CynergisTek Reports Supply Chain Risks Continue Driving Demand for Vendor Security Management Services
11 November 2021 - 1:00PM
Business Wire
Nationally recognized children’s hospital adds
another managed service contract with CynergisTek to assess vendor
risk
CynergisTek (NYSE American: CTEK), a leading cybersecurity,
privacy, compliance, and IT audit firm helping organizations in
highly regulated industries navigate emerging security and privacy
issues, announces a one-year Vendor Security Management service
agreement with a nationally recognized children’s hospital with
multiple locations.
The healthcare industry relies on third-party vendors to deliver
a wide range of goods and services from cleaning services to cloud
storage, Software-as-a-Service (SaaS) providers, and consultants.
To provide fundamental support for patient care delivery, many of
these vendors, also known as Business Associates, have access to an
organization’s network through API connections or share critical
information including Protected Health Information (PHI).
Ransomware hackers either take down a third-party, causing a domino
effect, or use a third-party to gain access to a Covered Entity’s
(providers, health plans, and clearinghouses) environment.
According to reports, 44% of health care organizations have
experienced a data breach caused by a third party and the
healthcare industry lags behind in securing their supply chain
risks as it relates to conformance with the NIST Cybersecurity
Framework. “Even though this data is concerning, our long-standing
Resilience Partner Program clients are already above the average
when it comes to maturing their supply chain risk management
program, and a number of them are turning to our Vendor Security
Management (VSM) team for support because we take the laborious
day-to-day vendor security oversight off their hands,” said Andrew
Mahler, Director of Privacy, Compliance, and Managed Services.
Key components of a supply chain risk management program include
understanding which vendors have access to PHI and or the network,
doing pre-procurement homework to determine the Business
Associate’s privacy and security measures are in place, and
validating these protocols through conducting on-going risk
assessments. CynergisTek provides varying levels of support through
its Vendor Security Management service depending on the needs of
the Covered Entity. “The demand for our VSM service stems from the
rapid advancement in digital health, privacy regulations, and the
ransomware attacks that can be fatal to healthcare operations.
Ensuring vendors have security best practices in place is only one
line of defense in the game of preventing incidents and building
resilience,” said Mac McMillan, CEO and President at CynergisTek.
He goes on to say, “I look back to when we started our
cybersecurity practice, and our mission has remained constant – to
be a true partner to our healthcare clients by helping them
identify risk and reinforce their defenses to withstand attacks –
and through our VSM service our clients find value in knowing their
third-party vendors are adhering to the stringent security
standards they hold themselves to.”
About CynergisTek, Inc.
CynergisTek (www.cynergistek.com), is a top-ranked cybersecurity
consulting firm helping organizations in highly-regulated
industries, including those in healthcare, government, and finance
navigate emerging security and privacy issues. CynergisTek combines
intelligence, expertise, and a distinct methodology to validate a
company’s security posture and ensure the team is rehearsed,
prepared, and resilient against threats. Since 2004, CynergisTek
has been dedicated to hiring and retaining experts who bring
real-life experience and hold advanced certifications to support
and educate the industry by contributing to relevant industry
associations. For more information, visit www.cynergistek.com or
follow us on Twitter or Linkedin.
Cautionary Note Regarding Forward Looking Statements
This release contains certain forward-looking statements
relating to the business of CynergisTek, Inc.. These
forward-looking statements are within the meaning of Section 27A of
the Securities Act of 1933, as amended (the “Securities Act”) and
Section 21E of the Securities Exchange Act of 1934, as amended (the
“Exchange Act”) and can be identified by the use of forward-looking
terminology such as “believes,” “expects,” “anticipates,” “would,”
“could,” “intends,” “may,” “will,” or similar expressions. Such
forward-looking statements involve known and unknown risks and
uncertainties, including but not limited to uncertainties relating
to product/services development; long and uncertain sales cycles;
the ability to obtain or maintain proprietary intellectual property
protection; future capital requirements; competition from other
providers; the ability of the Company’s vendors to continue
supplying the Company with supplies and services at comparable
terms and prices; the Company’s ability to successfully compete and
introduce enhancements and new features that achieve market
acceptance and that keep pace with technological developments; the
Company’s ability to maintain its brand and reputation and retain
or replace its significant customers; cybersecurity risks and risks
of damage and interruptions of information technology systems; the
Company’s ability to retain key members of management and
successfully integrate new executives; the Company’s ability to
complete acquisitions, strategic investments, entry into new lines
of business, divestitures, mergers or other transactions on
acceptable terms, or at all; potential risks and uncertainties
relating to the existing and ultimate impact of COVID-19, including
the geographic spread, the severity of the virus, the duration of
the COVID-19 outbreak, actions that may be taken by governmental
authorities to contain the COVID-19 outbreak or to treat its
impact, and the potential negative impacts of COVID-19 on the
global economy and financial markets, and other factors that may
cause actual results to be materially different from those
described herein as anticipated, believed, estimated or expected.
Certain of these risks and uncertainties are or will be described
in greater detail in the Company’s Form 10-K and Form 10-Q filings
with the Securities and Exchange Commission, which are available at
http://www.sec.gov. Given the risks and uncertainties, readers
should not place undue reliance on any forward-looking statement
and should recognize that the statements are predictions of future
results which may not occur as anticipated. Many of the risks
listed above have been, and may further be, exacerbated by the
COVID-19 pandemic, including its impact on the healthcare industry.
Actual results could differ materially from those anticipated in
the forward-looking statements and from historical results, due to
the risks and uncertainties described herein, as well as others not
now anticipated. CynergisTek is under no obligation (and expressly
disclaims any such obligation) to update or alter its
forward-looking statements whether as a result of new information,
future events or otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20211111005445/en/
CynergisTek Investor Relations Contact: CynergisTek, Inc.
Bryan Flynn (512) 402-8550 x8 InvestorRelations@cynergistek.com
CynergisTek Media Contact: Allison + Partners Jaime Tero
415-755-8639 jaime.tero@allisonpr.com
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