

benchmarking, SQL Tuning capabilities, Space &

Thomas Mendel, Principal Analyst at Forrester

capacity management, locks and data contention. They

Research: “What’s most important is being able to

not only need graphical tools that give in-depth

describe a service in meaningful terms to the user,

monitoring & reporting on databases, but also solutions

discover all the elements needed to deliver the service,

that can hone in on performance of SQL within an

measure service quality and deal with exceptions and

application. The aim is to push new applications into

breakdowns”

production faster, without having to waste time, down-

the-line with performance issues with production

applications that have poorly written SQL.





Of all the IT professional I interviewed for this report, the

ONCE AGAIN THE GOOD NEWS IS ...

requirements that are common to all of them, are:

 Tools that can automate the correlation and

diagnosis process so that very little human Vicitude has excellent solutions to

intervention is necessary help you to

 Automatic root-cause analysis and base-lining – address all of these.

getting away from solutions that are time and

skill intensive

 Solutions that are cost-effective; easy to

implement and maintain

 Having a consistent interface (for example same

tool for Windows vs Unix monitoring).

 Supporting current and future

applications/devices; easily extensible





But, secondly,

Speaking to CIO’s and other high levels of management,

Page 6 Vicitude Client Breakfast





Industry Skills Shortage What do we need to do?

Gerhard van Rensburg

The IT industry has to work together to address this

The Scenario problem as it is only getting worse.



The unemployed are becoming younger. Young We need to engage with educational institutions and

adults under 35 years account for 75.7 per cent of help them understand the type of training that is

the change in unemployment between 1995 and needed.

2005. This is a very worrying trend as young people

Vicitude has resources with specialist skills who are

may become disillusioned, and as a result skills may

good at mentoring new employees and recruits from

be leaving the country causing an erosion of local

the market place. We can offer “learnership”

skills. opportunities for youngsters coming out of learning

institutions, but we need to do it in partnership with

There are many graduates, but there is a huge lack our clients as we “need” their projects as vehicles

of skills. Firms, policymakers and government agree to train these students.

that skills shortages are probably the most important

obstacle to accelerated growth in South Africa. We want to engage with our clients in terms of their

future plans regarding skills required so we can

position ourselves and recruit appropriate resources

A recent online article entitled “SA has the worst in time to be able to service these needs.

skills shortage” referred to a study by Productivity

SA and the 2007IMD World Competitiveness Vicitude also recommends that on-site training at

Yearbook. The results stated that the country has companies be made us of rather than sending

the highest brain drain and worst skills shortage of employees away for training, as the training is much

55 countries studied. more hands-on and “real”.



Corporate South Africa continues to lament the skills

shortage and the impact on future growth. Yet

thousands of youth graduate from colleges and

universities annually and cannot find positions in the

market place.



Another Survey done recently showed that there are

as much as 70,000 IT vacancies in the country. The

“Brain drain” is only part of the cause.



Youngsters are not interested in following a technical

study path but rather go for the legal, financial, Vicitude Business Solutions (Pty) Ltd

medical fields of study. This results in very little “new 3 Hoheizen Park

blood” entering the IT market. Hoheizen Crescent

Bellville, 7530

“Multi-tasking” is a very common occurrence in IT Phone:

departments of organizations i.e. the same resource +27 21 913 8344

having to do 3 different jobs instead of specializing

Fax:

and focusing on one. This makes them very +27 86 662 8106

marketable and “poachable”. If they leave the

company it’s even more difficult to find someone with Web:

www.vicitude.co.za

that combination of skills to replace them.



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