Extent of cyber-crime risk to manufacturing revealed in new report

Extent of cyber-crime risk to manufacturing revealed in new report
Credit: Shutterstock.com/ Maksim Kabakou

Over half of manufacturers have been the victim of cyber-crime, with a third of those having suffered some financial loss or disruption to business, a Make UK report has revealed.

The manufacturing sector is the fifth most targeted for attack in 2019, behind government systems and finance. Yet manufacturing – which provides 10% of UK output and 70% of business research and development – remains amongst the least protected sector against cyber-crime in Britain.

The new report, ‘Cyber-Security and Manufacturing – A Briefing for Manufacturers’, revealed the full extent of the threat across the sector from loss of data, theft of capital and intellectual property along with disruption to business and catastrophic impact on the trading reputation of a business.

All expert opinion points to the fact that many more attacks will have gone undetected, with businesses woefully prepared to protect themselves against this ever-growing threat or to detect a breach after the event.

Cyber threat is increasingly a business-critical issue, with 41% of manufacturers reporting that they have already been asked by a customer to demonstrate or guarantee the robustness of their cyber security processes.

Yet, when asked if they would be able to do this successfully, 31% of businesses said they would be unable to give those guarantees of cyber safety if asked.

Investment in the latest digital technologies is also being hampered, with many companies holding back from implementing the latest innovations for fear of increased exposure to cyber-attack.

Some 35% of businesses admitted they are currently not fully investing in new digital processes even when not doing so will leave them unable to compete in an ever-changing and developing global marketplace.

“Digitisation is revolutionising modern manufacturing and no facet of our sector will be untouched. The rewards are obvious – technological leaps in the design, development, fabrication and operation of the goods and services the UK makes. But the cyber security threat to manufacturers is growing and evolving with it,” said Stephen Phipson, CEO of Make UK.

“No business can afford to ignore this issue any longer and too many are still burying their heads in the sand. This is a strategic threat; failing to get this right as a nation could cost the UK economy billions of pounds and put thousands of jobs at risk.”

To help support its members face this challenge, Make UK has partnered with cyber security specialists Vauban Group.