The financial sector faces growing threats from cyber incidents, technical failures, and other disruptions that can have widespread impacts on consumers, markets, and the economy as a whole.
The Digital Operational Resilience Act (DORA) addresses these challenges by setting robust digital resilience requirements for financial institutions.
These include measures for ICT (Information and Communication Technology) risk management, incident reporting, data integrity, and business continuity planning.
Achieving DORA compliance is not solely a technical endeavour; it also relies heavily on well-informed, vigilant staff who can actively protect their organisation against digital risks.
Role of staff training in achieving DORA compliance
While technology and processes are central to achieving compliance, staff training plays an equally important role in DORA. Employees are often the first line of defence against digital threats. Having awareness, a quick response, and precise decision-making are vital to meeting DORA's standards.
A well-structured training programme contributes to DORA compliance in the following ways:
Creates a cyber-aware culture
DORA compliance begins with fostering a culture where cybersecurity and resilience are everyone's responsibility. Staff training helps employees understand the types of risks they may encounter and the protocols to follow if they identify suspicious activities or face cyber threats.
Regular training reinforces this awareness, making employees more vigilant and proactive, reducing the likelihood of breaches resulting from human error.
Enhances incident response skills
Training provides employees with the knowledge and practical skills needed to respond swiftly and effectively to incidents. Whether identifying phishing emails, reporting unusual system behaviour, or following incident response procedures, well-prepared staff can contain and mitigate the impact of a disruption.
Simulation exercises and real-life scenarios are effective methods for helping staff practice real-time responses, ensuring they are ready to act when needed.
Supports business continuity and operational resilience
Staff training plays a crucial role in preparing employees for continuity and recovery procedures. When disruptions occur, trained staff know how to execute business continuity plans, adhere to backup processes, and communicate effectively with stakeholders.
This readiness minimises operational downtime and helps an organisation maintain critical services, aligning with DORA’s requirements for resilience and recovery.
Reduces third-party and data risks through vigilance
Employees trained in data protection, vendor risk awareness, and privacy regulations help mitigate risks associated with third-party vendors. By understanding the importance of verifying vendor practices and safeguarding sensitive information, employees contribute to a robust risk management strategy.
This vigilance is essential for maintaining data security and ensuring all vendor relationships comply with DORA's standards.
Maintains ongoing compliance with regular training updates
Cyber risks evolve, and so must staff training. To remain DORA compliant, organisations should offer ongoing training sessions, including updates on new threats, regulatory changes, and emerging best practices.
This ensures that employees stay informed and that the organisation remains agile and ready to adapt to new requirements as they arise. Regular training is useful for meeting DORA's requirement for consistent resilience and regulatory alignment.
By following a structured training plan focused on DORA's key compliance areas, firms can ensure their staff are well-prepared to be a critical line of defence against cyber threats and operational disruptions. This goes beyond meeting DORA's requirements to building lasting security and operational continuity.
How to achieve DORA compliance
Being DORA compliant is a multifaceted task that requires integrating technological safeguards, operational processes, and a well-trained workforce.
1. Develop a comprehensive ICT risk management framework
The foundation of DORA compliance lies in establishing a strong ICT risk management framework, which includes identifying, assessing, and mitigating risks associated with digital operations.
Actions for firms: Organisations should conduct detailed risk assessments to pinpoint potential threats and vulnerabilities, from cyberattacks to system failures. Conducting regular audits and updating risk management protocols are essential to staying ahead of evolving risks.
2. Implement incident detection and response mechanisms
DORA requires financial institutions to establish mechanisms for identifying and responding to ICT-related incidents promptly to minimise operational disruptions.
Actions for firms: To comply, organisations should implement monitoring systems, detection tools, and a structured incident response plan. This includes notifying regulatory authorities and stakeholders in case of severe incidents and maintaining detailed records for post-incident analysis.
3. Staff training and awareness programmes
Staff are at the forefront of guarding against and mitigating digital risks. DORA compliance requires employees to be trained in cybersecurity best practices, incident response protocols, and resilience strategies.
Actions for firms: Develop a comprehensive training programme to build employees' knowledge of DORA compliance, cyber threat awareness, and incident response. Conduct regular training sessions, simulate cyber incidents, and provide refresher courses to ensure staff stay up-to-date on the latest threats and response techniques. Document training records to demonstrate ongoing compliance efforts and create a culture of resilience across the organisation.
4. Ensure business continuity and disaster recovery planning
Resilience also means being able to continue operations during and after disruptions. DORA mandates that institutions have comprehensive business continuity and disaster recovery (BC/DR) plans to sustain critical functions in the face of adverse events.
Action for firms: Companies should establish backup systems and contingency plans. Regular testing of these plans through drills and simulations ensures that, in the event of a disruption, the organisation can respond swiftly and effectively.
5. Manage third-party risks
Many organisations rely on third-party vendors for digital services, creating additional points of vulnerability. DORA emphasises the importance of managing these third-party risks.
Action for firms: Financial institutions should assess the resilience of their vendors, conduct due diligence, and ensure third-party service providers comply with similar standards. Contracts with vendors should include clauses for risk management, reporting, and compliance with DORA standards.
6. Continuous monitoring and reporting
DORA compliance is not a one-time task but requires ongoing monitoring and adaptation to new risks.
Actions for firms: Companies must develop a continuous monitoring system for ICT risks and implement a reporting structure that tracks compliance status, incidents, and recovery efforts. DORA requires regular reporting to regulators, so having structured, transparent data on hand is essential.
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