Cyber threats are escalating at an unprecedented pace. From sophisticated ransomware campaigns that lock down entire networks to stealthy phishing attacks targeting users, no organisation is immune. For local councils, SMEs, and not-for-profits alike, a single breach can mean lost data, service disruptions – and a serious hit to public trust.
This is where penetration testing (or pen testing) comes in. Rather than waiting for attackers to strike, a pen test proactively emulates their tactics – identifying hidden vulnerabilities before they can be exploited by the attackers themselves.
What is Penetration Testing (Pen Test)?
Think of a penetration test as hiring a friendly hacker to try and break into your systems. Under strict rules, these ethical hackers use the same methods as criminals to find weak spots in your network, applications and devices.
Realistic Testing: Pen testers scan for open ports, try malicious code injections and attempt to gain higher access to your systems – just like a real attacker would, but with your permission.
Industry Validation: Studies consistently show that organisations conducting regular pen tests detect and address critical vulnerabilities before they lead to incidents. About 60% of Australian businesses conduct some form of penetration testing (Kordia).
Damage Avoidance: The global average cost of a data breach is approx 7.3 million AUD – pen testing can avert a significant share of those costs.
Once pen testing is completed, a confidential report is provided , outlining how each simulated breach was achieved, the impact or consequences if those weaknesses are exploited by real attackers, and a remediation plan with practical, priority-based steps to close every gap.
Why Do You Need a Pen Test?
There are numerous benefits of conducting cyber security penetration testing, many of which clearly outweigh any potential drawbacks. Regular pen tests help strengthen your organisation’s cyber defences and support broader cyber security information management audit efforts. Key advantages of penetration testing include:
Protect your corporate reputation and company profile In Australia, 62% of small and medium businesses reported experiencing a cyber incident in the past year (cyber.gov.au). A pen test helps you avoid breaches that erode customer and stakeholder trust.
Identify and assess security threats proactively Regular pen testing allows you to detect and address vulnerabilities before attackers do, ensuring unauthorised access to critical systems and sensitive data is mitigated.
Reduce the risk of service outages and costly cyber events Consistent cyber security assessments can significantly reduce the cost of cyber incidents, financial losses, disrupted services, and compromised customer trust.
Maintain Business Continuity Unplanned downtime from a security breach can cost thousands per hour. Pen tests reveal weak points—letting you patch them before they lead to costly outages.
Meet compliance and regulatory obligations Standards such as PCI DSS, ISO 27001 and NIST explicitly require regular penetration testing. Demonstrating a robust program simplifies your audit process and guards against fines.
Demonstrate Due Diligence When you can show partners, regulators and customers that you conduct routine pen tests, you build confidence in your organisation’s security posture. Cyber security penetration testing isn’t just best practice; it’s a critical component of any organisation's ongoing risk management and disaster preparedness strategy.
How Does a Pen Test Work?
A well-structured cyber security pen test follows four key phases – each designed to mimic real-world attacker behaviour to keep your systems safe.
Reconnaissance (Information Gathering): Objective: Map your digital footprint This initial stage involves gathering as much information as possible about the target system using both passive (publicly available data) and active (network probing) techniques. This helps testers understand the system architecture, applications, and potential entry points.
Scanning (Vulnerability Discovery):Objective: Pinpoint potential entry points. Using automated tools (such as Nmap, Nessus etc.,) and manual methods, testers map out the network and identify open ports, active services, and potential vulnerabilities.
Exploitation (Attack Simulation): Objective: Validate real-world risk. Once weaknesses are identified, testers attempt to exploit them just as a real attacker would. This might involve bypassing authentication, injecting malicious code, or escalating privileges to access sensitive data. The goal is to assess the potential damage an attacker could cause.
Reporting (Findings and Remediation): Objective: Provide clear, actionable insight. A comprehensive report is generated detailing the vulnerabilities found, the methods used, and actionable recommendations for remediation. This report is critical for improving your cyber security information management processes and ensuring regulatory compliance.
Penetration testing tools
Pen testers employ a range of tools for reconnaissance, vulnerability detection, and automation within the penetration testing process. Key examples of the pen test tools are:
Port Scanners
Example: Nmap
Purpose: Identify open ports, active services and basic operating system fingerprints on your network.
