5 Best Practices to Prepare for NIS2 Compliance

Organizations must always be aware of the constantly changing compliance landscape to protect their sensitive assets and avoid paying millions in fines. The rapid development of cyber threats fueled by the global pandemic and cyberwarfare has forced the European Union (EU) to update its NIS Directive.

We understand the pain of having to read hundreds of requirements and legislation documents, so we’ve done it for you. This article will help you structure your journey toward NIS2 compliance, providing you with an actionable list of best practices so you can prepare your organization in time.

Download our ebook for a more detailed guide to the Directive, containing a complete NIS2 compliance checklist and steps for meeting each cybersecurity requirement.

What is the NIS2 Directive?

NIS2, or Directive (EU) 2022/2555 is a set of cybersecurity requirements for organizations across many industries vital to the EU economy. The Directive aims to enhance the overall level of cybersecurity within the EU and ensure the resilience of networks and information systems of critical entities operating in the region.

Building upon the foundation of the original NIS Directive (introduced in 2016), NIS2 significantly broadens its scope to include more essential services, critical infrastructure organizations, and digital service providers across the EU. It also introduces higher penalties for non-compliance and stricter cybersecurity requirements to address evolving threats.

Overview of the NIS2 Directive

NIS2 came into force in January 2023, introducing security requirements, reporting obligations, and sanctions as a response to the increased frequency and impact of cyberattacks on critical EU infrastructure in recent years. Member States were required to transpose each measure into national law by October 17, 2024; however, some countries are still working on updating legislation.

The importance of the NIS2 Directive for businesses

Europe’s critical sectors and businesses have been the target of an increasing number of malicious attacks in recent years. According to the ENISA 2024 Threat Landscape Report, the cybersecurity landscape in the EU Member States witnessed a significant increase in both cyberattacks and their consequences.

By taking cybersecurity measures required by the NIS2 Directive, organizations can counteract this negative trend and protect themselves from social engineering, supply chain attacks, and other threats outlined in the ENISA report. Among other things, adhering to NIS2 can benefit your organization as follows:

Even though achieving compliance with the NIS2 requirements might be challenging, the long-term benefits for businesses are significant. By adopting a proactive approach to cybersecurity and implementing the NIS2 cybersecurity requirements, organizations can protect their business operations, maintain their reputation, and contribute to a more resilient and secure digital ecosystem in the EU.

Unsure whether your organization falls under the scope of the Directive? Read on to find out.

Who does NIS2 apply to?

Many EU organizations have questions about NIS2 applicability. NIS2 applies to entities operating in the EU, regardless of the entity’s geographical presence. Organizations in the following sectors are subject to the Directive:

Note: For more details on affected sectors and organizations, please refer to Article 2 of the NIS2 Directive and Annexes I and II.

Read on for practical steps to ensure compliance with NIS2 requirements.

Core components of NIS2

The NIS2 Directive introduces a comprehensive cybersecurity framework and mandates that organizations adopt various security measures to protect their critical infrastructures and sensitive data. We have condensed these measures into four key components that make up the NIS2 Directive:

Risk management

NIS2 requires organizations to adopt a proactive risk management strategy to identify, assess, and mitigate cybersecurity risks. This includes implementing strong security policies and using best practices like regular risk assessments and user access reviews. By integrating risk management into your cybersecurity framework, your organization can better prevent, detect, and respond to cyber threats.

Identity and access management

NIS2 commands organizations to enforce strict access control policies to protect sensitive data and critical IT infrastructure. Organizations subject to NIS2 must implement privileged access management (PAM) solutions, enforce role-based access control (RBAC), and ensure that only authorized personnel can access specific systems. Strong identity management helps prevent unauthorized access and reduce the risk of data breaches.

Supply chain security

The refreshed Directive emphasizes the importance of supply chain protection. Organizations subject to the Directive are now responsible for ensuring that their vendors, partners, and third-party providers comply with the relevant cybersecurity requirements. This includes verifying that suppliers have implemented robust security measures and managing risks associated with third-party access to critical systems and data.

Incident management and reporting

To guarantee prompt incident response as required by NIS2, organizations should develop a comprehensive incident response plan (IRP), outlining the essential steps to take in the event of various types of cybersecurity incidents. An IRP provides your security officers with the guidance and confidence to swiftly detect and respond to security threats.

NIS2 also introduces strict reporting obligations for cybersecurity incidents, requiring affected organizations to notify national authorities, such as CSIRTs (Computer Security Incident Response Teams), within a structured timeline. An initial report must be submitted within 24 hours of detecting an incident, followed by a detailed update within 72 hours and a final report within a month. Following this reporting procedure allows organizations to ensure transparency, quick response, and effective mitigation of cyber threats.

Your organization can significantly strengthen its cybersecurity posture, minimize risks, and ensure regulatory compliance by adopting the core components of NIS2.

For a more comprehensive view of all Directive requirements, refer to our detailed guide on NIS2 compliance.

Let’s now explore the 5 essential best practices to get you started preparing for the NIS2 Directive.

5 tips and best practices for NIS2 compliance

In this section, we’ll review useful tips and best practices to ensure compliance with NIS2 requirements:

1. Understand the scope

The first steps to achieving NIS2 compliance include understanding the scope of NIS2, which of your OT/IT systems fall under this scope, and what challenges you may face in achieving compliance. Consider the following questions:

• What essential services does your organization provide?
• Can your organization be considered an essential or important entity in your country?
• What new security measures might your organization need to implement to ensure compliance?
• Do you have any suppliers, partners, or customers subject to the Directive?
• Should you include any new obligations in contract agreements with your suppliers and partners regarding NIS2 compliance?

