External Issues Explained

Home / ISO/IEC 27001 Explained / External Issues Explained

ISO 27001 External Issues

External issues are inherent risks originating outside an organisation that can hinder the effective functioning of its Information Security Management System (ISMS). These external risks, primarily outside the organisation’s control, can impede the ISMS from achieving its objectives, particularly in safeguarding the confidentiality, integrity, and availability of information assets.

Definition

External issues is defined as – external risks to the Information Security Management System (ISMS) achieving its interned outcomes.

Purpose

The purpose of identifying and managing external issues is to ensure that the Information Security Management System is:

  • Effective
  • Meeting it’s intended outcomes
  • Meeting the needs of the organisation

Ownership

The Information Security Officer is responsible for collaborating closely with the leadership, domain experts and department heads to establish appropriate controls and procedures for identifying and managing external issues that could impact the Information Security Management System.

ISO 27001:2022 Clause 4.1

ISO 27001:2022 Clause 4.1 Understanding The Organisation And Its Context is one of the mandatory ISO 27001:2022 Clauses. It is a requirement of ISO 27001 and ISO 27001 certification and directly references ISO 27001 external issues.

Identifying External Issues

External issue is just another way of saying external risks.

Informal Approach

  • “External issue” is essentially synonymous with “external risk” in the context of ISO 27001. Both refer to potential problems or threats originating outside the organisation that could negatively impact the effectiveness of your Information Security Management System (ISMS).
  • A key starting point is a collaborative brainstorming session. Involve a diverse group of stakeholders, including representatives from various departments, IT, HR, legal, and senior management. An optional facilitator can guide the discussion and ensure all perspectives are considered.
  • Begin by capturing all potential external issues. This initial brainstorming phase should be inclusive, considering all potential concerns raised by participants.
  • Refine the list through discussion and analysis. Gradually narrow down the list, prioritising the most significant and impactful issues based on their likelihood and potential consequences.

Formal Approach

For a more structured approach, consider a PESTLE analysis. This framework can be adapted to identify external issues by focusing on external factors:

  • Political: External politics
  • Economic: External financial pressures.
  • Social: Customer expectations and requirements and external communication challenges.
  • Technological: New and emerging technology.
  • Legal: External legal and regulatory compliance issues, data privacy concerns, and intellectual property rights.
  • Environmental: External environmental factors such as climate or office and facility location specific concerns.

By employing a combination of informal brainstorming and a structured approach like PESTLE analysis, organisations can effectively identify external issues that could jeopardise the effectiveness of their ISMS.

Examples of External Issues

10 Examples of ISO 27001 External Issues with Impact

Issue:

Changes in data privacy laws (e.g., GDPR, CCPA), industry-specific regulations (e.g., HIPAA, PCI DSS), and cybersecurity frameworks (e.g., NIST Cybersecurity Framework).

Impact:

Non-compliance can lead to severe financial penalties, reputational damage, and loss of customer trust.

Competitive Landscape

Issue:

Actions of competitors, such as new product offerings, market share shifts, and cyberattacks targeting rivals.

Impact:

Can indirectly affect an organisation’s information security posture by increasing pressure to innovate and adapt, potentially leading to security vulnerabilities.

Technological Advancements

Issue:

Rapid changes in technology, such as the rise of cloud computing, artificial intelligence, and the Internet of Things.

Impact:

Creates new security challenges and opportunities, requiring organisations to constantly update their security controls and adapt to evolving threats.

Economic Conditions

Issue:

Economic downturns or recessions can impact an organisation’s budget, potentially leading to reduced spending on information security measures.

Impact:

Can weaken the organisation’s security posture, making it more vulnerable to cyberattacks.

Social and Cultural Factors

Issue:

Changing societal norms and expectations regarding data privacy and security, as well as cultural differences between countries.

Impact:

Can influence an organisation’s approach to information security and its reputation among stakeholders.

Political Stability

Issue:

Political instability, such as wars, conflicts, or changes in government.

Impact:

Can disrupt business operations and increase the risk of cyberattacks, particularly those targeting critical infrastructure.

