Investment Decision Analysis In Information Security

The purpose of this paper is that of presenting the economic indicators specific to an investment decision analysis in information security. The motivation for this research originates from the need of having some economic models that will allow the person in charge of making decisions in the field of information security to choose the best technical solutions with optimum investments. It is very hard to evaluate and measure the benefits generated by the security solutions in the field of IT. The paper will explore the facilities offered by the economic indicators specific to the field, such as the return on investment (ROI/ROSI), the net present value (NPV), the internal rate of return (IRR), the dispersion, the standard deviation and the variation coefficient with the purpose of helping the decision makers accomplish optimum investments for reducing the security risk to an acceptable level.