Abstract
This paper explores approaches for scoring information security risk that could lead to investment drivers and drive appropriate levels of security. Our approach is grounded on two important factors that determine cyber risk: (1) the information security resources (e.g., technologies, skills, and policies) that reduce the likelihood and consequences of successful information exploits; and (2) the security processes and capabilities that drive a continuous improvement of the security resources in use. The quality of a cyber defense system is the result of the integration of these two factors. This manuscript proposes such a two-factor hierarchical system of scoring, details candidate measures, and explores economic conditions for selecting appropriate measures. We review several scoring systems available that contain elements from this proposed system and discuss conditions for market adoption of information security scoring.
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