Network Auditing: A Comprehensive Guide

Published on: 2023 November 6

.

7 min read

Every type of organization, from small and medium-sized businesses to big conglomerates, needs networks. A business that operates online could not function without an IT network. However, for the business's network to function efficiently and continuously, it has to be secured from hacker assaults and security flaws.

In today's environment, no system is immune to cyberattacks. In order to protect these systems, a thorough network security audit is required. Additionally, in order for network security checks to be successful, they must be comprehensive and complicated in order to find any security flaws, vulnerabilities, and misconfiguration issues.

In this article, we will cover the following topics related to network auditing:

• What is Network Auditing?
• What are the key parameters checked in a Network Audit?
• Why conduct a Network Audit?
• What should a Network Security Audit report Include?
• How often should Network Security Audits be conducted?
• What are the different ways to conduct a Network Audit?
• What are the Top 5 IT Security Audit Questions?
• What are the Most Common Compliance Questions Asked by Auditors?
• What are the Key Principles of Auditing and the Auditing Process?
• How can Network Auditing help identify Vulnerabilities?
• What are the areas requiring optimization in a Network Audit?
• What are the costs associated with Network Auditing?
• What are the Best Practices for responding to Security Audits?

What is Network Auditing?

Since network security audits are the initial stage in detecting possible threats and vulnerabilities, they are an essential component of every organization's IT operations. You will examine every network device, infrastructure, and network management system in a standard network security audit.

A typical network security audit includes an assessment of all internet-accessible network systems and equipment. It entails an examination of the security measures in place to safeguard the network devices as well as the infrastructure. If security is a top priority, a network compliance inspector can operate independently or as a component of a system.

A network security audit's objectives are to find and fix any network vulnerabilities and guarantee that your systems are safe and won't be hacked.

What are the key parameters checked in a Network Audit?

Finding security flaws and vulnerabilities in the network is the aim of a network audit, which enables the network management team to fix the issues. During a network audit, auditors often look at the following crucial factors:

• Network management
• Network performance
• Network availability
• Network implementation
• Network security
• Overall performance

Why conduct a Network Audit?

A corporation regularly adds new hardware and software to its system in the normal course of business. However, each new addition may bring with it fresh security flaws. By conducting an audit, companies may obtain a comprehensive understanding of their entire network security posture and address any cybersecurity vulnerabilities before they have an adverse effect on company productivity.

Networks are more vulnerable to cybersecurity assaults given the existing laxity surrounding remote work and BYOD (bring your own device) regulations. If BYOD is allowed unchecked, networks may become vulnerable to malware, unapproved hardware, and unidentified third-party software, which might lead to data loss and an increase in threat actor assaults.

Thus, it's critical that network managers keep a close eye on and have a thorough understanding of their networks in order to identify any security flaws.

A network security audit has the following advantages:

• Determine security threats.
• Stop data loss.
• Verify adherence to security guidelines.
• Obtain an in-depth network health report.
• Make sure that the demands of the business are met by the current network.
• Obtain visibility in order to protect the network.

What should a Network Security Audit report Include?

Network vulnerabilities and flaws frequently make their way into your network architecture due to the continual increase in network threats, sometimes resulting in catastrophic harm. It is imperative that you conduct a complete network analysis and make sure there are no security breaches in order to avoid seeing your company in a situation like this.

The network security audit report gives you information about typical security problems in your network and their effects. Every security issue is listed in the security audit report, along with its effect, ease of exploitability for an attacker, and appropriate repair to lessen the problem.

Sections of the network security audit report are listed in the following table:

Section of the network security audit report	Description
Problem Finding	The problem finding explains which configuration parameter the possible danger was found under.
Issue Impact	What an attacker may obtain by taking advantage of the security flaw is outlined in the impact section. Additionally, the configuration adjustments that might lessen a problem are listed in this section.Such as a weak password
Issue Ease	This section explains the skills, knowledge, and physical access an attacker would need to get past security measures and take advantage of a loophole.
Issue Recommendation	The actions for fixing the issue are listed in this section.
Issue Overall Rating	Issue Total Score

Table 1. Sections of the network security audit report

How often should Network Security Audits be conducted?

