Convergence of IT & OT in Manufacturing witness Increased Cyber Attacks

Omdia research finds there are increase in cyber attacks on Industry 4.0.

Industry 4.0 is hyper connected, and data-driven ecosystem where enterprises often streamline their complex workflows to track all activities in real-time.

Managing Cybersecurity risks across converged systems of IT & OT, when incidents affect enterprise and corporate systems or production control is a growing challenge. Industry 4.0 creates a hyper-connected, and data-driven ecosystem where enterprises may or may not streamline their complex workflows and track all activities in real-time.

The transformative power of IT & OT is indisputable for the growth, sustainability amidst the critical global problems that spring from supply chain disputes to labor shortages. IT & OT integration have been a boon to manufacturing sector transforming the digital landscape and reshaping manufacturing from core that stress on continuous innovation.

The Omdia research for Telstra reveals cyber attacks, increasing in manufacturing with 80% of firms experiencing a significant increase in overall security incidents ,with 45% firms adequately prepared in their cyber security strategy.

This is a major concern as the pace of transformation gaining momentum across the US, Latin America and Europe, where 70% of OT systems in manufacturing firms will soon be connected to corporate IT networks, up from 50%.

In Asia and Oceania, progress is moving at a similarly rapid rate as innovation is necessary for IT infrastructure to work with speed, scale up and adapt.

Key findings from Omdia Research why industry 4.0 target of Cyber attacks

  • Increased adoption of application significantly broadens the potential attack surface for malicious actors to strike. A major concern that can affect manufacturers exposing to higher cyber security risk.
  • Industry 4.0 are leveraging IT at a greater scale such as cloud, AI and Internet of Things (IoT) as part of their digital transformation strategy and falling under the process that defines 4.0 .
  • Manufacturing firms of different sizes are impacted as per research from 2024 as attack increased and incidents originated in IT rather than OT and were responsible for expensive and significant disruption.
  • 31% say they incurred financial losses as a result of being attacked and the magnitude of downtime costs from any kind of breach are still critical to manufacturers.
  • Respondents list advanced persistent threats (APTs), malware, data manipulation or destruction and DDoS attacks as the most commonly encountered threats. 
  • Manufacturers affected by a cyber attack reported a resilience or availability issue that cost individual firms between $200,000 and $2m.

Geraldine Kor, Telstra International’s Head of Global Enterprise Business, said: “Greater connectivity between IT and OT is necessary to harness advanced technology for manufacturing innovation, but it increases the risks of a breach. However, very few firms are mature in protecting and defending against such cyber risks.

The study also uncovered a fragmented approach to security responsibility, which can leave manufacturing businesses without a clear direction. This responsibility must be clear and integrated so that one group or person will have the authority to act on security challenges for mission-critical systems.

Inspite of attack vectors being innovative in their tactics, Omdia research finds a lack of readiness and preparedness among manufacturers.

Recommendations by Omdia

Most firms, it says, are at an operational or developing maturity level, with only 19% considered advanced in securing their IT-OT systems. 

Responsibility for securing assets, typically reserved for production managers or engineers, is increasingly falling to cybersecurity and IT leaders, says Omdia. 

While this reflects the fact that most incidents in manufacturing originate in IT, Omdia believes the shift isn’t happening quickly enough – it recommends manufacturing companies appoint a “clear and empowered executive with end-to-end responsibility across IT and OT across global global and regional sites”. 

This is one of several key recommendations and strategic areas of focus from Omdia and Telstra.

The report recognizes that managing cybersecurity risks across converged systems will be essential for ensuring operational resilience and maintaining competitive sustainability in the future. 

The convergence of IT and operational OT occurs as real time-data from any manufacturing hub or the factory floor is seamlessly getting integrated into IT systems. This digital integration allows organizations to embrace decision-making by analyzing data. This data is collected from transition-edge sensor known as (TES)sensors embedded in intelligent machines.

