Safeguarding against cybercrime: Vital measures for vehicle companies
In the era of escalating cyber threats, fortifying your business is paramount. Explore the key insights and strategies to shield automotive manufacturing from cyber vulnerabilities.
Business interruption and cyber incidents loom large as the top concerns for automotive manufacturers in 2024, as revealed by the Allianz Risk Barometer. With insights gathered from over 3 000 risk management professionals and industry leaders, this report underscores the imperative act of addressing these risks to ensure operational continuity and resilience against potential disruptions.
Despite some relief from post-pandemic supply chain disruptions in 2023, business interruption remains the foremost threat with 42% of respondents expressing apprehension. Cyber incidents and natural catastrophes rank as the top causes of business interruption, underscoring the intricate interplay and volatility of the global business landscape.
In response to these challenges, companies are prioritising actions such as developing alternative suppliers, enhancing business continuity management and identifying supply chain bottlenecks. These proactive measures aim to mitigate risks and bolster resilience in the face of evolving threats.
As the automotive market braces for normalisation in 2024, cyber incidents persist as the second most significant risk with ransomware attacks witnessing a surge. Hackers are targeting IT and physical supply chains necessitating robust detection and response capabilities backed by artificial intelligence.
Santho Mohapeloa, a cyber insurance expert at Allianz Commercial, warns of the evolving tactics employed by cyber criminals, emphasising the critical need for early detection tools and skilled professionals to combat emerging threats effectively.
Furthermore, product recall, quality management and serial defects emerge as pressing concerns, highlighting the financial and reputational implications for automotive companies. With recalls impacting a higher volume of units due to factors like accelerated speed-to-market, proactive risk management becomes paramount.
In navigating these risks, automotive manufacturers must adopt comprehensive risk management strategies to safeguard their operations and reputations. By addressing business interruption, cyber incidents and product recall risks productively, companies can bolster their resilience and ensure sustainable growth in an increasingly volatile landscape.
Source: Allianz Commercial
