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Date Submitted: 08/18/05
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Justifying the Expense of IDS, Part Two: Calculating ROI for IDS



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Description: This article is the second of a two-part series exploring ways to justify the financial investment in IDS protection. In part one of this series we discussed general IDS types and expanded on the impact that the logical location of a company's critical networked assets could have on the risk equations. To this end we introduced the Cascading Threat Multiplier (CTM) to expand on the Single Loss Expectancy (SLE) equation. We also reviewed implementation and management costs based on various support profiles and reviewed the commonly accepted risk equations. Finally, we left off with the basic formula for calculating ROI for security, otherwise commonly known as Return on Security Investment (ROSI).

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