This data helps in supporting digital twin implementation. The digital twin refers to a virtual representation of a physical product, process, shop floor or machine, supposed to be an invaluable asset for manufacturers. By integrating more and more data, the digital twin bridges the divide between the real and digital worlds, unveiling insights and enhancing production efficiency.

Now with increased cyber attacks it has been noticed that most firms have been hit with expensive outages and security incidents while traditional security controls, policies and culture struggle to keep pace.

Mitigating risk of Industry 4.0 and how Intrucept can support Industry 4.0 in threat mitigation

The first part is restricting any unauthorized access to sensitive data and intellectual property.

Obviously main target of cyber criminals is disruption of production processes and supply chains through cyber-attacks and the process can be more complicated as compromise of industrial control systems (ICS) and operational technology (OT) networks cannot be denied. There is another risk which is associated with the use of cloud-based services and remote access to industrial systems. We cannot deny the aspect of Insider threats and human error in managing complex, interconnected systems.

Gartner in its research underlined how attacks against all four manufacturing sub-groups—industrial goods and services, aerospace, chemicals, and automobiles and parts—saw significant increases, ranging from 24% to 195% from 2023 – 2024.

For robust cybersecurity measures to protect against ransomware and other threats we at IntruceptLabs provide holistic cyber security products to navigate the complexities of Industry 4.0.

Cyber Analytics Platform from IntruceptLabs

  • Industry 4.0 creates a hyper-connected, data-driven ecosystem where enterprises may streamline their complex workflows and track all activities in real-time
  • Leveraging business intelligence (BI) in Industry 4.0 may help enterprises gain actionable insights into their complex business processes.

Cybercriminals exploit vulnerabilities not only in hardware and software but also within the dynamically evolving IT and operational technology (OT) environments.
In the context of Industry 4.0, cybersecurity analytics aims not only to identify threats but also to predict and prevent potential attacks. Modern analytical systems leverage advanced machine learning algorithms and artificial intelligence to process the vast amounts of data generated by devices and systems.

At Intrucept we assist organizations to detect patterns and anomalies that may indicate security breaches. These are real-time in nature giving more time to monitor and risk assessment as well as early detection of potential threats before they escalate into significant incidents.

For Rapid threat Response MXDR from IntruceptLabs

It can be challenging to oversee security events in complex operational technology (OT) environments, especially when it comes to ensuring sure the right data reaches the right people in
order to quickly handle cybersecurity concerns. This problem is addressed by Phoenix, which gives analysts access to security event data enhanced with comprehensive asset context. This makes it possible to identify and address possible cybersecurity threats more quickly.
The platform provides more than just warnings, which increases phoenix efficacy in OT environments. A better understanding of the situation is ensured by including important contextual information,
such as the asset’s location, criticality, and owner’s contact information. This removes the need for manual mapping of the large data sets.

BISO Analytics from IntruceptLabs

BISO Analytics stands out as the pioneering security analytics platform designed to assist enterprises in effectively handling their first-party, third-party, and emerging risks, all within a single platform. This comprehensive solution facilitates a quicker and safer progression for your business. BISO Analytics integrates open, data-centric cyber risk management practices, offering organizations a consolidated view of their cyber risk landscape across the entire attack surface.

BISO Analytics empowers CXO, mid-management, and operational teams with real-time, reliable, and defensible data thereby improving the security posture with greater confidence.

Mirage Cloak from IntruceptLabs

Mirage Cloak’s main goal is to attract attackers and make them reveal their presence and methods. The main aim is to offer various deception methods to detect and stop threats. The flexible framework allows customers add new deception methods as needed and includes..

  • Fake Assets or Decoy traps
  • AI-Powered Proactive Defense System
  • Detection Mechanisms
  • Early Warning System.
  • Reduction of False Positives

Sources:

https://www.telstrainternational.com/en/news-research/research/secure-manufacturing-the-challenges-of-IT-OT-convergence
https://www.themanufacturer.com/articles/transforming-manufacturing-through-it-ot-convergence

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