The necessity of an organization's corporate structure and operations, as well as the number of systems and applications that require examination, all affect how frequently it conducts security audits. Audits are likely to be conducted more regularly in organizations that handle large amounts of sensitive data, such as financial services and healthcare providers. It will be simpler and maybe more convenient to do security audits on users of just one or two applications. Additionally, external variables that impact audit frequency include regulatory restrictions.

Many businesses perform a security audit once or twice a year. However, quarterly or monthly reporting is also an option. Depending on the systems, apps, and data that each department uses, they may have various audit timetables. Regular audits, whether conducted once a year or once a month, can assist in locating irregularities or trends within a system.

Nonetheless, most firms may not have the time or resources to do quarterly or monthly audits. The complexity of the systems an organization uses, as well as the nature and importance of the data it holds, determine how frequently it decides to conduct security audits. A system may undergo more frequent audits if the data within it is considered vital; nevertheless, complex systems that need more time to audit may undergo fewer audits.

Following a data breach, system update, or data migration, as well as any changes to compliance regulations, the implementation of a new system, or the expansion of the company's user base beyond a certain threshold, an organization should carry out a particular security audit. These one-time audits could concentrate on a specific area where the incident might have exposed security flaws. An audit of the impacted systems, for instance, can assist in figuring out what went wrong if a data breach has just happened.

What are the different ways to conduct a Network Audit?

There are five components to the IT audit process:

• IT controls: Substantive and compliance testing of the present IT systems is necessary. Compliance testing is done to determine whether controls are being implemented in accordance with the client-provided documentation. Additionally, it verifies that IT controls adhere to management processes, policies, and compliance standards. The controls' ability to protect the company from online attacks serves as evidence of their effectiveness in substantive testing. A thorough awareness of the many dangers, such as illegal access to data and other assets, anomalous system interactions, corrupted data, inaccurate information, etc., is required for these tests.
• General control audit: To put it briefly, general controls cover operating systems, databases, applications, and IT infrastructure maintenance. An audit in this field aims to verify the following points:
  • Logical access restrictions are supported by infrastructure, databases, and applications.
  • Controls for program modifications in management
  • Controls pertaining to backup and recovery
  • Physical data center security
  • System development cycle controls
• Application control audit: Application controls are very influential on individual transactions and are particular to a certain application. These measures guarantee and confirm the authorization, security, and recording of every transaction. A thorough grasp of how the system functions is required in order to move on with this portion of the audit. A synopsis of the application and specifics about the transactions, such as volume, data involved, and flow, are needed for this study. Application control audits are divided into the following categories:
  • Input mechanisms
  • Handling controls
  • Output management
  • Control of stationary files
• Internet and network controls: The majority of businesses run their operations on local area networks. If this is not adequately monitored and safeguarded, there is a danger that unauthorized users will get access. A network's basic prerequisite is that only authorized users can access it. It is necessary to put controls in place to get rid of problems like data loss, corruption, and interception during transmission.
• IT Audit standards: The IT audit must adhere to globally recognized security guidelines. A selection of these is enumerated below:
  • ISO Compliance: To guarantee dependability, quality, and safety, the ISO publishes a number of rules. It is appropriate to use ISO 27001 for information security needs.
  • PCI DSS Compliance: Any business that processes payments from customers must adhere to these guidelines. To guarantee the safety and security of every transaction, this is required.

What are the Top 5 IT Security Audit Questions?

These are the top five most frequently asked questions that are asked during security audits:

• Where is the location of sensitive client data?: Customers will want to make sure you know where their data will live within your company and what safeguards you have in place to monitor its flow. Data may be transferred to specific workstations, kept on local servers, and combined with other forms of data; it is never static. You should anticipate inquiries from clients about your ability to keep sensitive data from leaving your organization through email, cloud services, portable drives, and other means.

• Who will utilize or have access to customer data inside your organization?: Customers will want to know how accessible their sensitive data is and what safeguards are in place to prevent unauthorized access. How data is accessed, communicated, and shared, the recruiting procedures' screening procedures, and if access is needed for contractors or other non-employees are some examples of questions concerning data distribution. This may apply to systems that use the data as well as individuals.

