It will always be possible to crack these codes, but this requires computer resources on a scale that is usually only available to government agencies. Encryption will certainly provide protection against casual eavesdropping. Each of these security processes takes time and resource and their use is only cost effective when the benefits outweigh the costs of applying them. This may be so when sensitive data such as personal information is sent to HESA or when using a credit card to buy products from a vendor. The JISC is currently undertaking a study of the requirements of UK Higher Education for different security services.
Many institutions already do an excellent job in counteracting the risks.
Increasing use of electronic services for mission critical activities by institutions and the availability of new services, many of them with a commercial aspect, will create new requirements and increase the importance of security management. Implementing additional controls will involve extra work for both IT service providers and administrative staff. Any system will need a database of on-line information about users for input to the authentication process. The database may contain many pieces of information, for example user's name, department, password or smartcard details. Capturing this data electronically when staff and students enrol is most cost-effective.