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Biometric, Smart Card Use Increases

August 01, 2006

By Jamie McAfee
MortgageBankers.org

Information security continues to be one of the hottest topics for businesses. In several recent surveys regarding security, technology such as smart Cards and biometrics are gaining in popularity as more companies look beyond U.S. borders.

According to a survey released by the San Francisco–based Computer Security Institute and the FBI, the volume of IT security work being offshored this year remained low. The survey results related to outsourcing are similar to those reported in the last two years and indicate very little outsourcing of information security activities, the Computer Security Institute said.

Sixty-one percent of respondents said that their organizations do not outsource any computer security functions. Among those organizations that do outsource some computer security activities, the percentage of security activities outsourced is rather low, the survey said.

In addition, the percentages of companies that outsource security increased with company size. The survey found that 8 percent for organizations with revenue under $10 million, 12 percent for those with revenue between $10 million and $99 million, 13 percent those with revenue between $100 million and $1 billion, and 15 percent those with revenue over $1 billion represented larger percentages than the corresponding percentage found in its 2005survey (4 percent, 8 percent, 7 percent and 9 percent, respectively), according to the results.

However, security is still a high priority especially with increased reports of information losses. A survey of homeland security professionals conducted by the ChangeWave Research, Rockville, Md., a surge occurring in everyday use of Smart Cards and Biometric ID systems.

Security usage continues to increase; nearly four in 10 respondents said their company now uses a Smart Card or Biometric ID system in the workplace—9 points higher than a previous ChangeWave survey conducted in April 2005. Of the technologies used Contactless Proximity Access Cards were used by 52 percent of the respondents, and Standard Swipe Cards at 35 percent were named as the dominant systems in the workplace.

Many mortgage industry analysts report that these types of systems are used in many processing operations in India. Precautions getting onto the processing floor along with other security measure are employed. According to the Computer Security Institute's survey, the majority of the organizations view security awareness training as important. An increase in the respondents’ perception of the importance of security awareness training was noted. On average, respondents from most sectors do not believe their organization invests enough in this area.

“This year's survey — coupled with results from recent years — suggests that the news within the enterprise security perimeter is good. Respondents tell us that they are keeping their cybercrime losses lower,” said Chris Keating , CSI director. “At the same time, our economic reliance on computers and technology is growing and criminal threats are growing more sophisticated, so we shouldn't overestimate our strengths. The security professional’s role is imperative within U.S. companies—they are asked each and every day to address the constantly evolving threat.”

Regardless of measures an organization may take to protect its systems using technical computer security measures such as the use of passwords, biometrics, antivirus software, and the like, there will be risks of financial loss that still remain.

Looking ahead, industry respondents see new solutions headed toward market such as Fingerprint IDs and Advanced ID Cards are seen as the leading technologies in this expanding arena. “Not only are they considered the most technologically advanced, but Fingerprint IDs and Advanced ID Cards are seen as best suited to meet current market needs and attract the most spending over the next 12 months,” the survey said.

ChangeWave surveyed nearly 600 professionals working for companies providing homeland security products/services or who are knowledgeable about the industry.