August 26, 2024
Imagine the critical software your organization relies on for closing deals and paying employees suddenly goes offline, with no clear timeline for recovery. What would your next steps be? Could you continue operating as usual? How much financial loss would you incur? Unfortunately, this scenario became a reality for over 15,000 car dealerships across the US and Canada in June, when cyber-attacks targeted CDK Global, a leading industry software provider.
These attacks crippled the sales, financing, and payroll systems of thousands of dealerships, forcing them to either halt operations or revert to manual, pen-and-paper methods. This incident serves as a stark reminder to all small business owners about the critical need for robust cybersecurity measures.
What Happened?
The first attack occurred on the evening of Tuesday, June 18. Upon detection, CDK Global promptly took the entire system offline to investigate. Although the system was restored the next day, a second attack ensued, forcing another shutdown. It appears the system was brought back online too soon, before identifying all compromised areas, leading to the second breach. Experts suggest it could take weeks for the system to be fully operational again.
While some businesses managed to switch to manual processes, this incident underscores the vulnerabilities inherent in relying on digital systems. In our increasingly digital world, where most transactions are just a few clicks away, significant disruptions arise when systems go offline. Essential business functions, such as completing transactions, managing payroll, and interacting with financial institutions, come to a halt. Until systems are restored, many business operations face delays and potential financial losses. Business owners know that a sale isn't complete until the check clears the bank!
So, What's Next?
CDK Global has not disclosed the exact cause of the attack, leaving it unclear whether this is intentional or due to ongoing investigations. Their security team will need to thoroughly examine every aspect of the business to determine what was compromised. Large companies often struggle to fully understand the extent of cyber-attacks on initial review, especially when multiple vulnerabilities are involved.
In the interim, businesses must scrutinize their systems for sales and operational continuity. Are they prepared to continue operations if such an incident happens again?
This event should be a wake-up call for all business leaders. If you lack a business recovery and continuity plan, you're exposing yourself to significant risk. Even if you have a plan, you need to ensure it is high-quality, regularly tested, and capable of handling large-scale attacks that disable multiple operational systems. If the answer is no, it's time to take action.
Our Offer
We are offering a FREE Consultation that will accomplish two key objectives:
- Vulnerability Analysis: We will evaluate your network for vulnerabilities, identifying potential attack points and providing solutions to patch them, reducing the likelihood of you becoming the next cyber-attack victim.
- Continuity and Recovery Planning: We will help you develop a continuity or recovery plan tailored to your organization. While cybersecurity is essential, even the most robust solutions are not 100% foolproof. Therefore, having a plan to quickly recover and continue operations if your network or a third-party software, like CDK, is compromised is crucial.
Don't wait for a cyber-attack to disrupt your business. Take proactive steps now to secure your operations and ensure continuity.
To get started, call our office at 702-605-9998 or click here to book your
FREE Consultation now.