If your organization belongs to the critical sectors defined by NIS2, it’s also important to consider your organization’s size, as only medium and large organizations are subject to NIS2.

Organizations with fewer than 50 employees or an annual turnover of less than €10 million are not affected by NIS2 unless deemed critical to society. Article 2 of the Directive also provides a list of other exceptions regardless of the entity’s size.

2. Study the NIS2 security requirements

Article 21 of the Directive outlines the main NIS2 requirements, most of which focus on organizational security:

While specific laws and regulations transposed from NIS2 may differ among Member States, they all codify the same cybersecurity requirements.

3. Conduct gap analysis

Once you’ve identified the scope and requirements of NIS2, you’re ready to compare them to the existing security measures implemented in your organization. A gap analysis bridges any existing gaps between the current state of compliance and the desired one.

For a proper gap analysis, take the following key steps:

1. Define the requirements and scope of gap analysis. Compose a scope statement outlining the processes, systems, policies, and people you’ll be assessing.
2. Determine the desired benchmarks. Define the ideal state of compliance your organization wants to achieve.
3. Assess your current state of cybersecurity. Evaluate and document your existing cybersecurity policies, procedures, and controls.
4. Compare existing controls with the required ones. Cross-reference your current cybersecurity measures and policies with the NIS2 Directive requirements.
5. Identify compliance gaps. Pinpoint areas that your current state of cybersecurity lacks in order to comply.
6. Prioritize the gaps. Determine the level of severity and impact of the identified compliance gaps.
7. Develop an action plan. Based on the identified gaps and set benchmarks, create a detailed roadmap to cover all compliance gaps, with clear goals and deadlines.

Consider conducting a gap analysis regularly to keep up with constantly changing cybersecurity requirements and identify potential flaws in your compliance program.

4. Allocate the necessary resources

Successful implementation of the NIS2 Directive requirements involves allocating the resources needed, including money, people, and technology:

Estimate a budget for compliance activities. Planning will allow you to get executive approval for your compliance decisions and avoid unexpected expenses. There’s no one-size-fits-all scenario for planning a budget increase, as it varies depending on the cybersecurity measures already existing within your organization.

Assign responsible employees. This step involves assembling a team responsible for achieving compliance. Such a team may include security analysts, compliance officers, and IT professionals. Clearly define the responsibilities of each team member, ensuring that everyone understands their role.

Invest in security technology. Research which technological solutions can help you close the gaps that were identified during your gap analysis. Consider employing automation tools that streamline compliance processes and reduce the manual workload.

5. Involve your top management

The success of any compliance initiative relies on the backing of your organization’s leaders. The executive board must be aware of your organization’s top-tier security needs, as it plays a crucial role in ensuring NIS2 compliance.

First and foremost, inform your board of the penalties described in the NIS2 Directive. In addition to extensive fines, NIS2 details the liability of the “management bodies” regarding infringements of cybersecurity requirements and reporting obligations of the Directive.

Educate senior executives about cybersecurity risk management. Conduct educational sessions with the executive board to enhance their understanding of cybersecurity issues, NIS2 cybersecurity requirements, and the organization’s current cybersecurity posture.

Article 20 of the NIS2 Directive requires the organizations’ top management to:

• Approve cybersecurity risk management measures and oversee their implementation
• Undergo training and offer regular training to employees to increase overall knowledge and skills in the organization so all personnel can better identify risks and assess cybersecurity risk-management practices.

Seek executive sponsorship. Find an executive to support your cybersecurity initiatives, promote your NIS2 compliance efforts, and advocate for the necessary resources. Collaborating with such an executive allows you to align your actions with the board’s expectations and speed up compliance-related processes.

Download our ebook containing our definitive NIS2 checklist and best practices to ensure compliance with the NIS2 Directive:

Complying with the Directive requires the implementation of cybersecurity software tools and NIS2 compliance solutions. See how Syteca can help you meet your needs in the section below.

Achieving NIS2 compliance with Syteca

Syteca is a cybersecurity platform designed to secure organizations against insider threats. Equipped with a feature-rich toolset, Syteca can enhance your organization’s cybersecurity resilience and help you implement NIS2 requirements — all with one single solution.

Here are just some of the ways you can use Syteca to enhance your organization’s cybersecurity protection, increase visibility inside your perimeter, and manage internal risks:

• Manage access permissions and verify user identities with two-factor authentication (2FA) to prevent unauthorized access to your critical endpoints.
• Discover unmanaged privileged accounts to eliminate blind spots in your IT environment.
• Implement the just-in-time approach and secure sensitive data by granting your partners, third-party vendors, and suppliers temporary access.
• Leverage workforce password management to ensure the secure creation, storage, and sharing of secrets.
• Monitor and record the activity of your employees and third parties to oversee how they interact with your sensitive assets.
• Receive real-time notifications about suspicious user behavior to keep your security team ahead of threats.
• Configure automated incident responses to promptly kill suspicious processes and block users violating security policies.
• Generate custom reports to get more details on employee activity and support security audits.

To see all the ways Syteca can help you align your strategy to comply with NIS2 requirements, read our ebook on achieving NIS2 compliance.

Conclusion

NIS2 requires critical EU entities to implement a wide range of requirements. If your organization is an essential or important entity, consider covering any gaps between your organization’s current state and the NIS2 requirements to enhance your cybersecurity and avoid fines. Preparing for NIS2 involves focusing on access management, activity monitoring, supply chain security, incident response, and other cybersecurity measures described in the Directive and explained in our ebook on NIS2 compliance.

As a comprehensive cybersecurity platform, Syteca offers numerous capabilities in a single solution, helping you implement the measures required by NIS2.