Cybersecurity challenges have increased in the past few years in all the major business domains of the world, which was impacted by the pandemic because companies had to quickly switch to remote work settings. As these changes occurred, network misalignments and security flaws were exploited by cybercriminals. Malware attacks rose by 358% in 2020 compared to 2019.
If we look at contemporary global supply chains which are more digitised than ever, the threat of cyber attacks loom large over the shipping and logistics service industry. No doubt that digitalization and globalisation have facilitated the seamless and prompt exchange of goods and commodities across international borders, but it has equally opened the way for data leaks and cybersecurity threats in logistics.
So what’s the way forward? Well, proper risk management and data security are the need of the hour now. Particularly within the global transportation management systems, data security needs to be prioritised.
Let’s dig deeper into the ways through which stakeholders can ensure cybersecurity in TMS and the significance it has for the overall efficiency of global supply chains.
What’s The Need For Data Security In The Transportation Management Systems?
Given the integration of new-age technologies like AI and machine learning within contemporary supply chains, accessing confidential information and its manipulation has become more of an easy task for hackers worldwide.
In transportation management systems (TMS), data security is crucial for safeguarding sensitive information and ensuring the smooth functioning of operations. TMS handles a variety of data ranging from customer details to shipment schedules and financial transactions. Without adequate data security measures in place, this information becomes vulnerable to unauthorised access, manipulation, or theft.
Firstly, customer information such as addresses, contact details, and payment details must be protected to maintain trust and comply with privacy regulations. Any breach of this data could lead to financial losses, legal liabilities, and damage to the company’s reputation.
Moreover, transportation schedules, routes, and cargo details are valuable assets that can be exploited by competitors or malicious actors. Ensuring the confidentiality and integrity of this data is essential to prevent disruptions, theft, or sabotage in transit.
Financial transactions within TMS involve billing, invoicing, and payment processing, which require secure encryption and authentication protocols to prevent fraudulent activities and financial losses.
With the increasing integration of TMS with other supply chain management systems and IoT devices, the attack surface for cyber threats expands. Vulnerabilities in any part of the system could compromise the entire network, leading to operational disruptions, delays, and financial losses.
Therefore, implementing robust data security measures such as encryption, access controls, regular audits, and employee training is paramount for protecting sensitive information, maintaining regulatory compliance, and ensuring the smooth and secure functioning of transportation management systems.
How Data Security Can Be Achieved In Supply Chains And Logistics Services?
Data security in transportation management systems can be achieved through a combination of technological solutions, organisational policies, and employee training. Here are several key measures:
Encryption
Employ encryption techniques to protect sensitive data both in transit and at rest. This ensures that even if data is intercepted, it remains unreadable to unauthorised parties.
Access Controls
Implement effective access controls to limit access to sensitive information only to authorized personnel. This includes user authentication mechanisms, role-based access controls, and strict permission management.
Data Governance
Establish clear policies and procedures for handling, storing, and sharing data throughout the supply chain. Ensure that all stakeholders understand their responsibilities regarding data security and compliance with standard regulations.
Secure Networks
Use firewalls, intrusion detection systems, and other network security measures to protect against external threats such as malware, ransomware, and unauthorized access attempts.
Regular Audits and Monitoring
Conduct regular audits of systems, networks, and processes to identify vulnerabilities and ensure compliance with security standards. Start implementing continuous monitoring solutions to detect and respond to security incidents in real time.
How Secured Supply Chains Will Ensure The Efficiency in The Global Logistics and Shipping?
The need of the hour is the review of the existing transportation management systems in the business, which are under direct threat of getting repeatedly targeted by hackers everywhere. This demands collaboration and association of cyber security experts, scholars and shipping businesses on a bigger scale.
Secured supply chains will not only lead to the optimization of the flow of goods and services but also eliminate the cost borne by businesses to cover the damage and loss caused by data breaches. A proper transportation management system in place can help businesses overcome the fear of expanding their operations on an international scale due to security threats posed by cyberattacks. Shippers can ensure the safe conduct of business to businesses of all sizes by leveraging the apt technology by partnering with industry leaders in global cybersecurity logistics. This will lead to overall productivity in global transportation management and trade.