Imagine the software your organization relies on for closing deals and paying employees suddenly went down, with no clear timeline for resolution. How would you respond? Could your business operations continue? How much revenue would you lose? This scenario became a harsh reality for over 15,000 car dealerships in the US and Canada in June, when two cyber-attacks targeted CDK Global, a prominent industry software provider.
These cyber-attacks crippled the sales, financing, and payroll systems for thousands of dealerships, forcing them to either halt operations or revert to manual, pen-and-paper methods. This incident serves as a stark reminder for all small business owners about the critical importance of robust cybersecurity measures.
What Happened?
The first attack struck on the evening of Tuesday, June 18. Upon detection, CDK Global took immediate action, bringing the entire system offline to investigate. The system was restored the following day, but a second incident soon necessitated another shutdown. It appears the system was reactivated prematurely, before all vulnerabilities were identified, leading to the second attack. Cybersecurity experts suggest it could take weeks before the system is fully operational again.
While some businesses managed to switch to manual processes, this incident underscores the vulnerabilities of relying heavily on digital systems. In today's digital age, where most transactions are just a click away, significant disruptions occur when systems go offline. Critical business functions such as completing transactions, managing payroll, and interacting with financial institutions can grind to a halt. Until systems are restored, many business operations face delays and potential financial losses. Business owners understand that a sale isn't complete until the check clears the bank!
What's Next?
CDK Global has not disclosed the exact cause of the attack. Whether this is intentional or due to ongoing uncertainty remains unclear. Their security team must thoroughly examine every aspect of the business to identify what was compromised. Large companies often struggle to fully understand the extent of cyber-attacks after initial reviews, as multiple vulnerabilities can complicate the assessment.
In the meantime, businesses must critically evaluate their systems for sales and operational continuity. Are they prepared to continue operations if such an incident happens again?
This incident should serve as a wake-up call for all business leaders. If you lack a business recovery and continuity plan, you are putting your organization at significant risk. Even if you have a plan, you must ensure it is high-quality, frequently tested, and capable of handling a large-scale attack that disables multiple operational systems. If the answer is no, it's time to take action.
We offer a FREE consult that will accomplish two key objectives:
- We will analyze your network for vulnerabilities, identifying potential attack points and providing solutions to mitigate these risks, thereby reducing the likelihood of becoming the next cyber-attack victim.
- We will help you develop a continuity or recovery plan tailored to your organization. While cybersecurity is essential, even the most robust security measures are not 100% foolproof. Therefore, you must have a plan to recover and continue operations if your network or a third-party software you depend on, like CDK, is compromised.
Don't wait for a cyber-attack to disrupt your business. Act now to protect your operations and ensure continuity.
To get started, call our office at 703-281-1017 or click here to book your
FREE consult now.
