With the new UK Network and Information Systems (NIS) regulations launching in October 2024, intended to boost the whole CNI sector's operational resilience and ability to manage cyber risk, Operators of Essential Services (OES) must be ready to take a proactive, structured, and auditable approach to security in order to achieve and maintain full compliance with the new legislation.
However, the resilience of CNI systems presents a number of singular challenges, all of which must be given careful consideration as we prepare for the new legislation's official launch. Central to this, any downtime not only costs millions but can leave citizens without critical services and – in extreme cases – damage assets and put people at risk of injury.
As will become clear, this process is very much a journey rather than a one-off project, but with the support of trusted technology partners, it will help to ensure the critical services that citizens depend on remain secure and available, able to weather the most sophisticated attacks.
The following should be considered the first steps of this journey, not only in terms of achieving full NIS 2 compliance, but also for establishing a whole new standard of operational resilience across the UK's entire CNI sector…
Identifying the hidden assets within CNI infrastructure
The OES must be able to provide details of what essential services, functions, systems, and sites, are within the scope of the NIS regulations.
Managing, monitoring, and updating legacy infrastructure, remains a vital element of cyber security best practice. However, CNI systems frequently include legacy OT assets that are deeply embedded and difficult to replace without unacceptable risk or disruption to critical operations. Unfortunately, this may only become apparent when the asset in question needs to be remediated and/or fails to restore after an update.
A proactive approach to the management and support of CNI OT systems is an essential component of NIS compliance. This should include monitoring tools that provide visibility of all assets and dataflows, and the ability to detect and alert security threats.
Fortunately, there are three references that support the journey:
The OES must take appropriate and proportionate measures to prevent and minimise the impact of a cyber incident.
The next step is the implementation of an Intrusion Detection System (IDS), which can then normalise dataflows across the entire infrastructure and establish a baseline, so any anomalies can be automatically detected. This doesn't just mean security issues – it could also means planned maintenance, the deployment of new hardware, or elements of a specific project. Regardless of the cause, as soon as a deviation from the established baseline has been detected, the CSOC should receive an automatic alert.
This can then be expanded to draw on wider threat feeds, ensuring security teams are able to proactively secure against the very latest threats, and conduct rigorous post-mortem procedures after a validated cyber incident. Likewise, if the alert is a consequence of new assets being added or a network re-configuration, the IDS toolset can be used to establish a new baseline.
A systematic approach to testing and patching
In a heightened threat landscape, effective testing and patching is critical, but the OES must balance this against critical IT/OT systems' unique operating models.
Once full visibility of all assets and dataflows has been established, it is time to prepare for the worst. With cyberattacks against CNI systems now a near-certainty, it is unfortunately a question of 'when' not 'if' a breach occurs, which means a proactive approach to maintaining the security of all physical and digital assets is essential.
While most organisations will already have some form of regular cyber security testing in place, default IT methodologies are not suitable for integrated IT/OT systems. For example, it is common to automate patching for IT systems, ensuring the latest security updates are implemented as soon as they become available. However, this represents a significant risk for critical, high-availability OT systems and an alternative approach must therefore be taken, with testing and patching carefully controlled and co-ordinated.
Threats and vulnerabilities must be categorised and prioritised on a 'now', 'next', and 'never' basis, supported by a rigorous bi-annual maintenance schedule, undertaken by a trusted third-party. Any partner undertaking such a role must be able to demonstrate proven experience in the convergence of IT and OT and the three methodologies discussed earlier, as well as the ability to supply UK NSV-cleared staff.
NIS 2 compliance and beyond – a unique model of operational resilience
Failure to comply with these obligations could result in enforcement action and penalties, including fines of up to £17 million, depending on the severity and duration of the non-compliance and the harm caused.
As the new NIS 2 fast approaches, CNI's critical IT and OT systems need to evolve at pace. But as they do so, they must accommodate the operational complexity of high-availability systems and sector-specific constraints. When we give this deeper consideration, it becomes clear that the new NIS 2 is very much the latest step of a much longer journey. The decision-making involved – both now and in the years ahead – will be inherently complex, making the support of the right technology partner essential.