• How are those users using that data?: In many audits, "How will my data be handled?" is the main query. Users with authorized access can copy data, move it to storage devices, and combine it with other data, even though access control methods may restrict the availability of some information. Your capacity to continually track data in whatever format, including situations in which files are compressed or private information is incorporated into other documents such as spreadsheet tables or photos, will be the main focus of the audit questions.

• Which programs are going to use or access the data?: Once a client's data is in your system, you must show how you safeguard it during usage, particularly when it interacts with other apps that utilize it to provide services or information. An inventory control system, for instance, may be used to input a design document and verify that the required parts are on hand.

  It may be necessary to prevent unauthorized programs and processes from accessing, modifying, and utilizing data in order to address application control concerns. This might include both unknown and potentially harmful programs that could endanger data (such as peer-to-peer networking and file sharing).

• When in your environment is customer data vulnerable?: Clients understand that sensitive information must be utilized to offer goods and services back to them, even though static data can be encrypted. When data is utilized on endpoints, it is usually the most vulnerable. Users may perform things like copying data, distributing papers to other people, reading decrypted copies, and moving private data to different disks here.

  Customers will want details on how you protect your endpoints from both intentional and unintentional internal dangers as well as external threats like malware and sophisticated attacks.

What are the Most Common Compliance Questions Asked by Auditors?

Once the proper framework is in place, your compliance program will become an ordinary company procedure. By gaining a deeper comprehension of your own objectives, you may prepare the appropriate inquiries well in advance of the compliance auditor's arrival. You'll benefit the most from the procedure in this way. As you prepare for your audit, you should consider the following five important questions:

• What is the audit's scope? An audit may take many different directions, so it's critical to be mindful of scope creep. To avoid casting too wide of a net, be sure you are aware of things like your IP address range and important systems in advance. Moreover, keep your attention on how the audit will affect your end customers rather than becoming bogged down in industry jargon. Consider creating a data flow diagram for the main business operations as a starting point.

• Have the findings from the previous audits been corrected? If not, why not? An audit isn't doing its job if you're doing them year after year and discovering the same compliance problems. Subsequent audits will be simpler if you can identify the obstacles preventing you from fixing these problems as soon as possible. Additionally, you're definitely devoting too much time and money to compliance without striking a balance if an audit reveals no problems.

• How are you going to respond to the audit's findings? Consider who will be in charge of setting priorities and handling any problems that arise throughout the audit. Additionally, confirm that you have a strategy in place for resolving issues found in the most recent audit report and integrating them into an ongoing monitoring and development process. Your audit's findings need to have long-term effects on the whole organization.

• Is appropriate management in place to ensure the smooth operation of the audit? The audit itself shouldn't endure indefinitely, even though the outcomes can have an impact long after the audit is finished. Communicate your business needs clearly within the framework of your audit plan, and make sure your audit company is equipped to address any problems that may come up, whether they are audit-related or involve achieving milestones.

• What impact will the audit have on profitability? Make sure you're recouping the cost of the audit if you're paying for one. How will the audit contribute to lower expenses or higher revenue? How is it going to handle your risks? An audit is a chance to enhance the operations of your company, not merely something to cross off the list.

  Whether you agree with the laws or not, regulatory compliance needs to be viewed as a competitive advantage rather than a resource waste. Following audit protocols may help you move ahead from an audit, making it more than simply a tool to identify what you're doing incorrectly when done properly.

What are the Key Principles of Auditing and the Auditing Process?

Above all, tangible audit effectiveness is defined by the Core Principles. The audit function is at its most efficient when all of the principles are present and functioning together. Even though each auditor may approach these core principles differently depending on the business, it's undeniable that a failure to meet any of the principles would indicate that audit activity isn't operating at peak efficiency. The key principles of auditing and the auditing process are listed below:

• Shows honest behavior.
• Shows proficiency and appropriate professional care.
• Is impartial and unaffected by outside forces (independent).
• Complies with the organization's plans, goals, and risks.
• Possesses sufficient resources and is positioned effectively.
• Exhibits excellence and ongoing development.
• Has good communication skills.
• Offers assurance based on risk.
• Is perceptive, assiduous, and future-oriented.
• Enhances organizational performance.

How can Network Auditing help identify Vulnerabilities?

