As the Digital Operational Resilience Act (DORA) comes into force on January 17, 2025, organizations in the financial services industry must take swift action to ensure compliance. This regulation goes beyond ticking boxes; it establishes a vital framework designed to enhance the digital resilience of companies and protect their key assets, including but not limited to their data. In today’s world, data is not just information; it is the crown jewel, the oil that fuels the modern digital economy. Ensuring its protection is no longer optional.
The Core Pillars of DORA
- ICT Risk Management
DORA mandates that financial institutions and their service providers establish and maintain robust ICT (Information and Communication Technology) risk management frameworks. This includes identifying, assessing, and mitigating risks that could impact the integrity, security, and availability of their systems.
- ICT Incident Reporting
Timely reporting of ICT-related incidents is a crucial aspect of DORA. Companies must develop processes to detect, classify, and report incidents that threaten operational resilience, ensuring both internal stakeholders and regulators are promptly informed.
- Digital Operational Resilience Testing
It’s essential to regularly test operational resilience. According to DORA, organizations are required to perform vulnerability and penetration testing to detect potential system weaknesses before they can be exploited by attackers.
- Third-Party Risk Management
DORA extends beyond internal systems and requires organizations to manage risks associated with their third-party service providers. Ensuring that third-party relationships don’t introduce new vulnerabilities is key to compliance.
Immediate Action: Perform a GAP Assessment
Businesses must act swiftly to address upcoming requirements. A GAP assessment will help uncover areas where your organization should reinforce its digital resilience framework. This includes a thorough evaluation of current ICT risk management practices, incident reporting procedures, testing protocols, and third-party oversight. The assessment will offer clear guidance on the necessary steps to comply with DORA’s standards.
Preparing for an Audit
Once your GAP assessment is completed, the next step is preparing for a DORA compliance audit. This process ensures your organization is ready to demonstrate adherence to the new regulatory standards. An audit will also help you build confidence internally and with clients, proving that your data protection measures are robust, well-structured, and in line with the law.
Why DORA Compliance Benefits You and Your Clients
While the need for compliance may feel like an additional burden, aligning with DORA is a benefit to both your organization and your clients. Strengthened digital resilience means fewer disruptions to your services, higher levels of client trust, and a more secure data environment. When your data—the crown jewel of your organization—is safeguarded, the long-term value is clear. Your clients will have peace of mind knowing that their information is secure and that your institution is well-prepared to handle potential threats.
How We Can Help
Ensuring DORA compliance can be a demanding process, but we’re here to help. From conducting the GAP assessment to preparing for audits and fulfilling all necessary regulatory requirements, our team of specialists will provide guidance at every stage. More than just a compliance obligation, aligning with DORA represents a strategic step toward strengthening the long-term security of your organization and safeguarding your clients.
With DORA coming into effect in January 2025, acting immediately is essential to ensure your organization’s digital resilience. By performing a thorough GAP assessment and preparing for an audit, your organization will not only comply with DORA but also strengthen its long-term operational integrity. The time to act is now, and we’re here to support you every step of the way.