Contact us if you'd like to discuss anything we've covered here, and any other aspects of the new NIS 2 regulations before they come into effect. Our highly consultative approach and edge-to-core knowledge of OT and IT technology means that Vysiion are perfectly placed to support you on the journey to compliance and beyond.
Cyber-Secured Engineering
This brochure sets out the Exponential-e Group's pedigree across the CNI sector, and our full range of capabilities, with real-life case studies of our ongoing work with leaders and innovators across the sector.
A well-established leader in British hospitality & leisure, operating numerous world-class pubs and hotels across the country.
With the ongoing move towards a truly cashless, interconnected society, the customer's legacy connectivity was increasingly showing its limitations, unable to handle the growing volume of card payments made on a daily basis, or guests' growing expectations around interconnected systems and amenities – all of which place considerable demands on network infrastructure.
The growing need for a new network foundation was exacerbated by the impending PSTN switch-off, which would render numerous legacy connections unavailable. As a result, the decision was made to execute a full refresh of the network, ensuring it would continue to deliver the required resilience, availability, and security across 350 sites.
A key priority was achieving sufficient capacity to accommodate the most data-intensive applications – including cashless payments, online bookings, app-based ordering, and Sky TV in all rooms. This would need to be fully consistent across all sites, in all rooms, including in proposed future sites where the incumbent provider could not provide the necessary connections. The entire project would need to be completed in advance of the PSTN switch-off, taking into account the specific regulations around the wide range of heritage sites in which the customer operated – a fundamental part of its brand identity and guest experience.
Exponential-e provided the required connection between all sites in which the customer is active, adopting an altnet vendor-agnostic approach that utilised the optimal provider for each of the customer's locations, including its own enterprise-class network. Working closely with internal teams, a comprehensive roadmap was established, with priority given to key sites in order to minimise any operational disruption and ensure the entire migration could be completed in advance of the PSTN switch-off.
Exponential-e's teams also worked on-location at the customer's 150 heritage sites across the country, ensuring that all work was conducted in full compliance with the applicable regulations, helping maintain the unique beauty of each building.
With this new foundation in place, the customer was able to achieve its goal of minimising the day-to-day handling of cash, resulting in more than £1m of savings through risk and labour reductions, while simultaneously providing the resilience and scalability needed to drive further service optimisations and innovations, in line with its long-term strategy of focusing on premium experiences. In the months since, the customer has enjoyed ample opportunities to scale up operations, enter new locations, and seize new opportunities to further enhance the overall guest experience.
We benefit very highly of the network redundancy we have in place with Exponential-e, it allows our business to remain connected so that all of our managed pubs and hotels can trade and take payments
Server & Network Supervisor
The ongoing evolution of our nation's Critical National Infrastructure (CNI) requires large-scale CAPEX investment in core infrastructure, along with the introduction of digital initiatives that support the convergence of physical and digital systems, enhancing performance, efficiency, and availability. This presents a multi-dimensional challenge for CNI organisations, who are often forced to accelerate or adapt their long-term transformation roadmaps, whether this means scaling, restructuring, preparing for an exit or investment, or a combination of all three.
In parallel, the increasing deployment of digital technology amongst Operators of Essential Services (OESs) has led to a range of new security and compliance challenges. When shareholders are made aware of these risks, they - correctly, demand reassurance that their high-value investments will be protected.
For this reason, technology partners supporting CNI verticals must be alert to the requirements of a diverse stakeholder community, offering informed advice throughout the investment process, providing an accurate assessment of risk and compliance challenges, and translating often conflicting priorities into deliverable actions that will drive business growth.
Let's consider how this should work in practice...
Enabling data-driven decision-making throughout mergers and acquisitions
When physical and digital assets are seamlessly and securely interconnected, operators enjoy access to rich veins of real-time data around the status of key platforms. This data can be used to accurately benchmark all security and operational risks against technical and regulatory compliance, establishing their potential impact on service availability and, in turn - the predicted ROI.
