Deloitte Australia March 2020

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Secure, efficient and intelligent: Deloitte Australia’s global strategy drives digital transformation across sectors


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SECURE, EFFICIENT AND INTELLIGENT: DELOITTE AUSTRALIA’S GLOBAL STRATEGY DRIVES DIGITAL

TRANSFORMATION ACROSS SECTORS WRITTEN BY

RACHAEL DAVIS PRODUCED BY

ANDREW STUBBINGS


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DELOITTE

At Deloitte Australia, digital is the new normal. We spoke to Brad Flanagan, Director of Digital and Cyber Risk about how Deloitte is supporting its clients on their digital transformation

D

eloitte Australia has a global reputation for being innovative, tech-driven and economically sound.

In today’s interconnected, digital world, it is critical to understand which technology can be taken advantage of safely, dependent on the desired 04

outcome. Managing the ever-growing, constantly changing cyber risks is an inherent part of solving complex problems to improve infrastructure and performance and develop new capabilities across sectors. With a unique east-west orientation, Deloitte Australia is well located to help organisations explore the need for genuine digital growth. For Brad Flanagan, Director of Digital and Cyber Risk at the business, developing a powerful ecosystem with new technologies and existing infrastructure while maintaining cyber security is the essence of digital transformation. In understanding the power of the Internet of Things (IoT), Deloitte Australia has already made headway in integrating smart tech into a range of sectors. Industrial control systems, operational technology, autonomous vehicles, mobile medical


“ Digital is the new normal” — Brad Flanagan, Director, Digital & Cyber Risk, Deloitte Australia

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DELOITTE

“ Blockchain, robotics, AI, and IoT aren’t new, but how to realise their value operationally is” — Brad Flanagan, Director, Digital & Cyber Risk, Deloitte Australia

Australia. As IoT is being used to drive innovation and optimise operational performance, getting a proper handle on its ecosystem requires asset dis-

devices and smart cities are some

covery, threat detection, and vulnerability

of the areas Deloitte works in.

assessment,” he says.

Working closely with global alliance 06

In the mining sector, which is preva-

partners, Flanagan explains how

lent in Flanagan’s city of Brisbane,

Deloitte is “using the clout of its global

asset management is a key area in

footprint to bring expertise and experi-

which IoT is being used. He exempli-

ence to the changing market in

fies a “mining truck, with its mechanical components that can be monitored and tracked through IoT. The weardown rates of parts can be monitored to predict when vehicles need servicing — in the consulting world we call this ‘digital twinning.’ This means we can help reduce down-time and optimise production on the mining site significantly, saving hundreds of millions of dollars over a few years.” Keeping pace with this everchanging landscape in a secure, efficient and intelligent way is essential. Robotics, AI, IoT and blockchain


Emerging technologies and trends within the energy sector CLICK TO WATCH

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2:39

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do so in their best interests, in

but the main hurdle is typically sum-

Australia’s well-regulated business

marised in one question: ‘Where do

environment demands digitisation

we start?’ “Looking at the traditional

and digital transformation. Industries

landscape we have in many sectors,

such as financial services have led

the infrastructure was created at

the way. They have built their AI radars

least 20 years ago, before our

over the last few years, supported

internet-age and today’s data-

by economic growth and pushed by

based economy. The ability to

existing legal regulations, royal com-

connect efficiently, responsibly

missions and a clearer understanding

and effectively is compromised,”

of the importance of getting the internal

Flanagan explains.

focus right.

To manage the lakes of data

Other sectors can now use the

at the pace needed in order to meet

value of this learning to ensure their

customer requirements, and to

organisations’ digital transformations w w w.de l o i t te . com . a u


DELOITTE

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“ Getting technology stacks right and making the best use of AI and data can make the difference between catching up or keeping up. Meeting an ever-expanding and demanding digital future needs a genuine transformation” — Brad Flanagan, Director, Digital & Cyber Risk, Deloitte Australia


are undertaken in a safe and secure

To be better integrated, understood

way. In Australia, Deloitte has been

and rationalised, and to achieve a

at the forefront of that journey with

solid unified view of the risks, means

them from the very beginning.

