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Almost one-third of business executives have witnessed a marked increase in cyber-attacks targeting their distribution systems during the past six months, as recently reported cyber breaches on major corporations have highlighted this growing risk to modern businesses.

Cyber threats climb worry scales for supply chain executives

Online protection issues have climbed the hierarchy of priorities for purchasing directors at hundreds businesses internationally across multiple business fields including industrial, power and tech, according to current professional survey conducted in September.

Major security breaches lead to considerable financial losses

Recent security breaches at various prominent businesses have cost them tens of millions of currency, transitioning cyber resilience from being primarily the concern of digital security units to becoming a primary preoccupation for corporate boards and company directors.

The essence of global trade, the way we view global supply chains and the technological supply environment are ever more connected,

stated a leading professional association head.

Geopolitical elements compound distribution worries

During previous months, procurement executives were particularly anxious about geopolitical instability, including continuing disputes in multiple parts of the world, along with international tariff measures that weighed on worldwide business.

However, cyber threats are now competing with geopolitical shocks and tariff disputes as the most significant threat for members of international trade associations.

Survey shows widespread impact

The survey revealed that almost one-third of managers reported that businesses within their distribution systems had been compromised by digital attacks in recent months.

Significant vehicle production consequences

An important vehicle producer experienced factory closures and was unable to manufacture cars for an entire month, following a cyber-attack that compelled the organization to shut down digital infrastructure across various international locations.

The monetary effect of this four-week factory closure at the UK's biggest vehicle producer has been projected at approximately 120 million pounds in foregone income, or £1.7 billion in foregone income, according to university research from a commercial economics professor.

Recent international cases

In late September, a well-known Asian beverage company became the latest business to be forced to halt manufacturing at its local plants following a security incident.

The company, which maintains numerous production facilities in the Asian nation producing beer and additional items, stated that its transaction handling functions, along with distribution activities and customer service functions, had been halted following a network disruption resulting from the digital intrusion.

Growing interconnectedness generates risks

Companies are more and more supported by partner companies. Have disappeared the days of considering an organization as an operation working in independence.

Latest major security incidents have served as a clear warning to businesses to invest in robust cybersecurity measures, to secure their business activities and retain consumer trust, leading them to investigate how their supply chains could become possible targets for cyber criminals.