Securing Your Supply Chain Against Cyber Threats

Supply chain cybersecurity is more important than ever as cyber threats become increasingly sophisticated. As a business leader, it is critical to understand the risks and take action to secure your supply chain. Here is an in-depth look at supply chain cyber threats and how to protect your business:

What Are Supply Chain Cyber Threats?

Supply chain cyber threats target a company’s network and systems through its suppliers, business partners, or third-party providers. Cybercriminals often see supply chains as the weak link and an entry point into an organization.

Some examples of supply chain cyber threats include:

• Malware infections – Malware inserted in software or hardware from a third-party provider. This can allow hackers access to systems and data.
• Compromised credentials – If a vendor’s credentials are stolen, hackers can gain access to a company’s network.
• Data theft – Third parties like suppliers often have access to sensitive data which could be stolen.
• Supply chain disruptions – Cyber attacks that disrupt a supplier’s operations can impact your business.

Why Supply Chains Are Vulnerable

Supply chains can be vulnerable for several reasons:

• Complex networks – Supply chains are complex with many third-parties which expands the attack surface.
• Lack of visibility – Companies often don’t have full visibility into security practices of suppliers.
• Interconnectivity – Systems are often interconnected with suppliers, increasing pathways for hackers.
• Human error – Employees of third parties may accidentally expose vulnerabilities.

These vulnerabilities highlight the need for robust supply chain security.

Steps to Secure Your Supply Chain

Here are key steps you can take to enhance supply chain cybersecurity:

1. Know Your Suppliers and Third Parties

• Map your supply chain – Identify all suppliers, vendors, and third parties. Understand their roles and access to your data and systems.
• Conduct risk assessments – Assess the cybersecurity risks associated with each third-party based on their access, controls, and past breaches.
• Classify risk levels – Classify supplier relationships as high, moderate or low risk to prioritize security efforts.

2. Implement Supplier Cybersecurity Policies

• Set minimum security requirements for suppliers – This includes requirements for data encryption, access controls, and cybersecurity training.
• Ensure compliance – Put processes in place to verify suppliers are meeting your security standards. Require audits or questionnaires.
• Manage identities – Control supplier access through strict management of usernames and passwords.

3. Monitor for Threats

• Monitor vendor systems – Use tools to monitor supplier networks and systems connected to your business. Actively look for potential threats.
• Conduct audits – Regularly audit suppliers to ensure compliance with policies and standards.
• Evaluate emerging threats – Stay up to date on new supply chain attack methods to assess risks.

4. Prepare Incident Response Plans

• Have a response plan – Develop procedures to quickly isolate threats and minimize damage if a supplier is compromised.
• ** Communication plans** – Establish crisis communication plans to keep suppliers, partners, and customers informed if an attack occurs.
• Recovery plans – Plan how to recover operations, data, and systems damaged in an attack through suppliers.

Real-World Examples of Supply Chain Cyber Attacks

Supply chain cyber attacks are a major emerging threat. Some examples include:

• SolarWinds Hack – Russian hackers breached SolarWinds software updates to access government and company networks. Up to 18,000 customers were affected.
• Codecov Hack – Hackers tampered with software tool Codecov to steal credentials and gain network access from customers.
• REvil Ransomware – MSP software vendor Kaseya was breached to deploy REvil ransomware on customer systems worldwide.

These examples demonstrate the broad impact supply chain hacks can have. Implementing robust security across your supply chain is crucial to defense.

Leveraging Managed Security Services

Given the complexity of supply chain security, many companies find it beneficial to leverage managed security services. These services provide:

• 24/7 monitoring – Continuous monitoring for threats across supply chain partners.
• Threat detection – Use of advanced tools to quickly detect supply chain anomalies.
• Incident response – Rapid expert incident response if a supply chain attack occurs.
• Ongoing audits – Frequent audits of suppliers to validate security controls.

Managed security services provide the people, processes, and technology needed to secure complex supplier networks.

Key Takeaways on Supply Chain Cybersecurity

• Map your entire supply chain and classify supplier risk levels
• Implement comprehensive cybersecurity policies and standards for suppliers
• Monitor supplier environments for cyber threats
• Have incident response plans in place in the event of a breach
• Leverage managed security services for robust protection of supply chains

Vigilance and proactive security across your supply chain is essential to limiting cyber risk exposure in today’s threat environment. Following cybersecurity best practices for suppliers and business partners provides protection for your most critical systems and data.