Everyone is vulnerable to cyberattacks. To find high-impact security vulnerabilities in a company, it is crucial to receive a vulnerability assessment report on a regular basis.

Finding security flaws in one or more endpoints is called a network vulnerability assessment. Following a thorough examination of these problems, the infosec professional conducting the evaluation develops a repair strategy based on a predetermined risk.

High-priority assets are categorized according to the business effect and the risk score linked to the vulnerabilities that were found, using a measure known as predefined risk that is determined by the company.

Networks differ in terms of their individual components and complexity; thus, having the appropriate approach and toolbox is crucial for penetration testers, cybersecurity consultants, and security teams in particular. They will be able to do their task more quickly and comprehensively cover all access points inside the target infrastructure.

The procedure for assessing vulnerabilities consists of:

• Manually checking for vulnerabilities by searching for network or web application misconfigurations
• Using technologies to find security flaws and other weaknesses in a network architecture (network vulnerability scanning)

You must employ both strategies to get comprehensive, trustworthy results.

Adversaries can take advantage of unpatched or incorrectly configured systems to attack endpoints with malware or ransomware by taking advantage of known vulnerabilities. As an example, hackers used the same strategy to breach NASA, Amazon Web Services, and Equifax. For this reason, in order to find security flaws that might allow hackers access to sensitive data, security specialists need to do a vulnerability study. At this point in the technological ecosystem, every organization has to be actively involved in a vulnerability management process.

In order to ascertain the organization's security posture, the pentester, consultant, or security team will then disclose vulnerabilities and security problems to the IT staff. The final step in the security evaluation process is mitigation and prioritization, during which internal experts get rid of serious security threats.

From the standpoint of the attacker, success is defined as launching arbitrary code on a system, such as a firewall or router. Since it is not practical to completely eradicate the risk, the network vulnerability assessment aims to considerably reduce it.

What are the costs associated with Network Auditing?

The size and complexity of the business, its current network architecture, and the audit's stated scope all play a significant role in how much a comprehensive network security evaluation costs. Naturally, a complete network audit will cost more as it will include network performance as well as security and other issues like BYOD policies. However, in general, the price range for an extensive network security audit is between several thousand and twenty thousand dollars. Even though this initial expenditure is not trivial, it is modest when compared to the possible expenses of a big security breach.

What are the Best Practices for responding to Security Audits?

The results of a security audit may point to major weaknesses and dangers in your IT procedures and systems. Prioritize, correct, and record your answer in the event that you get a report that has to be addressed right away. The following actions will assist you in addressing security audit findings that require an immediate response.

• Assess the impact: Recognizing the gravity and extent of the audit findings is the first step. What effects do they have on the availability, confidentiality, and integrity of your systems and data? What possible repercussions may arise from ignoring them? What is the number of affected people, devices, and applications? To establish the urgency and resources required for repair, you must evaluate the audit findings' effect.
• Plan the remediation: Developing a plan to address the problems found during the audit is the next stage. You must determine the underlying problem, the optimal remedy, and the necessary implementation procedures. The associated costs, hazards, and dependencies must be taken into account. To determine how to address the audit results in the most practical and efficient manner, you might need to speak with your IT staff, vendors, or specialists.
• Execute the remediation: The remediation plan's execution is the third phase. You must carefully follow the instructions and verify the outcomes. It might be necessary to plan for data backups, interact with stakeholders, or arrange downtime. Documenting the steps taken, the results, and any difficulties or deviations is necessary. In order to reduce the exposure and effect of the audit results, you must carry out the remediation plan as soon as feasible.
• Verify the remediation: Verifying that the issues have been handled by the remediation is the fourth stage. In order to ensure that the findings have been resolved and that no new concerns have surfaced, you must conduct a follow-up audit or review. To prove that the remediation was successful, you might need to present data, metrics, or other supporting documentation. Updates to your rules, practices, and controls are necessary to stop the problems from happening again.
• Report the remediation: Reporting the remediation to the auditor or the appropriate authorities is the last step. You must give a thorough and precise description of the steps you took, the outcomes you obtained, and the lessons you discovered. Additionally, you must demonstrate how you have lowered your risk exposure and strengthened your security posture. In order to meet the expectations and criteria of the audit, you must report the remediation in a timely and professional way.