Vulnerability Scanners
Example: Nessus, OpenVAS
Purpose: Automate detection of known vulnerabilities, missing patches and common misconfigurations.
Web Application Proxies
Example: Burp Suite
Purpose: Intercept and manipulate HTTP(S) traffic between browser and server—ideal for finding SQL injection, cross-site scripting and authentication flaws.
Exploit Frameworks
Example: Metasploit
Purpose: Provide a library of ready-to-use exploits and payloads, speeding up attempts to validate the risk of a vulnerability.
Credential-Cracking Tools
Example: Hashcat, John the Ripper
Purpose: Test password strength and attempt to crack hashed credentials using dictionary and brute-force methods.
Packet Analyzers
Example: Wireshark
Purpose: Capture and analyse network traffic at a low level—useful for spotting unencrypted data, protocol weaknesses or malicious activity.
Custom Scripts and Manual Techniques
Purpose: Address gaps that automated tools miss, such as business-logic flaws, complex multi-stage attacks or bespoke application vulnerabilities.
A comprehensive pen test combines these types of tools in a structured workflow—automating broad scans where appropriate, then digging deeper with manual analysis and custom testing. This hybrid approach ensures maximum coverage and reliable results tailored to your environment.
Invest in Penetration Testing for ROI Value
While a professional pen test can be costly upfront, the long-term value far outweighs the cost. Here’s how to measure your return on investment.
Avoided Breach Costs: Australian Average: IBM’s 2024 Cost of a Data Breach Report places the average cost of a breach in Australia at approximately 4.26 million AUD (source). Early detection via pen testing helps to prevent incidents that could incur these expenses.
Reduced Incident Response Expenses: The Australian Cyber Security Centre (ACSC) reports average cyber-incident costs of AUD 39,000 for small businesses and AUD 88,000 for medium businesses (source). Identifying vulnerabilities before they are exploited can significantly lower these figures.
Enhanced Disaster Recovery Planning: Penetration testing supports your disaster recovery strategy by identifying weaknesses that could disrupt business continuity. Prevented breaches translate to fewer unplanned outages, saving thousands.
Enhanced Stakeholder Confidence: While harder to quantify, maintaining a robusttesting program strengthens customer, partner and regulator trust – often leading to new contracts and renewed partnerships.
Regulatory and Insurance Benefits
Audit Readiness: Regular pen tests demonstrate due diligence for standards like PCI DSS, ISO 27001 and NIST, simplifying compliance audits and reducing the risk of fines.
Cyber Insurance: Many insurers offer lower premiums—often 5–15% discounts—to organisations that conduct annual penetration testing.
The Role of Penetration Testing in Cyber Security and Information Security Management
Here’s how penetration testing can integrate into broader risk and compliance frameworks:
Risk Management Integration Penetration testing provides actionable insights into security risks, enabling organisations to prioritise and address critical issues as part of their broader risk management strategy.
Enhances Overall Security Posture:
Defence-in-Depth Validation: By testing network, application and human layers, pen tests confirm that your layered security controls (firewalls, WAFs, MFA, employee training) work together effectively.
Gap Identification: Beyond patching known software flaws, pen tests reveal business-logic and configuration gaps that automated scans often miss—strengthening your overall security fabric.
Alignment with ISO 27001 & Other Standards: Pen testing aligns with compliance requirements, aiding in the implementation of controls outlined in ISO 27001 and other information security standards.
The Types of Penetration Tests
Penetration testing involves various methods tailored to specific systems and threat scenarios. Each pen test type helps organisations uncover vulnerabilities across different layers of their IT infrastructure.
Network Penetration Testing (Internal/External): Network penetration tests the security of the network infrastructure. External tests simulate attacks from outside the organisations, while internal tests mimic threats from within, such as a rogue employee or compromised account.
Web Application Pen Testing: Involves website and online services checks for common bug – like SQL injection or broken login forms that could let attackers steal data or run malicious code.
Mobile App Tests: Reviews mobile applications for security issues such as unsecured data storage, weak logins or session problems that could put user information at risk.