that vulnerabilities in OT and IT need

As sectors with more traditional

to be consolidated and assessed as

approaches to operations are begin-

a whole, to avoid the potentially cata-

ning to bring high technology into

strophic consequences of a breach

effective action, a lack of integrated

or crash.

security can be a risk. Operational

Before IoT, a crash in IT might mean

technology (OT) and IT security

an email server drops out for a few

processes are different, and require

seconds and emails take a little

unique risk management strategies.

longer to be delivered. A nuisance,

E XE CU T I VE PRO FI LE

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Brad Flanagan Brad is currently the National Operational Technology (OT) Lead Cyber Director and bring over 15 years’ professional and industry experience in Cyber and IT risk services. He has a broad range of Cyber experience across power, utilities and mining sectors and brings an innovative, global-minded focus with a proven record of exceeding business goals and delivering impressive operations and financial results. Brad has extensive experience assisting organisations define and develop their cybersecurity strategies, implementation and governance frameworks. This includes assessing the design and operating effectiveness of IT controls in the Operational Technology (OT) and Industrial Controls Systems (ICS) environments against various industry standards such as NIST 800, ES-C2M2, AESCSF and IEC 62443.

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armis.com

certainly — but not inherently dan-

risks, both technical and non-techni-

gerous. As industries integrate IT

cal. A culture shift needs to be a top

into operational functions, however,

priority for companies wishing to

a server breach or drop in connection

integrate IoT, robotics, AI, or any high

can have dire consequences. “We

tech into their industry, Flanagan

have some energy clients that can

explains. “The biggest cultural shift

control electricity on certain power

has really been workers in IT and OT

poles,” Flanagan explains. “If there

educating the boards, explaining what

were a delayed reaction of even

OT is, how it is different to IT, and how

a couple of seconds where a person

the organisation can navigate through

physically touched that power line,

the different risks as they combine

and the current stays running, that

the two through IoT,” he says.

delay could cost somebody’s life.”

In most cases, the key performance

It is essential, therefore, that busi-

indicators measured differ between

ness risks get translated into security

OT, which is focused on production

MARCH 2020


“ The biggest cultural shift has really been workers in IT and OT educating their Boards, explaining how the organisation can navigate through the different risks as they combine the two through IoT” — Brad Flanagan, Director, Digital & Cyber Risk, Deloitte Australia

and safety, and IT, which is all about availability. A shift in culture and approach will find “the important common ground to enable in-house relationships and sustainable co-operation,” Flanagan states. Companies can work with IT and OT engineers to co-develop security architecture blueprints for existing and new production sites which serve both sectors adequately. As digital becomes the new normal, companies that thrive in the constantly shifting environment are the

Automating your private market finance function CLICK TO WATCH

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1:47

a nz .busi ne ssc h ief. com

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DELOITTE

“ Understanding how to use IoT to drive innovation and optimise operational performance is the difference between just catching up and building a sustainable business future” — Brad Flanagan, Director, Digital & Cyber Risk, Deloitte Australia

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DELOITTE

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“ To thrive in a constantly shifting environment requires collaboration” — Brad Flanagan, Director, Digital & Cyber Risk, Deloitte Australia

ones collaborating with world-leading technology providers. Quality partnerships are integral to address complex operational and business challenges, meeting new market needs. “Getting technology stacks right and making the best use of AI and data can make the difference between catching up or keeping up, and genuinely transforming to a meet an ever expanding and demanding digital future,” Flanagan says.


790 Partners

$2.3bn Revenue in AUS dollars

10,000+ Number of employees

As it orchestrates complex opera-

business opportunities and solutions

tions involving multiple teams, Deloitte

available to them in this expanding

works with a significant number of

ecosystem to at the top of their game,

global alliances. These include secu-

which they can only do with the best

rity firms that identify blind spots for

vendors, security providers, and tech-

enterprises by bringing visibility and

nical solutions.”

control over all devices and networks, both managed and unmanaged, to help to close critical security gaps. “Organisations can no longer afford to keep IT and OT separate,” Flanagan concludes. “They must invest in the w w w.de l o i t te . com . a u

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Lvl 9 Grosvenor Place 225 George Street Sydney NSW Australia T +61 02 9322 7000 www.deloitte.com.au


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