Almost 30% of corporate bosses report surge in digital threats on logistics networks

Roughly one-third of business executives have observed a noticeable increase in digital intrusions targeting their supply chains during the last six-month period, as recently reported security incidents on well-known companies have highlighted this increasing risk to today's organizations.

Cyber threats climb worry scales for purchasing directors

Online protection issues have climbed the list of concerns for procurement managers at hundreds businesses worldwide across various sectors including industrial, power and tech, according to latest industry research performed in the ninth month.

Major security breaches cause substantial financial losses

Latest security breaches at multiple major companies have led to financial impacts of tens of millions of pounds, shifting online protection from being mainly the concern of IT departments to becoming a primary priority for executive leadership and company directors.

The nature of worldwide business, the way we look at worldwide distribution systems and the digital logistics landscape are progressively connected,

commented a prominent sector leader.

International considerations intensify distribution worries

In the first half, supply chain managers were particularly concerned about global conflicts, including persistent tensions in several areas, along with commercial regulations that impacted international trade.

Nonetheless, cyber threats are now rivalling international conflicts and commercial conflicts as the most significant threat for organizations of global business groups.

Study reveals extensive effect

The study found that almost one-third of executives indicated that businesses within their logistics networks had been attacked by security breaches in the past few months.

Significant car manufacturing impact

An important automotive manufacturer experienced factory closures and was unable to build automobiles for a full month, following a security incident that required the business to turn off computer systems across various overseas operations.

The monetary effect of this 30-day factory closure at the UK's biggest car manufacturer has been projected at approximately 120 million pounds in foregone income, or 1.7 billion pounds in foregone income, according to academic analysis from a corporate finance professor.

Recent international examples

More recently, a well-known Asian beverage company became the most recent organization to be forced to halt manufacturing at its domestic factories following a digital breach.

The organization, which manages multiple production facilities in its home country producing beer and various goods, stated that its order processing capabilities, along with shipping operations and call center operations, had been interrupted following a technical failure caused by the cyber-attack.

Increasing interconnectedness generates risks

Businesses are increasingly enabled by external entities. Gone are the era of thinking an organization as an entity functioning in separation.

Current high-profile digital breaches have functioned as a important lesson to organizations to invest in strong cybersecurity measures, to secure their business activities and preserve client faith, encouraging them to analyze how their logistics networks could become potential objectives for digital attackers.