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Roughly one-third of business executives have observed a significant increase in cyber-attacks targeting their distribution systems during the past six months, as recently reported cyber breaches on well-known companies have highlighted this growing risk to modern businesses.

Digital risks move up concern rankings for purchasing directors

Digital security concerns have moved up the hierarchy of priorities for procurement managers at hundreds organizations worldwide across various business fields including manufacturing, power and technology, according to recent sector analysis carried out in September.

Major cyber incidents lead to substantial monetary impacts

Current digital intrusions at several well-known corporations have cost them tens of millions of money, transitioning digital security from being primarily the focus of technology teams to becoming a primary preoccupation for corporate boards and company directors.

The character of international commerce, how we view international logistics networks and the technological supply environment are progressively interconnected,

stated a prominent sector leader.

International factors add to logistics worries

During previous months, purchasing directors were especially anxious about global conflicts, including continuing disputes in various regions, along with trade policies that affected international trade.

Nonetheless, digital security risks are now rivalling international conflicts and trade disagreements as the main danger for members of global business groups.

Study indicates widespread impact

The study revealed that almost one-third of managers stated that organizations within their supply chains had been compromised by security breaches in the past few months.

Major automotive impact

One prominent automotive manufacturer experienced factory closures and was unable to build automobiles for an entire month, following a security incident that compelled the business to turn off digital infrastructure across various international locations.

The economic impact of this 30-day production shutdown at the United Kingdom's primary vehicle producer has been projected at approximately 120 million pounds in missed earnings, or 1.7 billion pounds in lost revenues, according to university research from a corporate finance professor.

Recent international incidents

In late September, a prominent Asian beverage company became the newest organization to be required to halt manufacturing at its home country facilities following a security incident.

The organization, which operates several manufacturing plants in the Asian nation producing drinks and other products, reported that its order processing capabilities, along with delivery systems and client support functions, had been disrupted following a systems outage caused by the cyber-attack.

Expanding connectivity generates vulnerabilities

Companies are increasingly enabled by partner companies. No longer exist the times of considering an organization as an operation functioning in isolation.

Latest high-profile digital breaches have acted as a important lesson to organizations to invest in robust online protection systems, to protect their internal functions and maintain client faith, leading them to examine how their supply chains could become potential objectives for cyber criminals.