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Almost 30% of business executives have witnessed a noticeable increase in digital intrusions targeting their distribution systems during the previous half-year, as high-profile cyber breaches on prominent businesses have highlighted this growing risk to modern businesses.

Cyber threats climb priority lists for supply chain executives

Cybersecurity threats have climbed the ranking of priorities for supply chain executives at numerous businesses globally across diverse industries including industrial, energy and IT, according to current sector analysis carried out in early autumn.

High-profile security breaches cause considerable monetary impacts

Latest cyber attacks at several well-known corporations have cost them tens of millions of currency, transitioning digital security from being mainly the concern of digital security units to becoming a major concern for corporate boards and top executives.

The essence of global trade, the manner in which we view international logistics networks and the digital logistics landscape are ever more interconnected,

commented a leading professional association head.

Geopolitical factors compound distribution worries

Earlier this year, purchasing directors were particularly worried about global conflicts, including persistent disputes in several parts of the world, along with commercial regulations that weighed on worldwide business.

However, cyber threats are now competing with international conflicts and trade disagreements as the main threat for members of worldwide commercial organizations.

Survey shows widespread effect

The study found that 29% of directors indicated that organizations within their supply chains had been attacked by digital attacks in previous months.

Major car manufacturing effects

A notable car company experienced factory closures and was found itself incapable to manufacture cars for four weeks, following a security incident that required the company to turn off digital infrastructure across several overseas operations.

The financial consequences of this 30-day manufacturing halt at the UK's biggest automotive employer has been projected at approximately £120 million in foregone income, or one point seven billion pounds in foregone income, according to university research from a corporate finance expert.

Latest worldwide cases

More recently, a major Asian beverage company became the most recent business to be forced to halt manufacturing at its home country facilities following a security incident.

The corporation, which operates multiple manufacturing plants in its home country producing alcoholic beverages and additional items, stated that its order processing capabilities, along with distribution activities and client support functions, had been disrupted following a systems outage resulting from the digital intrusion.

Expanding interconnectedness produces risks

Organizations are progressively supported by other organizations. No longer exist the era of thinking an organization as an entity functioning in separation.

Recent prominent digital breaches have acted as a important lesson to companies to devote funding to robust digital defences, to secure their own operations and retain consumer trust, prompting them to analyze how their distribution systems could become possible focus points for hackers.