When this level of visibility has been achieved, improvements in both efficiency and profitability are unlocked, benefiting the wider stakeholder community and enabling more informed decision-making throughout every stage of mergers and acquisitions, including:
Specialist IT / OT advisory and support to protect investments
This role can be taken further, with technology partners serving as advisors to PE firms and mid-cap boards, providing them with the technical and operational oversight they need to protect and validate their investments. This should begin with rigorous technical (i.e. the IEC62443 standard) and regulatory (i.e. NIS-2018 / CAF) assessments, conducted in line with the overall risk appetite and corporate strategy. Once these information streams have been established, they can be used to augment CIO and CISOs' capabilities, bridging the knowledge gap between enterprise IT and OT systems and optimising governance and risk management.
When it comes to making informed investments in critical infrastructure, the value of objective, strategic guidance from experienced specialists cannot be overstated. Technology partners who are able to support IT leadership in this way will evolve from pure providers to true enablers of business growth, providing tangible value to investors while optimising the performance, security, and availability of critical services.
If you require guidance around any planned or existing investments in CNI infrastructure, contact us to arrange a consultation of potential risks and a detailed assessment of how they can be mitigated, based on globally recognised standards and our deep experience across multiple CNI verticals, including Energy, Utilities, Transport, Defence, and Industry.
Cyber-Secured Engineering
This brochure sets out the Exponential-e Group's pedigree across the CNI sector, and our full range of capabilities, with real-life case studies of our ongoing work with leaders and innovators across the sector.
Across the Hospitality & Leisure sector, more and more data is generated and stored than ever before, throughout every stage of the guest experience. From the initial check-in, to accessing amenities, and post-visit engagement, the modern guest experience is truly interconnected, offering hospitality professionals numerous opportunities to build brand loyalty and develop powerful USPs. It's a transformative time for the sector as a whole, but these growing volumes of data present an extremely attractive target for bad actors. We just have to look at the growing number of high-profile breaches in recent years - where the targets have been left unable to trade and forced to contend with operational disruption, financial penalties, and reputational damage – to see the potentially irreparable effects of such attacks.
It's no surprise that guests expect concrete reassurance that their data will remain secure throughout the duration of their stay and beyond. As a result, organisations across the sector are investing in their cyber security ecosystems, phasing out legacy systems in favour of Security Information and Event Management (SIEM) and Security Orchestration, Automation, and Response (SOAR) platforms that provide fully centralised control and visibility of highly dispersed sites.
The challenge here is that the right digital investments are just the first step towards developing a robust cyber security posture. As seasoned hospitality professionals will already be very much aware, when people and technology come together, great things happen. And it's the same with cyber security.
SIEM and SOAR platforms provide rich veins of actionable, real-time security data in the form of logs, alerts, and analytics. However, far too many organisations investing in such platforms fail to consider how this data will be acted upon, and how a real security alert will be managed. Indeed, in many cases, their internal IT teams simply lack the time and resources to do so - a situation compounded by the growing diversity of cyber security portfolios, where multiple platforms from different providers have been integrated.
This is where a Security Operations Centre (SOC) becomes essential. A world-class SOC combines skilled analysts, defined processes, and supporting technologies to monitor, investigate, and respond to potential threats in real time. Without this operational layer, the expected ROI of digital platforms all-too-often fails to materialise, and in a worst-case scenario, the lack of defined processes may even lead to a security breach going undetected.
However, for many hospitality providers, building and maintaining an effective SOC in-house can be prohibitively challenging, and so there is a strong case to be made for implementing managed SOC services, as many across the sector have already found. Here, trusted partners' own specialists provide round-the-clock monitoring and response, acting as an extension of internal teams. This approach allows organisations to develop a stronger, more agile security posture, while simultaneously enabling internal resources to remain focused on delivering exceptional guest experiences.
So, if you're in any doubt about your overall security posture - whether that's systems, processes, or both - don't hesitate to contact us. Based on a thorough evaluation of your existing systems and processes, we will work closely with you to design, deploy, and maintain a cyber ecosystem that fully supports your day-to-day operations, freeing you to focus on delivering seamless, exceptional experiences for every guest, every time.
A comprehensive overview of digital transformation for the entire Hospitality & Leisure sector.
