The utilization levels of the transmission network can be enhanced by the use of automated protection schemes that rapidly respond to disturbances. However, such corrective systems may suffer from malfunctions that have the potential to exacerbate the impact of the disturbance. This paper addresses the challenge of jointly optimizing the dispatch of generators and protection settings in this context. This requires a holistic assessment of the cyber (protection logic) and physical (network) systems, considering the failures in each part and their interplay. Special protection schemes are used as a prototypical example of such a system. An iterative optimization method is proposed that relies on power system response simulations in order to perform detailed impact assessments and compare candidate solutions. The candidate solutions are generated on the basis of a security-constrained dispatch that also secures the system against a set of cyber failure modes. A case study is developed for a generation rejection scheme on the IEEE reliability test system (RTS): candidate solutions are produced based on a mixed integer linear programming optimisation model, and loss-of-load costs are computed using a basic cascading outage algorithm. It is shown that the partial security approach is able to identify solutions that provide a good balance of operational costs and loss-of-load risks, both in a fixed dispatch and variable dispatch context.