Wireless Network Pen Tests: Wireless network pen testing examines your Wi-Fi setup for weak encryption, guest-network flaws or fake access points that could put user information at risk.
Social Engineering Testing: Tests how well staff spot ‘human’ attacks – like phishing emails or scam phone calls – to strengthen security awareness and training.
Cloud Security Testing: Looks at cloud services (AWS, Azure, Google Cloud etc.,) for misconfigured storage, overly broad user permissions or insecure APIs that could expose your data.
Penetration Testing: Black Box vs. White Box vs. Grey Box
Penetration testing can be classified based on the level of access and information given to the tester. Understanding the differences between Black Box, White Box, and Grey Box pen testing helps organisations choose the right approach for realistic threat simulations and targeted security assessments.
Black Box Testing
Knowledge: None. The tester approaches your systems as an outsider with no internal details.
Use Case: Simulates an external attacker probing your public network or web application.
Pros & Cons: Realistic but time-consuming—tests everything from scratch.
Grey Box Testing
Knowledge: Limited (e.g., user credentials, network diagrams).
Use Case: Focuses on key assets where the tester has some insider context.
Pros & Cons: More efficient than black box, while still reflecting an attacker with partial knowledge.
White Box Testing
Knowledge: Full access to source code, architecture, configurations.
Use Case: Examines every part of your system in depth—ideal for critical applications.
Pros & Cons: Fast and thorough, but less reflective of an external attacker’s perspective.
Choosing between these depends on your objectives—whether you want a realistic external view (black box), a balanced internal/external perspective (grey box), or a comprehensive code-and-config inspection (white box).
What is the Penetration Testing Process & How Long Does it Take?
Penetration testing is a structured process designed to identify, exploit, and report vulnerabilities in an organisation’s systems. The goal is to assess how a real attacker might breach security defences and help businesses mitigate risks before they’re exploited.
Planning: This initial stage defines the scope, objectives, systems to be tested, and the rules of engagement. It ensures alignment between stakeholders and testers.
Information Gathering: Also known as reconnaissance, this phase involves collecting data about the target through both passive (public sources) and active (network probing) methods.
Vulnerability Identification: Using automated tools and manual techniques, testers scan for security flaws in applications, networks, and systems.
Exploitation: In this critical phase, testers attempt to exploit identified vulnerabilities to determine their potential impact and the access levels an attacker could achieve.
Reporting: A detailed report is delivered outlining vulnerabilities found, methods used, potential risks, and recommended remediation steps.
Timeline Depending on the scope, size, and complexity of the systems involved, penetration testing can take anywhere from a few days to several weeks to complete.
Who Performs Pen Tests?
Penetration tests are carried out by skilled cyber security professionals known as penetration testers or ethical hackers. Depending on your resources and needs, you have three main options:
In-house Security Teams: Large organisations may have dedicated cyber security teams trained to perform internal pen tests on a regular basis.
External Cyber Security Firms (such as Centium): External specialist firms bring an independent perspective and often have access to the latest tools. They can provide an objective assessment through specialised methodologies and broader industry experience.
Certified Ethical Hackers (CEH): These professionals hold recognised certifications and follow legal and ethical guidelines to perform comprehensive tests. They are often useful for smaller or narrow scoped tests and are often more cost effective than external security firms.
Key Credentials to Look For:
Certifications: OSCP, CEH, CISSP, CREST or equivalent.
Experience: Proven track record in your industry or technology stack.
Reporting & Support: Clear documentation and post-test guidance.
Choosing the right provider ensures your pen test is both thorough and aligned with your organisation’s risk profile.
In Australia, many companies turn to certified penetration testing services providers like Centium to ensure compliance with frameworks like ISO 27001 and enhance their overall security posture.
Pen Test Report
Every penetration test concludes with a concise, actionable report. Think of it as your roadmap to close security gaps. A strong pen test report typically includes:
Executive Summary
A non-technical overview of scope, major findings and overall risk level.
Methodology
What was tested, under which conditions (black/grey/white box), and which tools were used.
Findings & Risk Ratings
For each issue: a simple description, evidence (screenshots/logs), severity level and affected assets.
Impact Analysis
What could happen if the vulnerability were exploited—data loss, downtime or compliance fines.
