What are potential financial impacts of security breaches for an organization?

The potential financial impacts of security breaches for an organization primarily include financial loss. When a security breach occurs, it can lead to significant direct costs such as legal fees, regulatory fines, and expenses associated with remediation efforts. Additionally, there may be indirect costs like loss of customer trust, which can result in decreased sales and revenue. Organizations may also face increased costs related to cybersecurity measures taken after an attack to prevent future incidents. Overall, financial loss encompasses both immediate and long-term effects, making it a critical concern for businesses facing security breaches.

In contrast, while increased workforce productivity and enhanced public image could theoretically arise from effective security measures, they are not direct impacts of a security breach. Future data protection might be a result of analyzing a breach, but it does not directly translate to a financial impact at the time of the breach itself.