Cybersecurity Threats in Logistics Tech

Every day, businesses around the world are attacked by cybercriminals trying to obtain valuable information for their own use or for resale to third parties.

The logistics segment, being one of the most profitable, suffers from various types of cybercrime quite often. And each interference in its work causes thousands or even millions of dollars in losses to companies.

Today, you will learn about common and specific cyber threats, as well as the most effective methods of combating them.

Importance of Cybersecurity in the Logistics Industry

Imagine the digital infrastructure of a logistics company. It resembles a spider's web, where each thread stretches to other elements, frequently even external ones, such as the WMS systems of trading partners, etc.

The same network is surrounded by a kind of cocoon that tightly envelops the entire system, protecting it from external threats. Although this protection is generally reliable, certain parts of it remain open and unprotected. And most regularly, there is no protection at all in the middle.

To avoid damage to these unprotected elements, or to eliminate even the possibility of unauthorized access, you need reliable cybersecurity. In particular, because there is a significant number of different threats.

Types of Cybersecurity Threats

It seems that Petro Samoshkin has already told you about the most common cyber threats and their classifications in a general way. However, since we are talking about logistics today, the following descriptions will demonstrate the impact of these cyber threats on the segment.

Let's consider the following issues:

• Malware Attacks.
• Phishing Scams.
• Ransomware.
• Insider Threats.
• Supply Chain Attacks.

We will be particularly interested in the last cyber threat, as it has the most destructive impact on the logistics business.

Malware Attacks

In other words, good old viruses. They infect the system and damage or modify system files. Further consequences depend on the purpose of the malware.

For logistics, this is not a very dangerous threat, as ERP and other platforms usually run on very specific operating systems (mostly Linux) and in cloud-based isolated environments. However, it is the user's devices that can become a Trojan that will provide access to protected information on servers.

Phishing Scams

A fairly commonplace but no less effective way to obtain corporate data. Most often, such attacks are disguised as letters from partners, various regulators, and authorities.

The goal is simple: to force you to open a link, download and run a file. Further algorithms depend on the type of malware that enters the system.

Ransomware

A typical virus, but mostly not too dangerous. It blocks access to the system and administration tools and demands a certain amount of money within a certain period of time.

Dangerous varieties actually archive local data and transfer it to the attackers' servers. In fact, this is another confirmation of the theory that corporate information is better stored in the cloud.

Insider Threats

Insider threats can come from both moles in the company and ordinary employees who are not too familiar with the principles of cybersecurity and cyber hygiene.

The latter means that your staff may accidentally steal corporate data, for example, along with information about a shipment, allow viruses to enter the system, or give third parties access to their accounts.

Supply Chain Attacks

Your infrastructure may be subject to digital and physical attacks. In particular, on the elements that have the lowest levels of protection. These are usually the systems of your partners.

Yes, you can't force them to invest in cybersecurity, but you can isolate and encrypt your own data to save it in case other systems go down. By the way, in addition to these threats, there are additional ones that are quite specific and dangerous.

Vulnerabilities in Logistics Tech

Logistics is currently using a mix of stable and innovative solutions. Accordingly, in such cases, some collisions may occur, leading to the formation of digital infrastructure weaknesses. In particular, we are talking about the following elements:

• IoT Devices. Such equipment software is not very secure, so it can serve as a 'gateway' for attackers who have physical or digital access to it.
• Cloud Storage and Computing. Public clouds and machine learning systems, and sometimes LLMs, can have security issues, potentially leading to confidential data leaks.
• Legacy Systems. Local outdated systems are a godsend for attackers who can either take them down via DDoS or steal all available information from the drives.

The latter case is the most dangerous, although it is currently relatively rare. Fortunately, more and more logistics providers are actively investing in their own cybersecurity and updating their digital infrastructure.

By the way, as promised, I'll share a few ways to improve the security of your corporate networks.

Best Practices for Cybersecurity in Logistics

Security systems alone do not guarantee the security of your corporate data. This is also because they are currently imperfect and can be easily hacked from within. Therefore, here are some practices that will help to further protect information and the business as a whole:

• Employee Training and Awareness. Every employee who has access to the system and sensitive data must clearly understand the features of working with the platform and identify and respond to risks.
• Regular Security Audits and Assessments. Even the ‘perfect’ system has flaws. Therefore, it should be actively tested, targeted, and improved as necessary.
• Implementation of Security Protocols. You need a cybersecurity manifesto that will be strictly adhered to by company personnel and external partners.

This is not an exhaustive list of tips, but it is enough to start protecting your corporate systems.

Conclusion

Logistics often becomes a target for intruders or competitors who want to take advantage, find compromising information, obtain customer data, etc.

Therefore, you should work on protecting your infrastructure, including equipment, communications, and partner networks.

However, remember that in addition to technical solutions, you also need to educate and train your staff, as it is they who most often cause data leaks or intruders to enter the company's system.

Therefore, investing in cyber defense will help avoid having to deal with the consequences in the future.

Do you have any case studies on cybersecurity in logistics? Share them in the comments!