Appendices Full technical details—raw tool outputs and retest criteria.
The Executive Summary of a straightforward pen test report can look similar to the example below.
FAQ: How Much Does Penetration Testing Cost?
At Centium, we believe in clear, straightforward pricing for every penetration testing engagement.
Our fees are determined by a number of factors: the number of assets in scope (such as IP addresses, applications or endpoints), the type and depth of testing you require (network, web application, cloud or mobile—and whether it’s black-box, grey-box or white-box) and the complexity of your environment or compliance obligations (for example, custom architectures, micro-segmentation or regulated data under PCI DSS or ISO 27001).
Rather than presenting generic price brackets, we prefer to start with a brief discovery call to understand your needs and develop the best approach with you. During that conversation, we’ll map out your testing objectives, review the systems you want assessed and clarify any regulatory requirements. From there, we’ll provide you with a fully transparent proposal that outlines the precise scope, methodology and deliverables. You’ll know exactly what’s covered, from the initial vulnerability scan through to the final debrief and documentation.
While cost certainly matters, the true value of a penetration test lies in the depth of expertise our testers bring, the clarity and actionability of our reporting, and the ongoing support we provide. A well-executed test not only uncovers critical weaknesses but also helps you prioritise fixes, satisfy auditors, and demonstrate to stakeholders that your organisation takes security seriously.
FAQ: How Often Should You Conduct Penetration Testing?
Penetration testing is not a one-off activity; it should be an ongoing part of your cybersecurity strategy, especially as systems and networks evolve.
Annual Frequency: Most compliance frameworks require a yearly pen test to validate your baseline security posture. Larger or highly regulated organisations with broader digital footprints may require more frequent testing.
After Major Changes: It is recommended to schedule a pen test just before launching any new applications, before any significant infrastructure updates, or before integrating third party systems. This helps ensure no new vulnerabilities are introduced.
Following Security Incidents: If you experience a breach or near-miss, conduct an immediate pen test to verify that remediation efforts fully address the root causes.
FAQ: How Do You Select a Penetration Testing Provider?
When choosing a penetration testing provider, look for:
Relevant Certifications: OSCP, CEH, CISSP or CREST to ensure credibility.
Proven Experience: Ask for case studies or references in your industry and with similar environments (cloud, web apps etc.,).
Comprehensive Reporting: Sample their report format – look for clear, prioritised findings that include business impact and remediation guidance.
Proven Track Record: Client references and past success in similar industries.
Common Pitfalls to Avoid When Hiring a Cyber Security Company
When engaging penetration testing services, avoid these common mistakes:
Choosing based on price alone: A low bid may mean less thorough testing, inexperienced testers or superficial reporting. Remember, the real cost of a missed vulnerability far outweighs a small upfront saving.
Overlooking reporting quality: A pen test is only as good as its report. If the findings aren’t clearly prioritised, tied to business impact and accompanied by actionable remediation steps, your team will struggle to address critical issues.
Lack of post-test support: Vulnerabilities aren’t “fixed” the moment you apply a patch. Ensure your provider offers retesting or validation services to confirm that remediation efforts are effective
Not checking credentials or case studies: Certifications (e.g., OSCP, CEH, CREST) and real-world case studies demonstrate a tester’s competence. Always ask for references or sample reports to gauge their expertise and professionalism.
By avoiding these common missteps, you’ll secure a penetration testing engagement that truly strengthens your security posture rather than merely checking a compliance box.
How Can Centium Help You with a Pen Test?
At Centium, we combine deep cybersecurity expertise with a collaborative approach to deliver penetration testing that not only identifies vulnerabilities but also drives lasting improvements. We partner with two leading ethical-hacking specialists to execute rigorous, Australia-focused tests—covering networks, applications, cloud and mobile environments. Beyond uncovering risks, we provide clear, prioritised remediation plans and hands-on support to validate fixes and strengthen your defences over time.
With Centium as your cyber security partner, you can rest assured that your valuable information and IT systems are protected, and you will be much better placed to mitigate potential cyber-attacks.
To learn more about our cyber security and information management services, or to discuss your specific needs, please contact our Director, Scott Thomson, directly at the contact details below.