The UK's local councils are challenged on a growing range of fronts. Budgets and resources are shrinking, but citizens' expectations around the quality and availability of the full range critical services must still be fulfilled, whether this involves making sure the bins are always collected on time, or ensuring the most vulnerable are able to access the support they need. Indeed, at the time of writing, one local council's list of services runs to seventeen pages, with over four-hundred individuals involved in their delivery.
Put simply, councils' frontline staff are being forced to do more with less, making these highly complex service environments prime candidates for intelligent automation. But, as is often the case when it comes to the deployment of agentic AI technologies - there's a lot to consider if the initial investment is to deliver the desired outcomes. Consider the following:
While many councils have already realised agentic AI's applications for purely transactional services (e.g. the payment of parking fines or council tax), it is clear that a deeper understanding of its potential applications is still needed.
One common misunderstanding around AI is that it is best used to replace human agents wherever possible, but this is a fatal misconception. This technology's full potential is as an enabler and enhancer of human expertise and experience, allowing frontline staff to consistently deliver their best while simultaneously ensuring their wellbeing is protected.
Consider a list of services like the one we touched on at the beginning of this article - a quite typical service wrap for local Government organisations. No human agent could sensibly be expected to be able to deliver that many services, but at the same time, hiring individual specialists for every area is not going to be practical when doing more with less is the order of the day.
At Exponential-e, we're already working closely with a number of Government organisations (and numerous others from across the public and enterprise sectors) to bring these concepts to life and establish a clear standard of best practice around where and how agentic AI is implemented. These "cyber advisors", as they are increasingly called, are transforming the way local Government's contact centre environments operate, ensuring citizens enjoy the fastest possible resolutions, while simultaneously freeing up time and resources that can be reinvested in other public services.
A secure digital foundation for better citizen outcomes, operational resilience, and long-term value.
Public sector organisations are under pressure to deliver more with less while meeting rising expectations for secure, always-available services. This guide shows how an integrated approach to connectivity, cloud, cyber security, and communications creates the resilience, scalability, and compliance government demands – turning digital strategy into real community impact.
An exceptional customer journey extends far beyond the initial point of sale. And nowhere is this truer than for subscription-based businesses, whose continued success is based on delivering consistently seamless, high-quality experiences throughout each customer's time as a subscriber - from the initial sign-up through to the point where they decide to terminate their subscription for whatever reason.
Indeed, these new models have transformed the way many businesses interact with their customers, applying lessons learned from established subscription-based services, such as gyms and streaming services. From both traditional retailers and ecommerce specialists offering scheduled deliveries of household essentials, groceries, and entertainment products, to the now-ubiquitous software-as-a-service model and premium subscriber options on popular social media platforms, there are numerous channels for forward-thinking businesses to establish 'sticky' streams of income, with more still to reveal themselves.
However, the rules around offering and managing subscriptions and memberships of any sort are about to change, particularly with regards to cancellations…
Throughout 2026, the Competition and Markets Authority (CMA)'s regulations around buyer protection and autorenewals are going to evolve, as part of the existing Digital Markets, Competition and Consumers Act 2024 (DMCC Act), in order to help consumers avoid getting trapped in unwanted subscriptions. Organisations found to be in violation of these new regulations can expect to face fines of as much as 10% of their annual revenue.
As a result, any retailer that offers subscriptions or memberships of any kind must be aware of how these changes will impact them in the months ahead and, adapt their systems and processes to ensure they remain fully compliant with all applicable regulations, and - most importantly - ensure that they are still able to offer a world-class experience for their subscribers.
So, what's about to change and how can we best prepare?
There's certainly a lot to consider here, but rather than treating these changes as onerous compliance obligations, why don't we treat them as an opportunity to reconsider the overall subscriber journey, and look for new opportunities to enhance it?
Traditionally, when a customer wishes to cancel a subscription or membership, they've done so by speaking to an agent, who will then have the opportunity to discuss their reasons for cancelling and potentially offer some perks to change their mind. In light of the changes mandated by the new DMCC, this is unlikely to be practical in the majority of cases, when customers are able to unsubscribe with a single click. This has the potential to create a serious loss leader for subscription-based businesses whose customer engagement strategy is based on an initial discount or free gift (e.g. the first month's delivery is free, after which the subscriber pays the usual rate), as there is nothing to stop customers hitting 'unsubscribe' right before their first payment is due.
