A Weekend in Incident Response #24: Department of Defense Contractors Required to Comply with New Cyber Incident Reporting Rules

Posted byDario Forte - 07th Apr 2017
Department of Defense Contractors Required to Comply with New Cyber Incident Reporting Rules

Critical infrastructure is always a common target of cyber criminals. Similar to other countries, the Department of Defense (DoD) is a crucial part of the critical infrastructure in the United States, and as such, it is often exposed to various types of cyber attacks. Not only the Department itself, but its contractors are also under various cyber security threats. That is why the DoD is tightening up the requirements related to the cyber security of its contractors and subcontractors, in an effort to prevent cyber attacks on some of the key components of the nation’s critical infrastructure and protect classified information that is of major geopolitical and strategic importance.

As part of those efforts, the DoD issued a Final Rule aimed at better protecting covered defense information, applying to the Department’s contractors and subcontractors, in October of 2016. Most notably, the final rule revises the “Cloud Computing Services” and the “Safeguarding Covered Defense Information and Cyber Incident Reporting” clauses, referring to the way how contractors and subcontractors are required to handle covered defense information and report cyber incidents to authorities.

How Can Contractors Overcome the Challenges Involved in Mandatory Compliance with These Regulations?

As soon as the final rule was announced, many contractors doing business with the DoD expressed their concerns that the companies included in their supply chain will not be able to achieve full compliance with it before the December 31, 2017 deadline. Their grievances had to do with the clauses requiring contractors and subcontractors to notify the Department of Defense of a cyber security incident within 72 hours of it occurring, as well as some processes related to investigation and documentation of incidents.

The problem that the contractor and subcontractor communities have with these clauses is that they are expected to incur significant additional expenses for their businesses and require hiring additional human resources.

Avoid Increased Costs and Save Time with Just One Incident Response Platform

While the concerns that contractors have expressed regarding this rule are well founded, there are solutions that could help them avoid those potentially significant costs increases, while still ensuring complete compliance with these strict regulations.

One of the possible solutions is utilizing an automation-and-orchestration platform, providing complete case management for cyber security events. By using such a platform designed for fast and effective incident response, contractors and subcontractors will be able to notify authorities of any incident they detect in a timely manner, and collect and keep the required documentation that is required in the later stages of a future investigation.

Incident response platforms can track digital evidence for forensic investigation, along with keeping track of all actions taken by an organization’s cyber security team during an incident response process. On top of that, they can automatically create incident reports containing information that allow your cyber security teams to assess the current status of an incident, what has caused it, and the scope of the damages. With this capability, organizations can have a peace of mind that they will always be covered in case they suffer a cyber security breach. Understanding that they could now rely on an incident response platform to take care of the reporting and notification requirements included in the Department of Defense’s final rule on safeguarding covered defense information and cyber incident reporting.