Re: [Full-disclosure] Risk measurements

["Craig S. Wright" <craig.wright@xxxxxxxxxxxxxxxxxxxxxxx>]

Exactly,
As Valdis has stated, we want economic optimality. Valdis has stated this in
a far easier to understand manner than I.

I will publish a financial model on the blog this weekend that displays the
relationships graphically.

Regards,
...
Dr. Craig S Wright <http://gse-compliance.blogspot.com/>  GSE-Malware,
GSE-Compliance, LLM, & ...
Information Defense <http://www.information-defense.com/>  Pty Ltd



_____________________________________________
From: Valdis.Kletnieks@xxxxxx [mailto:Valdis.Kletnieks@xxxxxx] 
Sent: Friday, 12 February 2010 11:31 PM
To: Christian Sciberras
Cc: craig.wright@xxxxxxxxxxxxxxxxxxxxxxx; McGhee, Eddie; full-disclosure;
security-basics@xxxxxxxxxxxxxxxxx; Thor (Hammer of God)
Subject: Re: [Full-disclosure] Risk measurements


* PGP Signed by an unknown key

On Fri, 12 Feb 2010 13:09:55 +0100, Christian Sciberras said:

> There's a time for finding fancy interesting numbers and a time to get
> the system going with the least flaws possible.

You don't want "the least flaws possible".  We can get very close to zero
flaws per thousand lines of code - but the result ends up costing hundreds
of dollars per line.  You want "the most economical number of flaws" - if
you get it down to 10 flaws, and the next flaw will cost you $750,000 to
fix,
but you estimate your loss as $500,000 if you don't fix it and get hacked,
why are you spending $250,000 extra to fix the flaw?

> Why should any entity bother with risk modeling if it is not used at all?
> Here's the real question to the subject; What does risk modeling fix?

Risk modeling is what tells you the flaw will cost $500K to not fix.
And since you totally screw the pooch if you got it wrong and not fixing
it costs $1M, people like to do a good job of risk modelling.

* Unknown Key
* 0xB4D3D7B0

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