Surviving and Thriving in the Digital Economy

Cyber-crime is growing exponentially and Canadian governments at all levels have not kept pace quickly enough to protect both themselves and private enterprise. Evolving technology allows for ever-more sophisticated cyber-threats to intellectual property, but some businesses and governments have neither changed their pre-internet thinking nor established adequate safeguards.Protection should start with educational campaigns about the scope and varieties of risk that permeate the private sector, e-commerce and smart cities using the internet of things. Thirty years ago, just 32 per cent of the market value of Standard & Poor’s 500 companies was based on intangible assets, mainly intellectual property. Today, that figure stands at 80 per cent and protecting those assets from cyber-crime is of vital importance.While cyber-criminals look to make money off of phishing scams, their interests have also extended to infiltrating proprietary industrial designs, resource management and information affecting acquisitions. The fact that some countries see this type of crime as a normal way to gain access to foreign business information is often poorly understood by Canadian businesses accustomed to functioning under much higher ethical standards.The e-commerce realm faces its own cyber-threats including those affecting privacy, data sovereignty, location of data centres, data security and legislation. E-commerce merchants must protect themselves by ensuring the security of their clients’ computers, communication channels, web servers and data encryption. It sounds daunting, but it shouldn’t be. Merchants can take steps such as doing risk assessments, developing security policies, establishing a single point of security oversight, instituting authentication processes using biometrics, auditing security and maintaining an emergency reporting system.Government can assist with cyber-security in Canada’s private sector through awareness campaigns, rewarding businesses for best practices, providing tax credits to offset the cost of security measures, and offering preferential lending and insurance deals from government institutions.The federal government’s 2015 Digital Privacy Act was a good first step, but there is much territory left to be covered. The act offers little assistance in making the leap from a pre-internet governmental model of doing business with the private sector. Nor does it acknowledge the full costs organizations must face when contemplating improving their cyber-security. The growth of smart cities, connected to the internet of things, creates new susceptibilities to cyber-crime. By 2021, there will be approximately 28 billion internet-connected devices globally and 16 billion of those will be related to the internet of things. However, smart cities appear to be low on the list of cyber-security priorities at all levels of government. There is a lack of local guidance and commitment, an absence of funding programs and tax incentives for risk-sharing arrangements, and nothing in the way of a federally initiated smart-cities strategy. The key to keeping ahead of the cyber-criminals is to recalibrate our understanding of the threats accompanying the technology. New ideas, new economic policies, new safeguards, new regulations and new ways of doing business will all help to keep Canada safe in the burgeoning knowledge economy

Methodology for Designing Decision Support Systems for Visualising and Mitigating Supply Chain Cyber Risk from IoT Technologies

This paper proposes a methodology for designing decision support systems for visualising and mitigating the Internet of Things cyber risks. Digital technologies present new cyber risk in the supply chain which are often not visible to companies participating in the supply chains. This study investigates how the Internet of Things cyber risks can be visualised and mitigated in the process of designing business and supply chain strategies. The emerging DSS methodology present new findings on how digital technologies affect business and supply chain systems. Through epistemological analysis, the article derives with a decision support system for visualising supply chain cyber risk from Internet of Things digital technologies. Such methods do not exist at present and this represents the first attempt to devise a decision support system that would enable practitioners to develop a step by step process for visualising, assessing and mitigating the emerging cyber risk from IoT technologies on shared infrastructure in legacy supply chain systems

Scenarios for the development of smart grids in the UK: literature review

Smart grids are expected to play a central role in any transition to a low-carbon energy future, and much research is currently underway on practically every area of smart grids. However, it is evident that even basic aspects such as theoretical and operational definitions, are yet to be agreed upon and be clearly defined. Some aspects (efficient management of supply, including intermittent supply, two-way communication between the producer and user of electricity, use of IT technology to respond to and manage demand, and ensuring safe and secure electricity distribution) are more commonly accepted than others (such as smart meters) in defining what comprises a smart grid. It is clear that smart grid developments enjoy political and financial support both at UK and EU levels, and from the majority of related industries. The reasons for this vary and include the hope that smart grids will facilitate the achievement of carbon reduction targets, create new employment opportunities, and reduce costs relevant to energy generation (fewer power stations) and distribution (fewer losses and better stability). However, smart grid development depends on additional factors, beyond the energy industry. These relate to issues of public acceptability of relevant technologies and associated risks (e.g. data safety, privacy, cyber security), pricing, competition, and regulation; implying the involvement of a wide range of players such as the industry, regulators and consumers. The above constitute a complex set of variables and actors, and interactions between them. In order to best explore ways of possible deployment of smart grids, the use of scenarios is most adequate, as they can incorporate several parameters and variables into a coherent storyline. Scenarios have been previously used in the context of smart grids, but have traditionally focused on factors such as economic growth or policy evolution. Important additional socio-technical aspects of smart grids emerge from the literature review in this report and therefore need to be incorporated in our scenarios. These can be grouped into four (interlinked) main categories: supply side aspects, demand side aspects, policy and regulation, and technical aspects.