The Network and Information Systems Directive (NIS2) marks a significant step forward in Europe’s efforts to bolster cybersecurity resilience. Alongside the Critical Entities Resilience Directive, it represents a commitment to ensuring that organisations offering essential services—such as financial services, healthcare, transport, and energy—are equipped to withstand cyber threats. However, implementing these regulations uniformly across the EU has proven challenging, raising questions about their practical effectiveness.
What Companies Must Do to Comply with NIS2
NIS2 builds on its predecessor by introducing more comprehensive requirements. Key obligations include:
Incident Reporting:
Companies must report cybersecurity incidents with significant operational impact within strict timeframes. Real-time monitoring and detailed incident logs are crucial to meet this requirement effectively. Managed Detection and Response (MDR) services, such as those provided by Obrela, offer continuous monitoring and forensic data collection, ensuring timely and accurate reporting to regulators.
Risk Management:
Organisations are required to implement robust risk management measures. This involves continuously evaluating risks via different risk assessment exercises, aligning with NIS2’s focus on proactive security. Adopting a Managed Risk & Controls (MRC) platform enables companies to adopt a structured approach to risk management, addressing threats before they escalate into risks.
Governance Frameworks:
NIS2 mandates that organisations establish governance frameworks to oversee cybersecurity operations. These frameworks must demonstrate a clear view of the organisation’s security posture. Solutions like MDR and MRC help streamline governance by providing actionable insights and transparency, reducing the burden of compliance audits.
Operational Resilience:
Companies must ensure they can recover quickly from incidents. This aligns with the objectives of both NIS2 and other regulations like the Digital Operational Resilience Act (DORA), which targets the financial sector. Obrela’s integrated approach helps organisations maintain resilience while adhering to these stringent standards.
Challenges in Implementation
Despite the comprehensive nature of NIS2, its effectiveness hinges on consistent enforcement across EU member states. Disparities in interpretation and implementation create confusion. This lack of uniformity may lead to regulatory fragmentation, undermining the directive’s intent to set a Europe-wide standard.
Another critical challenge is avoiding the trap of tick-box compliance. Superficial adherence to regulations without addressing underlying threats leaves organisations exposed to penalties and reputational damage. Cybersecurity must move beyond minimum standards to embody a culture of resilience.
Will NIS2 Work in Practice?
The success of NIS2 will depend on how organisations interpret and implement its requirements. Comprehensive, proactive cybersecurity measures, such as those offered by MDR and MRC, are essential for meeting both the letter and spirit of the directive. These solutions automate threat detection, simplify reporting, manage third party risk, and ensure continuous risk assessment, bridging gaps in compliance.
However, enforcement consistency is critical. Without clear guidelines and equitable enforcement across member states, businesses may face an uneven regulatory landscape, affecting their ability to comply
A Broader Perspective
NIS2 (and DORA) reflect on the increasing complexity of the threat landscape. To ensure these rules are effective, businesses must focus on long-term operational resilience and proactive risk management, rather than viewing compliance as a one-off exercise.
Ultimately, regulations like NIS2 will only work if companies integrate cybersecurity into their core operations. Combining MDR and MRC organisations can go beyond compliance, embracing a holistic approach to security that ensures resilience in an evolving threat landscape.