However, with agentic AI and intelligent automation currently transforming both the contact centre environment and the wider customer journey, numerous opportunities have presented themselves to ensure full compliance can seamlessly co-exist with personalised experiences that maximise long-term retention and build brand loyalty.
For example, if someone is looking to cancel via a page on your website and you have already implemented a chatbot function that they use to request a cancellation, the bot can automatically engage a real customer service agent, who can discuss the reasons for their cancellation, provide any hands-on support they need, and (ideally!) offer any perks or resolutions that will entice them to stay.
If your contact centre environment and chatbot functions have been intelligently integrated (as they should be!), these interactions can then be utilised to drive further optimisations, such as ensuring cancellation requests are routed to agents who have the best records of retaining customers, or ensuring agents don't invest their time and effort on accounts that have no realistic chance to renewing their subscriptions. For example, AI-based analytics can identify trends in customer data, such as individual addresses that have signed up for multiple trials but never made a purchase, which will allow agents to focus their attention where it will prove most effective.
And of course, the best approach to minimising cancellations is ensuring customers never want to cancel to begin with! All the data gather through customer interactions - whether it's with an agent or chatbot - can help build up more accurate, comprehensive customer personas that support highly personalised offers, helping to maximise the number of subscription renewals.
Above all, while regulations evolve and customer expectations naturally shift, the value of a personalised experience, delivered by an attentive, knowledgeable professional is a constant for the Retail sector. If we keep this in mind while making full use of the possibilities AI-powered automation offers us, the opportunities will be tremendous.
If you'd like to take a deep dive into your own customer journey and identify where the intelligent application of new technologies could make that all-important difference, just get in touch.
Our Retail brochure offers a comprehensive overview of how we draw on a deep understanding of the sector's singular challenges, an evolving technology ecosystem, and a highly consultative approach to offer bespoke solutions that help staff deliver their best for every customer - both online and in person.
In today's interconnected society, our data is a fundamental part of our personal and professional lives, informing everything from the way we communicate and collaborate with our colleagues to the way we do our weekly shop. Seamless, secure flows of data have transformed the way we access many critical services and helped bring a rich vein of new innovations to market, but as with any period of intensive technological evolution, these benefits have come at a price…
In a highly unpredictable geopolitical landscape, the growing volumes of data created, stored, and transferred by public sector and enterprise organisations present an extremely attractive target for bad actors, as does corporations' intellectual property and citizens' personal data. It's unsurprising that organisations across the public and private sectors are treating the continued integrity of their data as a critical priority – not only to avoid the financial and reputational consequences of a breach, but also to provide customers and prospects with assurance that their critical data will always be protected, both at rest and in transit.
Data sovereignty is a key part of this journey, by which we mean – in the broadest sense – guarantees over the geographical locations in which data may be stored. Most technology providers will already have such guarantees in place, typically involving the location of their hosting environments. However, with the now near-ubiquity of Cloud platforms and the growing complexity of security and compliance, the nature of true data sovereignty is no longer so clear.
This is why Exponential-e has continued to develop our ability to guarantee true data sovereignty, in direct response to the evolving digital and geopolitical landscapes. To this end, we were recently certified as a VMware Sovereign Partner, reflecting our ability to provide complete assurance around the sovereignty and control of digital assets. The are multiple dimensions to this, including our hosting facilities, support, management, regional jurisdictions, security clearances, and ability to deliver complementary services, such as Bring Your own Key (BYoK) and both shared and dedicated Cloud environments. As a proudly UK-based company for more than twenty years, our full range of solutions is designed with true sovereignty inherent in the design – something we continue to develop in response to the latest regulations, geopolitical shifts, and security challenges.
If you are in any way concerned about the sovereignty of your data and your key platforms, do not hesitate to reach out to our team, who will guide you through these challenges, ensuring you can continue your Cloud journey with complete peace of mind.
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