As digitization has progressed, companies have gained many advantages. At the same time, however, they are also exposed to new security risks. Cyberattacks on their supply chains are an increasing threat to their security. These attacks can have devastating effects by compromising sensitive data, production processes and the entire value chain. In this blog post, we will look at the risks of cyberattacks on supply chains and discuss protective measures to counter this threat.
Cyberattacks on supply chains are sophisticated attacks in which attackers specifically exploit vulnerabilities in suppliers' systems to gain access to the target company. They may use a variety of methods, such as injecting malicious code into software updates, compromising hardware components, or stealing credentials. The consequences of such an attack can be severe, ranging from financial losses to reputational damage to legal liability.
One of the main risks is the loss and theft of sensitive company data, customer data or intellectual property. A successful attack can also cause business interruptions, disrupt production processes, and result in significant financial losses. Furthermore, such an attack can shake the confidence of customers and business partners and cause lasting damage to the company's reputation. Last but not least, cyberattacks on supply chains can lead to breaches of data protection regulations and other legal requirements, which in turn can have significant legal consequences.
Several steps are required to protect the supply chain from cyberattacks. First, a thorough risk assessment should be conducted to identify potential vulnerabilities and gain a better understanding of the risks. When selecting suppliers, it is important to carefully review their security measures and reputation to ensure they have adequate protections in place. Clear security agreements should be implemented that set out standards, data protection and liability issues.
Next, continuous monitoring of the supply chain plays a crucial role in detecting suspicious activities at an early stage. This can involve the use of technologies and tools. It is also important to raise employee awareness of the threat of cyberattacks on supply chains and provide regular training on cybersecurity and phishing attack detection.
The identification and documentation of all suppliers and service providers is of utmost importance to provide a solid basis for the safety assessment. Comprehensive reviews and risk ratings of suppliers and service providers should be conducted prior to procuring components and services. Collaboration with suppliers and service providers classified as high-risk should be avoided to minimize the risk of security breaches.
It is advisable to establish clear criteria for different types of suppliers and services, in order to effectively assess risks. Here, dependencies between suppliers and customers, critical software dependencies and single points of failure should be considered.
Active monitoring of risks and threats in the supply chain is essential to identify potential security gaps early and respond appropriately. Supplier management should cover the entire lifecycle of a product or service, and procedures for dealing with products or components at the end of their life should be implemented.
Assets and information shared with or accessible to suppliers should be carefully classified. It is important to establish clear procedures for accessing and handling this information.
In the procurement and development of products and services, attention should be paid to compliance with “good practice of cybersecurity” standards to ensure that security aspects are taken into account from the outset.
It is advisable to prioritize components and services according to secure-by-design principles, paying particular attention to a proven track record of transparency and security in their own systems and digital supply chains.