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Roughly a third of business executives have reported a significant increase in cyber-attacks targeting their logistics networks during the past six months, as high-profile security incidents on well-known companies have underscored this expanding risk to modern businesses.

Digital risks climb concern rankings for procurement managers

Cybersecurity threats have advanced the ranking of priorities for supply chain executives at multiple businesses internationally across diverse industries including manufacturing, power and technology, according to recent sector analysis performed in the ninth month.

Major cyber incidents result in significant financial losses

Current digital intrusions at several prominent corporations have led to financial impacts of millions of pounds, transitioning digital security 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 international logistics networks and the technological distribution framework are progressively linked,

remarked a senior industry executive.

International factors add to logistics anxieties

During previous months, purchasing directors were especially worried about global conflicts, including persistent disputes in multiple areas, along with trade policies that impacted global commerce.

Nonetheless, online attacks are now rivalling global tensions and trade disagreements as the most significant risk for organizations of worldwide commercial organizations.

Survey indicates widespread consequences

The study revealed that 29% of directors indicated that organizations within their logistics networks had been attacked by digital attacks in recent months.

Substantial automotive consequences

A notable automotive manufacturer experienced manufacturing stoppages and was unable to build automobiles for four weeks, following a security incident that forced the company to disable IT networks across several international locations.

The economic impact of this month-long factory closure at Britain's largest automotive employer has been estimated at approximately £120 million in foregone income, or 1.7 billion pounds in missed sales, according to academic analysis from a corporate finance academic.

Latest worldwide incidents

In late September, a well-known Asian beverage company became the newest organization to be compelled to cease operations at its home country facilities following a security incident.

The organization, which manages multiple industrial sites in the Asian nation producing alcoholic beverages and various goods, stated that its transaction handling functions, along with distribution activities and client support operations, had been halted following a systems outage triggered by the security breach.

Expanding interconnectedness produces weaknesses

Businesses are progressively enabled by external entities. Gone are the times of thinking an organization as an unit working in isolation.

Current high-profile cyber-attacks have acted as a important lesson to businesses to invest in strong digital defences, to secure their business activities and maintain customer confidence, prompting them to examine how their logistics networks could become likely focus points for digital attackers.