In a world that is increasingly connected on-line, cyber risks become critical. Cyber risk management is very difficult, as cyber loss data are typically not disclosed. To mitigate the reputational risks associated with their disclosure, loss data may be collected in terms of ordered severity levels. However, to date, there are no risk models for ordinal cyber data. We fill the gap, proposing a rank-based statistical model aimed at predicting the severity levels of cyber risks. The application of our approach to a real-world case shows that the proposed models are, while statistically sound, simple to implement and interpret.

Cyber risk ordering with rank-based statistical models / P. Giudici, E. Raffinetti. - In: ASTA ADVANCES IN STATISTICAL ANALYSIS. - ISSN 1863-8171. - (2020). [Epub ahead of print]

Cyber risk ordering with rank-based statistical models

Raffinetti E.
2020

Abstract

In a world that is increasingly connected on-line, cyber risks become critical. Cyber risk management is very difficult, as cyber loss data are typically not disclosed. To mitigate the reputational risks associated with their disclosure, loss data may be collected in terms of ordered severity levels. However, to date, there are no risk models for ordinal cyber data. We fill the gap, proposing a rank-based statistical model aimed at predicting the severity levels of cyber risks. The application of our approach to a real-world case shows that the proposed models are, while statistically sound, simple to implement and interpret.
Concordance measures; Cyber attacks; Operational risks; Ordinal data; Rank regression
Settore SECS-S/01 - Statistica
9-dic-2020
ASTA ADVANCES IN STATISTICAL ANALYSIS
Article (author)
File in questo prodotto:
File Dimensione Formato  
Giudici-Raffinetti2020_Article_CyberRiskOrderingWithRank-base.pdf

accesso aperto

Descrizione: Online first
891.93 kB Adobe PDF Visualizza/Apri
Pubblicazioni consigliate

Caricamento pubblicazioni consigliate

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: http://hdl.handle.net/2434/850776
Citazioni
  • ???jsp.display-item.citation.pmc??? ND
  • Scopus 1
  • ???jsp.display-item.citation.isi??? 1
social impact