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Almost a third of company heads have observed a noticeable increase in cyber-attacks targeting their logistics networks during the last six-month period, as high-profile cyber breaches on prominent businesses have highlighted this expanding threat to today's organizations.

Digital risks move up concern rankings for procurement managers

Cybersecurity threats have climbed the list of worries for procurement managers at numerous organizations internationally across diverse industries including industrial, energy and IT, according to latest sector analysis performed in early autumn.

High-profile digital attacks lead to substantial monetary impacts

Latest security breaches at several prominent businesses have led to financial impacts of substantial sums of pounds, transitioning digital security from being mostly the focus of digital security units to becoming a significant preoccupation for executive leadership and top executives.

The nature of global trade, the way we consider global supply chains and the digital distribution framework are ever more interconnected,

remarked a senior industry executive.

Geopolitical elements compound logistics concerns

During previous months, supply chain managers were particularly worried about geopolitical instability, including continuing tensions in several parts of the world, along with commercial regulations that impacted international trade.

Nevertheless, digital security risks are now competing with global tensions and trade disagreements as the primary risk for organizations of international trade associations.

Survey reveals extensive impact

The research discovered that nearly 30% of managers indicated that companies within their supply chains had been attacked by digital attacks in recent months.

Substantial car manufacturing effects

One prominent car company experienced factory closures and was found itself incapable to build automobiles for a full month, following a cyber-attack that required the organization to shut down IT networks across multiple international locations.

The financial consequences of this 30-day production shutdown at the UK's biggest car manufacturer has been calculated at approximately £120 million in lost profits, or £1.7 billion in lost revenues, according to university research from a commercial economics professor.

Current worldwide cases

More recently, a prominent Japanese brewing group became the most recent organization to be forced to halt manufacturing at its local plants following a security incident.

The organization, which operates numerous production facilities in its home country producing beer and additional items, stated that its order processing capabilities, along with delivery systems and customer service operations, had been halted following a network disruption triggered by the digital intrusion.

Expanding interconnectedness produces risks

Businesses are progressively supported by other organizations. Gone are the days of viewing an company as an unit operating in separation.

Latest major digital breaches have functioned as a strong reminder to businesses to devote funding to comprehensive cybersecurity measures, to secure their own operations and maintain consumer trust, encouraging them to analyze how their supply chains could become likely objectives for digital attackers.