---
title: "What is NIS2?: Turn Compliance into a Competitive Advantage"
description: In this blog we will discuss what exactly NIS2 is.
image: https://upthink.works/hubfs/image-png.png
---

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# What is NIS2?: Turn Compliance into a Competitive Advantage

Published: June 15, 2025

## ![](https://upthink.works/hs-fs/hubfs/image-png.png?width=438&height=248&name=image-png.png)

The EU’s NIS2 Directive (Network and Information Systems 2) is more than a regulatory update, it's a shift in how digital security is viewed and valued. For tech vendors and service providers, it's also a rare opportunity: to not only meet compliance standards but to turn those efforts into a sales, trust, and brand advantage.

## What Is NIS2 and Who Does It Apply To?

NIS2 expands the scope of the original NIS Directive. It now applies to both 'essential' and 'important' entities across a wide range of sectors, including digital services, cloud, energy, transport, finance, and health. If you are a technology vendor supplying services to these industries, you may fall under direct or indirect obligations.

## What This Means for Corporate Security Audits

Security and compliance are converging. NIS2 is a critical reference point in security reviews, procurement decisions, and internal risk assessments. Companies are asking:

- Are our suppliers NIS2-aligned?
- Can they demonstrate proactive security management?
- Do they pose a risk to our compliance status?

## What Procurement Teams Expect from Tech Vendors

Procurement has shifted from cost and performance alone to include cybersecurity assurance. To stay competitive, vendors must be ready to show:

- Clear security governance and accountability (CISO, DPO roles)
- Proven ability to detect and respond to incidents quickly
- Defined breach detection and notification policies
- Recent independent audits (ISO 27001, SOC 2)
- Strong supply chain risk management

## How to Align with NIS2 and Avoid Lost Deals

The roadmap to readiness is clear:

1. Identify if you're in scope (essential or important entity)
2. Document your cybersecurity governance and assign responsibilities.
3. Prepare a compliance pack with key certifications and policies.
4. Proactively inform clients about how you're meeting NIS2 before they ask.

Transparency and preparedness win more than compliance, they win trust.

## What Boards Need to Do

Under NIS2, boards and executive leadership are not exempt, they’re accountable.

Actions boards should take:

Cybersecurity is now a board-level business issue, not just an IT concern

Position NIS2 as a strategic advantage across sectors by focusing on its impact on trust, procurement eligibility, and long-term resilience.

In banking, NIS2 intersects with DORA, highlighting the importance of third-party vendor risk management. In insurance, it ties into enterprise risk frameworks and the reputational cost of digital vulnerabilities.

- Appoint a responsible executive for cybersecurity oversight
- Integrate NIS2 into enterprise risk frameworks
- Request regular updates on vendor compliance and supply chain resilience
- Ensure incident response plans are tested and communicated

This isn’t about technical controls, it’s about leadership, accountability, and reputation management.

## The Opportunity: Turn Compliance into a Competitive Advantage

Companies that treat NIS2 as a business enabler, rather than a burden, gain more than just regulatory peace of mind:

- Shorter sales cycles
- Higher trust in procurement reviews
- Better positioning in regulated sectors
- Future resilience against evolving cybersecurity laws

When security matters to buyers, showing your compliant builds trust.

## What to do next

NIS2 isn’t just about staying compliant, it’s a chance to show you’re serious about security.  Check where you stand, be clear with your clients, and use compliance as a way to build trust.

**If you’d like help getting started, contact mary@upthink.works**

###### Categories:

[ESG](https://upthink.works/thinking/tag/esg)

![Mary Cronin](https://upthink.works/hs-fs/hubfs/Profile%20Images/Mary%20Cronin_IMG_0227-BW.jpg?width=50&height=50&name=Mary%20Cronin_IMG_0227-BW.jpg)

Author: [Mary Cronin](https://upthink.works/thinking/author/mary-cronin)   
 June 15, 2025

 Mary is an innovation specialist, systems thinker and circular economy facilitator. As the founder of UpThink Innovation Agency, Mary works with SMEs and large organisations as a circular economy/climate change/ESG consultant.

[Follow me on my website](https://upthink.works) [Follow me on LinkedIn](https://www.linkedin.com/in/marycronin4/) [Follow me on Twitter](https://twitter.com/MarylCronin)

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