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Almost 30% of corporate leaders have witnessed a noticeable rise in online breaches targeting their supply chains during the last six-month period, as high-profile digital attacks on well-known companies have emphasized this growing danger to today's organizations.

Digital risks rise worry scales for purchasing directors

Cybersecurity threats have moved up the ranking of priorities for supply chain executives at hundreds organizations worldwide across various business fields including manufacturing, utilities and technology, according to latest sector analysis carried out in the ninth month.

Major security breaches result in considerable monetary impacts

Current digital intrusions at several major businesses have resulted in losses of millions of pounds, transitioning online protection from being primarily the focus of digital security units to becoming a significant preoccupation for senior management and top executives.

The character of international commerce, the manner in which we consider worldwide distribution systems and the digital supply environment are progressively connected,

commented a prominent industry executive.

Geopolitical elements compound logistics anxieties

During previous months, purchasing directors were notably anxious about international tensions, including continuing conflicts in several parts of the world, along with commercial regulations that weighed on worldwide business.

Nevertheless, digital security risks are now rivalling geopolitical shocks and commercial conflicts as the main threat for members of global business groups.

Study shows broad impact

The survey revealed that almost one-third of executives stated that organizations within their distribution systems had been targeted by digital attacks in the past few months.

Significant vehicle production effects

A notable car company experienced production shutdowns and was unable to manufacture cars for four weeks, following a digital breach that required the company to shut down IT networks across various global facilities.

The monetary effect of this four-week manufacturing halt at Britain's largest vehicle producer has been calculated at approximately 120 million pounds in lost profits, or £1.7 billion in missed sales, according to university research from a commercial economics expert.

Current international examples

More recently, a well-known international drinks manufacturer became the latest organization to be forced to cease operations at its home country facilities following a digital breach.

The organization, which maintains several industrial sites in its home country producing drinks and other products, announced that its order processing capabilities, along with shipping operations and client support services, had been interrupted following a network disruption resulting from the security breach.

Increasing connectivity creates risks

Organizations are progressively assisted by external entities. Have disappeared the days of thinking an company as an operation working in isolation.

Recent major cyber-attacks have served as a clear warning to companies to invest in comprehensive online protection systems, to secure their business activities and retain consumer trust, leading them to investigate how their distribution systems could become potential objectives for hackers.