BuiltWorlds 2024 Construction Tech Conference
July 17, 2024
An industry under siege: securing manufacturing in the digital age
According to Statista, a global data and business intelligence platform, the manufacturing industry is the top targeted sector for ransomware attacks globally. But why is this sector experiencing more cyberattacks than any other industry? The manufacturing sector is vulnerable due to various factors, including outdated systems, insufficient security awareness, challenges in complying with regulatory standards, and the need for more expertise in building and managing networks tailored for Industry 4.0. Keeping abreast of evolving security measures is a complex task, but failing to do so can have severe consequences for CIOs and their organizations, leading to costly breaches, downtime, and damage to their reputation.
For CIOs, the time to act is now. Every delay in addressing these security vulnerabilities puts the enterprise’s operations, reputation, and financial health at risk. This article outlines key challenges and solutions that can help manufacturers stay ahead of evolving cyber threats.
The costly impact of insecure network security
In 2023, the average cost per data breach in the global industrials sector alone was US$4.73 million (up from US$4.47 million last year), according to Statista. Aberdeen’s research found that the average cost of a single company’s downtime is US$260,000 per hour, while Forbes reported that industrial manufacturers globally lose an estimated US$50 billion each year. Essentially, any downtime for a manufacturer is costly and at high risk.
For manufacturers to enhance their network security, CIOs must assess the present landscape and understand their enterprise’s network journey that has led to where the business stands today. Industry 4.0 presents manufacturers with the opportunity to progress toward the envisioned smart factories of tomorrow; however, reaping these benefits entails grappling with the added complexities and overcoming the top manufacturing challenges of today. This includes navigating interconnectivity complexity and the convergence of information technology (IT) and operational technology (OT) systems. Yet, according to McKinsey & Co., CIOs that leverage Industry 4.0’s solutions and ensure a successful convergence could unlock a potential incremental value of around US$100 million for their organizations.
Considering this and the current cybersecurity landscape, what are the critical obstacles to manufacturers securing their networks?
The top 5 network security challenges for manufacturers
The manufacturing industry is facing increasing threats from malicious actors who are taking advantage of the sector’s vulnerabilities. CIOs need to urgently prioritize enhancing their enterprise’s network security to effectively combat these threats. The susceptibility to cyberattacks has dramatically increased due to a combination of Industry 4.0 initiatives and legacy network security, which has been exacerbated by the rapid pace of digital transformation. Here are a CIO’s top 5 challenges:
1. Uncovering hidden vulnerabilities and managing evolving cyber threats:
Manufacturing networks are increasingly targeted by sophisticated cyberattacks due to a patchwork of legacy systems and emerging technologies. Identifying hidden vulnerabilities in these complex environments is a continuous challenge for CIOs.
Insight: “A proactive, risk-based approach to vulnerability management is critical to securing both IT and OT systems.”
2. Securing OT systems without disrupting production:
OT environments, essential for production processes, are often neglected in cybersecurity strategies. OT systems were not designed for frequent updates or seamless integration with modern IT security solutions, creating a significant gap in protection
Insight: “CIOs must implement tailored security measures that ensure real-time protection without disrupting essential operations.”
3. Tackling IT-OT convergence complexity
Industry 4.0 initiatives demand the integration of traditionally siloed IT and OT environments. However, aligning these two realms, each with distinct protocols and security needs, introduces significant complexity.
Insight: “CIOs face the dual challenge of managing this new complexity while ensuring that their networks remain secure, scalable, and resilient to attacks.”
4. Overcoming technological integration barriers
The adoption of new cybersecurity technologies, such as advanced encryption or zero-trust architectures, often creates integration challenges with legacy systems. Ensuring compatibility between existing infrastructure and new, cutting-edge security technologies requires meticulous planning and a phased approach to avoid disruptions that could impact manufacturing operations.
Insight: “CIOs must remain agile and strategic, continuously adapting their technology adoption roadmap to ensure seamless integration of emerging technology and solutions throughout their cybersecurity transformation journey.”
5. Safeguarding continuous operations
In the manufacturing sector, every minute of downtime carries a heavy financial toll. Many manufacturers do not have a resilient digital infrastructure, which is vital in supporting digital transformations. Additionally, in the face of unforeseen challenges businesses are often reactive, which can exacerbate vulnerabilities and lead to further disruptions.
Insight: “CIOs must prioritize downtime mitigation strategies, including real-time monitoring, automated threat detection, and rapid incident response protocols to ensure minimal disruption and safeguard operational continuity.”
Together, these challenges are formidable. But CIOs need not despair as there are steps, they can take to advance towards more robust cyber barriers and secure networks that can withstand the sophisticated network challenges of our digital age.
Future-proofing your network security through a tailored plan
Once you have carefully reviewed your enterprise’s network security, CIOs should thoroughly assess manufacturing processes, business objectives, current security posture, and future business requirements. CIOs can then use this knowledge to create a detailed plan for achieving network security success. This plan should include the essential components for enhanced cyber resilience, tailored to each unique manufacturer. As a guide, an ideal future-proof network security plan should address the following components:
1. Embrace AI and IoT
Manufacturers can strengthen their cybersecurity position and adapt to changing threats by using AI and IoT solutions. These innovative technologies provide a robust defense against emerging risks in an increasingly complex operating environment and should be part of any future plan.
2. Automate security protocols
Automating security protocols is preventative and has the potential to ensure data integrity and operational continuity in Industry 4.0 environments, effectively sidestepping disruptions and maintaining seamless operations.
3. Feature cutting-edge solutions
A telecommunications-independent strategy unlocks new possibilities that improve compliance and threat mitigation, which are supported by Software-Defined Wide Area Network (SD-WAN), offering improved connectivity and SASE (Secure Access Service Edge), offering agility and scalability.
4. Incorporate advanced segmentation solutions
Leveraging segmentation strategies can be a game-changer for manufacturers. If you would like to learn from Coevolve’s expertise, as your trusted advisor, we can help steer you away from lateral movement of threats, reducing operational risks within manufacturing networks, and enhancing security posture and resilience.
5. Involve data integrity and operational continuity strategies
Innovative strategies will be needed to safeguard data integrity and ensure operational continuity in Industry 4.0 environments. CIOs who are still determining where to start can turn to Coevolve to highlight which robust measures could prevent enterprise-specific disruptions and maintain seamless operations.
Network security of the future
In the manufacturing sector, the ability to adapt and scale network security measures is crucial for embracing Industry 4.0. Coevolve, as a trusted partner, offers solutions with tested zero trust frameworks and network security strategies. These solutions, including SD-WAN and SASE, enhance communication and data exchange, while enabling agile and scalable network infrastructure adjustments. This flexibility puts CIOs in control, allowing them to adjust for heightened security and compliance adherence.
As manufacturing continues its transformation into Industry 4.0, CIOs must also look ahead to next-generation technologies like AI-driven security protocols, quantum-resilient encryption, and the impacts of 5G in OT environments. Staying on top of these trends will be key to maintaining a resilient, future-proof network.
Further, a co-managed approach allows CIOs to focus on their business while leaning on the expertise of their partner to help them secure networks by effectively monitoring, detecting, and responding to cyber threats, ensuring comprehensive protection. To learn more about Coevolve and our innovative manufacturing solutions, read our thorough eGuide or contact us.