Natural Disasters

Issue:

Natural disasters, such as earthquakes, floods, and hurricanes.

Impact:

Can damage physical infrastructure and disrupt business operations, potentially impacting the availability and integrity of information assets.

Geopolitical Events

Issue:

Global events, such as pandemics, trade wars, and geopolitical tensions.

Impact:

Can create uncertainty and disrupt supply chains, potentially affecting an organisation’s ability to maintain its information security controls.

Cybersecurity Threats

Issue:

The evolving threat landscape, including new malware, ransomware attacks, and social engineering techniques.

Impact:

Requires organisations to constantly adapt their security measures to stay ahead of cybercriminals.

Stakeholder Expectations

Issue:

The expectations of customers, suppliers, and other stakeholders regarding data privacy and security.

Impact:

Can influence an organisation’s information security policies and practices, as well as its reputation and brand image.
By understanding and addressing these external issues, organisations can implement more effective and resilient ISMSs that protect their valuable information assets.

Documenting External Issues

ISO 27001 requires organisations to document external issues within the ISO 27001 Context of the Organisation Template. This section helps establish the foundation for the Information Security Management System (ISMS) by understanding the external and external factors that can influence its success.

A clear and concise way to document external issues is through a table with two columns:

External Issue NameThe External Issue
[Issue 1 Name] [Detailed description of the issue and its potential impact on the ISMS]
[Issue 2 Name] [Detailed description of the issue and its potential impact on the ISMS]
[Issue 3 Name] [Detailed description of the issue and its potential impact on the ISMS]

Example:

External Issue NameThe External Issue
Stakeholder ExpectationsThe expectations of customers, suppliers, and other stakeholders regarding data privacy and security.
Cybersecurity ThreatsThe evolving threat landscape, including new malware, ransomware attacks, and social engineering techniques.
Economic ConditionsRapid changes in technology, such as the rise of cloud computing, artificial intelligence, and the Internet of Things.

Key Considerations:

  • Specificity: Use clear and concise language to describe each external issue.
  • Impact Analysis: Clearly articulate the potential impact of each issue on the ISMS and the organisation as a whole.
  • Regular Review: Regularly review and update the list of external issues to reflect changes within the organisation and the evolving threat landscape.

By documenting external issues in this manner, organisations can gain a better understanding of the challenges they face and take proactive steps to mitigate the risks associated with these issues.

Updating External Issues

ISO 27001 external issues should be updated regularly to ensure the effectiveness of your Information Security Management System (ISMS). Here’s a breakdown of when updates are crucial:  

Regular Intervals:

Annually: Conduct a thorough review of external issues at least once a year. This allows you to assess changes within the organisation, such as:

  • Political changes: Changes in governments.
  • Technological advancements: New technologies, software updates, or changes in the threat landscape.
  • Legal and regulatory changes: New laws, regulations, or industry standards impacting information security.

Trigger Events:

  • Significant incidents: Following any external security incident, conduct a thorough review of external issues to identify any risk factors and implement necessary corrective actions.
  • External audits: After external audits, review and update external issues based on the findings and recommendations of the audit.
  • Changes to risk assessments: Whenever risk assessments are conducted or updated, review and update the list of external issues to reflect any new or changed risks.

Best Practices:

  • Document all updates: Maintain a record of all changes made to the list of external issues, including the date of the change, the reason for the change, and the person responsible for the change.
  • Communicate updates: Ensure that all relevant stakeholders are aware of any changes to the list of external issues.
  • Involve key personnel: Involve key personnel from across the organisation in the review and update process to ensure a comprehensive and accurate assessment of external issues.

By regularly updating the list of external issues, organisations can ensure that their ISMS remains effective in addressing the evolving security challenges they face.

Benefits of External Issues

The benefits of identifying and documenting ISO 27001 external issues are significant:

Improved Risk Management:

  • Proactive Risk Mitigation: By identifying and understanding external issues, organisations can proactively address potential threats and vulnerabilities before they can cause significant harm.  
  • Prioritised Risk Treatment: Focusing on the most critical external issues allows organisations to prioritise their risk treatment efforts and allocate resources effectively.  

