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Approximately a third of company heads have witnessed a noticeable surge in digital intrusions targeting their logistics networks during the previous half-year, as recently reported digital attacks on well-known companies have underscored this expanding risk to contemporary enterprises.

Digital risks rise priority lists for procurement managers

Cybersecurity threats have advanced the hierarchy of worries for supply chain executives at hundreds businesses worldwide across diverse industries including production, energy and technology, according to latest industry research conducted in September.

Prominent cyber incidents result in substantial monetary impacts

Recent security breaches at various major businesses have led to financial impacts of substantial sums of pounds, shifting cyber resilience from being mainly the concern of technology teams to becoming a major concern for senior management and top executives.

The nature of international commerce, the way we look at worldwide distribution systems and the technological supply environment are ever more linked,

commented a senior industry executive.

Global elements intensify supply chain anxieties

Earlier this year, supply chain managers were notably concerned about international tensions, including continuing disputes in multiple parts of the world, along with trade policies that weighed on global commerce.

Nevertheless, online attacks are now rivalling international conflicts and trade disagreements as the primary threat for organizations of international trade associations.

Study shows widespread impact

The survey revealed that almost one-third of executives stated that companies within their distribution systems had been attacked by cyber incidents in the past few months.

Significant vehicle production impact

A notable car company experienced factory closures and was could not to manufacture cars for a full month, following a cyber-attack that compelled the organization to turn off digital infrastructure across multiple global facilities.

The financial consequences of this month-long production shutdown at the United Kingdom's primary vehicle producer has been projected at approximately 120 million pounds in foregone income, or one point seven billion pounds in lost revenues, according to academic analysis from a business economics professor.

Recent worldwide cases

During the autumn, a major international drinks manufacturer became the latest corporation to be compelled to stop production at its home country facilities following a digital breach.

The company, which operates several manufacturing plants in its home country producing alcoholic beverages and additional items, reported that its sales management systems, along with distribution activities and customer service services, had been interrupted following a network disruption resulting from the digital intrusion.

Increasing interconnectedness produces risks

Businesses are progressively enabled by partner companies. Have disappeared the days of considering an organization as an entity functioning in isolation.

Current major cyber-attacks have served as a strong reminder to companies to allocate resources to strong digital defences, to protect their own operations and maintain consumer trust, encouraging them to examine how their supply chains could become potential focus points for hackers.