The NAICS codes for cybersecurity include 541512, 541519, 541611 and 541990. Although the cybersecurity industry is well known to be an aggregation of products and services meant to safeguard computer networks from data confidentiality, integrity, and availability, they do not have a dedicated North American Industry Classification System (NAICS) code.
Nevertheless, the services they offer are known to be vital to the health and continued functioning of the Internet and all connected organizations.
NAICS codes in recent times have grown very vital for government and industry alike. The government tends to make use of NAICS codes to categorize upcoming projects and solicitations.
Meanwhile, suppliers and vendors are known to classify their goods and services using the NAICS codes as well. The government and industry both leverage these NAICS codes to search for each other – the government seeking a vendor to align with their requirements, and the industry seeking projects that suit their vision and mission.
According to experts, the only justification why cybersecurity barely has a dedicated NAICS code is that the NAICS system is production-oriented and “producing units that use the same or similar production processes are grouped together” and cybersecurity is more or less considered as a market-oriented classification where “items are grouped as regards to how they are principally used”.
Cybersecurity is indeed a process and not a finished product and the market-driven economic model of the North American Product Classification System (NAPCS) might be a better fit.
NAICS Code for Cyber Security
Just as was noted above, when it has to do with cybersecurity – there is a wide range of codes that have been used over the past several years. The most relevant ones include:
541512 – Computer Systems Design Services
This code is used to describe businesses that primarily take part in planning and designing computer systems that integrate computer hardware, software, and communication technologies.
Keep in mind that the hardware and software components of the system might very well be provided by this establishment or company as part of integrated services or might come from third parties or vendors. Also, note that these businesses can install the system and train and support users of the system.
2. 541519 – Other Computer-Related Services
This code is most often attributed to businesses that provide computer-related services (aside from custom programming, systems integration design, and facilities management services).
Businesses that focus on providing computer disaster recovery services or software installation services are also part of this industry.
3. 541611 – Administrative Management and General Management Consulting Services
This code refers to businesses that focus on making available operating advice and assistance to businesses and other organizations on administrative management problems, which would most often include financial planning and budgeting, equity and asset management, records management, office planning, strategic and organizational planning, site selection, new business start-up, and business process improvement.
Aside from that, you will find that this industry also includes businesses that offer general management consultation services that provide a vast array of administrative, human resource, marketing, process, physical distribution, logistics, or other management consulting services to customers.
4. 541990 – All Other Professional, Scientific, and Technical Services
Businesses classified under this code tend to provide professional, scientific, or technical services (aside from legal services; accounting, tax preparation, bookkeeping, and related services; architectural, engineering, as well as related services; specialized design services;
Computer systems design and related services; management, scientific, coupled with technical consulting services; scientific research along with development services; advertising, public relations, and related services; market research and public opinion polling; photographic services; translation and interpretation services; and veterinary services).
When selecting the ideal NAICS code for your project or company, you should carry out extensive research on historical contracts from the past (5) years to note the classification trends.
Until the NAICS system is adjusted to guarantee an efficient and explicit classification for all cybersecurity products and services – the government and industry will have to learn to solicit and market appropriately.