A version of this content was first published here in October 2023
Strong cyber security is essential to protect both you and your customers, especially in a world of e-commerce and online shopping. In this article, you'll learn how a cyber security policy can help to protect your reputation and your bottom line.
What are the impacts of a cyber-attack?
Cyber threats can be detrimental. From losing customer data to systems being made unavailable, there are a range of impacts a cyber-attack can have on your business. You should be aware of the potential financial damage a cyber incident can have, as well as the time it takes to recover.
Possible damage to your business could include:
- Losing money or data
- Cost of implementing new measures
- Staff time taken up responding or being unable to work
- Wider business disruption
The more secure and robust your cyber security and cybersecurity policies really are, the smaller this impact will be.
What is a cyber security policy?
A cyber security policy provides working guidelines for how your online systems and software should be used to minimise cyber security risks. It helps everyone in your business to understand the processes you have in place to protect your company, data and digital assets.
Your cyber security policy should cover lots of areas, including:
- The measures you’ve put in place to minimise threats
- What data will be backed up and how you will manage this
- Best practice processes, such as what you should or shouldn’t do
- The different responsibilities your employees have
Your policy may include expectations on using social media at work, rules for using emails, password policy or guidance for safeguarding data.
Benefits of a cyber security policy
Here are eight benefits of a cyber security policy for small businesses, and why it should be thorough, up-to-date and fit for purpose.
1. Reduce your potential costs
Cyber-attack and data breach costs can soar into the thousands, even for smaller businesses. A recent government survey estimates that the average costs are over £3,000 per incident. So, having the right procedures in place not only helps to prevent a breach in your business, but it also protects your bottom line.
2. Keep staff trained
It’s estimated that 43 per cent of data losses are caused by internal factors - half of which are accidental. Training your employees and making them aware of cyber security best practices through your cyber security policy is vital. Whether it’s being aware of malicious emails, unknown attachments or best password practices, make sure they’re in the know.
3. Protect your reputation
It’s all too common to see headlines where large organisations have had data breaches, often resulting in millions of customers’ details being leaked online. But data breaches can impact a smaller businesses reputation too. Whether it’s customers or shareholders, everyone wants reassurance that you’re handling their data securely, and your policy can support this.
Many small businesses think that they are too small to be a target of malicious software, but this simply is not the case; threat actors target businesses of all sizes to profiteer from weak cyber security or poor processes, and the reality is that loss of data or inability to traded will impact your reputation and brand
4. Avoid legal action
You may find yourself facing legal action if you’re the victim of a data breach and you didn’t have adequate cyber policies put in place to help prevent it. Although having cyber insurance can help you in this situation, a comprehensive security policy can make it less likely in the first place. With good staff training and rigorous procedures, you can minimise the risk of claims against your business.
5. Safeguard sensitive data
All companies should be vigilant when it comes to security, but if you’re dealing with large amounts of sensitive customer data, it’s even more important to stay secure.
From names and addresses to phone numbers and emails, you should:
- be aware of the data you're handling.
- stay compliant with data protection.
- ensure your policy outlines how data will be kept secure.
Avoiding data breaches is key to complying with UK GDPR. The Information Commissioner's Office (ICO) explains the impact of a personal data breach on data protection regulations, and you can read our guide to UK GDPR for small businesses.
6. Don’t miss sales
When you’re running a business, the last thing you want is for your website or other important systems to go down, leaving you unable to transact. Having the right measures in place can help to protect you from losing out on sales if your website is compromised.
7. Stay updated
The world of technology is constantly evolving, with new programs and apps appearing all the time. Keeping your cyber security policy up-to-date and checking it regularly will help you to maintain best practices in your business.
8. Quicker recovery
If you suffer from a breach, it’s easier to recover from the damage if you can quickly identify the problem, know what went wrong and tighten your security. You may need to invest in more staff training or update your guidance on installing software.
Having a solid cyber security policy in place will also help to limit the impact on your business, meaning you can get back on your feet much faster.
Employee Handbook essentials table
Creating an employee handbook is essential for setting expectations, fostering a positive workplace culture, and ensuring legal and regulatory compliance. The table below outlines the key sections every SME employee handbook should include, along with why they are important for both employees and employers.
| Section | What to include | Why it's important |
|---|---|---|
|
Company Policies |
Equal opportunities, health and safety, workplace diversity. |
Ensures compliance with employment laws and promotes a positive workplace culture. |
|
Code of Conduct |
Expected behaviours, dress code, disciplinary procedures. |
Sets professional standards and clarifies consequences for misconduct. |
|
Employment Terms |
Working hours, overtime policies, holiday entitlement, termination conditions. |
Provides transparency and reduces misunderstandings. |
|
Benefits and Compensation |
Salary structure, bonuses, pension schemes, childcare, wellness programmes. |
Ensures clarity on entitlements and motivates employees. |
|
Grievance and Complaints |
Steps for resolving workplace disputes or complaints. |
Builds trust and ensures professional handling of issues. |
|
Data Protection and Confidentiality |
GDPR compliance, management of employee and client data. |
Demonstrates responsible handling of personal information. |
|
Remote and Hybrid Working Policies |
Expectations for flexible working, equipment provision, and remote support. |
Addresses modern working practices and supports employees effectively. |
Types of Workplace Policies
An organisation may adopt a variety of workplace policies to ensure clarity, compliance data integrity, and productivity. Below are some of the most common types:
Health and Safety Policy
A health and safety policy outlines procedures to ensure the wellbeing of employees and visitors. It typically includes risk assessments, employee training, safety protocols, emergency response procedures, and measures for maintaining a safe workplace environment. This policy helps to reduce workplace accidents and ensures compliance with health and safety regulations.
Equal Opportunities Policy
An equal opportunities policy establishes the organisation’s commitment to fair treatment and non-discrimination in hiring, promotions, and day-to-day operations. It may include guidelines for addressing bias, preventing harassment, and creating an inclusive workplace. This policy reinforces the company’s dedication to diversity and equality.
Remote Work Policy
A remote work policy specifies expectations and guidelines for employees working outside the office. It often covers areas such as work hours, communication protocols, equipment use, data security measures, and performance monitoring. This ensures productivity and accountability while supporting flexible working arrangements.
Social Media Policy
A social media policy defines appropriate and acceptable use of personal and company accounts to protect the organisation’s reputation. It may outline guidelines for sharing work-related content, using professional language, and avoiding conflicts of interest. This type of policy helps employees navigate online interactions while maintaining professional standards.
Data Protection Policy
A data protection policy details how the organisation safeguards sensitive information, including employee and customer data, to comply with GDPR and other regulations. It includes rules on data storage, access control, and breach response. This policy ensures trust and legal adherence.
Download your cyber security policy template
Dealing with paperwork can be stressful when you’re running a business, especially if you don’t have an IT department with all the technical know-how. FSB members can download a free cyber security policy template from the FSB Legal and Business Hub to enhance their network security.