What is the impact of regulatory compliance on cybersecurity risk management?

Compliance with regulatory standards plays a crucial role in the cybersecurity risk management process by providing a framework for organizations to follow in order to protect sensitive data and systems. Regulatory standards often require specific security measures to be implemented, such as encryption protocols, access controls, incident response procedures, and regular security assessments. By complying with these standards, organizations can improve their overall cybersecurity posture, reduce the likelihood of security breaches, enhance customer trust, and mitigate potential legal and financial risks associated with data breaches. Non-compliance, on the other hand, can result in fines, legal penalties, damage to reputation, and increased cybersecurity risks.