The manufacturing and distribution sectors stand as the backbone of the global economy, intertwining complex supply chains, innovative technology and extensive data management. However, with the rise of digital transformation, these industries face an array of cybersecurity challenges that could potentially disrupt operations and compromise sensitive information.
High Target Areas
There are several challenges that should draw more attention than others. As a starter, manufacturing facilities often rely on Industrial Control Systems (ICS), including supervisory control and data acquisition (SCADA) systems, for operational control. If not secured properly, these systems can be exploited by attackers, leading to production halts or safety incidents. Manufacturers are also prime targets for intellectual property (IP) theft, as they hold proprietary product designs and trade secrets. Cyber attacks can result in significant financial losses and impede competitive advantages.
Another significant attack vector that is increasing is the exploitation of vulnerabilities within the supply chain. Attackers can infiltrate broader networks by targeting less secure elements, such as small vendors or third-party software. Some prime examples of vendor attacks that have impacted businesses over the past few years have been SolarWinds and MoveIT. These attacks are stark reminders of the cascading effects that supply chain compromises can have on multiple industries. Manufacturing and distribution companies also store vast amounts of sensitive data, from employee information to customer details. Data breaches can have dire reputational and financial repercussions.
Risk Assessing
To address the known and unknown challenges, it is important to establish some strategies to enhance your overall cybersecurity. Begin with a thorough risk assessment to identify potential vulnerabilities within your systems and processes. As resources are limited by both time and money, a risk assessment will assist the company in determining which risk would require immediate attention versus the one that can be addressed at a later date. Utilizing frameworks, such as the National Institute of Standards and Technology (NIST) Cybersecurity Framework, can assist the company in developing a comprehensive risk management plan.
Importance of Team Training
Human error can lead to significant security breaches, and regular training programs can empower employees with the knowledge to recognize phishing attempts, manage passwords effectively and follow best practices for digital security. Establishing strong access controls ensures that only authorized personnel have access to sensitive systems and data. Employing multi-factor authentication (MFA) adds an additional layer of security beyond traditional passwords. Keep the company’s software, which would include the network and key applications, up-to-date with the latest patches to protect against known vulnerabilities. Patching can be handled in a variety of manners, either automatically or manually. Automated patch management systems can help streamline this process and mitigate the risk of oversight. However, it doesn’t allow for evaluation before implementation — which could expose the company to unexpected failures due to faulty patches. If patch management is performed manually, each patch can be evaluated before being implemented, but it will take longer to evaluate and leave the systems exposed for a longer period of time.
Having plans ready to go
Specialized security measures are necessary for protecting ICS, which would include network segmentation, regular security audits and the deployment of firewalls and antivirus solutions. Having well-defined business continuity, disaster recovery and incident response plans enables organizations to react swiftly to potential cyber incidents, minimizing damage and downtime. Once the plans are established, they must be stress tested at least annually. It is essential that the team members know what to do in the event of an incident.
Cyber Insurance
Last but not least, cybersecurity insurance can provide a financial safety net in the event of a cyberattack, helping to cover costs associated with recovery and liability. In obtaining and maintaining insurance, a healthy IT environment needs to be managed to ensure that the information technology controls are designed, implemented and operating effectively.
Manufacturers and distributors must proactively address cybersecurity threats to protect their operations, customers and reputations. By recognizing the industry’s unique challenges and implementing a multi-faceted security strategy, businesses can better withstand the ever-evolving landscape of cyber threats. It is not just about deploying the latest technologies but also about fostering a culture of security.
RKL’s team of IS assurance and advisory professionals can help navigate the complexities of cybersecurity for your manufacturing and distribution company. Contact your trusted RKL advisor or complete the form below to get started.