Enhanced Security Posture:

  • Strengthened Controls: Addressing external issues leads to the implementation of stronger security controls, improving the overall security posture of the organisation.  
  • Reduced Vulnerability: By mitigating external risks, organisations can significantly reduce their vulnerability to data breaches, cyberattacks, and other security incidents.

Increased Efficiency and Productivity:

  • Streamlined Operations: Addressing external issues can streamline business processes, improve efficiency, and reduce operational disruptions caused by security incidents.  
  • Improved Employee Morale: By addressing concerns and improving external communication, organisations can boost employee morale and enhance overall productivity.  

Improved Compliance:

  • Demonstrated Compliance: Identifying and addressing external issues demonstrates a commitment to compliance with ISO 27001 and other relevant regulations.  
  • Reduced Audit Findings: By proactively addressing external issues, organisations can reduce the likelihood of audit findings and non-conformances during external and external audits.  

Enhanced Reputation and Trust:

  • Improved Customer Confidence: Demonstrating a strong commitment to information security can enhance customer trust and confidence in the organisation.  
  • Enhanced Business Relationships: Strong information security practices can improve relationships with business partners, suppliers, and other stakeholders.

By diligently identifying, documenting, and addressing ISO 27001 external issues, organisations can build a robust and effective Information Security Management System (ISMS) that protects their valuable assets, enhances their reputation, and drives overall business success.

FAQ

What are ISO 27001 external issues?

External issues are factors outside an organisation that can negatively impact the effectiveness of its Information Security Management System (ISMS). They are inherent risks originating outside the organisation that can hinder the ISMS from achieving its objectives, particularly in safeguarding the confidentiality, integrity, and availability of information assets.

How do external issues differ from internal issues?

External issues stem from factors outside the organisation’s direct control, such as economic downturns, regulatory changes, or competitive pressures.
Internal issues originate within the organisation itself, such as lack of management commitment, inadequate resource allocation, or resistance to change.

Why is it important to identify external issues?

Identifying external issues is crucial for several reasons:
Risk mitigation: It allows organisations to proactively address potential threats and vulnerabilities.
Improved security posture: It helps strengthen security controls and reduce the likelihood of security incidents.
Enhanced compliance: It demonstrates a commitment to compliance with ISO 27001 and other relevant regulations.
Increased efficiency: It can streamline operations and improve overall productivity.
Enhanced reputation: It builds trust with customers, partners, and stakeholders.

How can I identify external issues?

Brainstorming sessions: Involve key stakeholders in brainstorming sessions to identify potential external issues.
PESTLE analysis: Adapt the PESTLE framework to identify external factors such as political, economic, social, technological, legal, and environmental issues.
Risk assessments: Conduct regular risk assessments to identify and evaluate potential threats, including those arising from external factors.
External audits: Utilise external audits to uncover potential external issues and areas for improvement.

How should external issues be documented?

Document external issues within the “Context of the Organisation” section of the ISO 27001 documentation.
Use a table format with two columns: “External Issue Name” and “The External Issue” (detailed description).

When should external issues be reviewed and updated?

Regularly review and update external issues at least annually.
Trigger events such as security incidents, external audits, management reviews, and changes to risk assessments also warrant immediate review.

What are some common examples of external issues?

Legal and Regulatory Requirements
Competitive Landscape
Technological Advancements
Economic Conditions
Social and Cultural Factors
Political Stability
Natural Disasters
Geopolitical Events
Cybersecurity Threats
Stakeholder Expectations

How can organisations address external issues?

Implement corrective and preventive actions to address identified issues.
Improve communication and collaboration within and outside the organisation.
Enhance employee awareness and training programs.
Join industry specific special interest groups.
Maintain contact with authorities.

Who is responsible for identifying and addressing external issues?

Information security management team
Department heads
Employees at all levels
External auditors
Management representatives

What is the relationship between external issues and risk management?

External issues are essentially external risks. Identifying and addressing these issues is a fundamental part of the risk management process within an ISO 27001 framework.

ISO 27001 Toolkit

Stop Spanking £10,000s on consultants and ISMS online-tools