Imagine if the software your organization relies on for closing deals and processing payroll suddenly went offline, with no clear timeline for restoration. How would you cope? Could your business continue to operate? How much revenue would you lose? Unfortunately, this scenario became a reality for over 15,000 car dealerships in the US and Canada when two cyber-attacks targeted CDK Global, a widely-used industry software provider, in June.
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 underscores the critical need for robust cybersecurity measures for all small business owners.
What Happened?
The first attack struck on the evening of Tuesday, June 18. CDK Global promptly took the system offline to investigate. Although services were restored the next day, a second attack ensued, prompting another shutdown. It appears the system was brought back online prematurely, before all vulnerabilities were addressed, leading to the subsequent breach. Cybersecurity experts warn it could take weeks before the system is fully operational again.
While some businesses managed to switch to manual processes, this incident exposes the risks of heavy reliance on digital systems. In today's digital age, where transactions are just a few clicks away, system outages can bring critical business operations—such as transaction processing, payroll management, and financial interactions—to a halt. Until systems are restored, many business functions remain incomplete, causing delays and potential financial losses. Business owners know that a sale isn't final until the payment clears!
So, What's Next?
CDK Global has not disclosed the exact cause of the attack, leaving it unclear whether this is intentional or if they are still investigating. Their security team must thoroughly examine every aspect of the business to identify all compromised areas. Large companies often struggle to fully understand the extent of cyber-attacks during initial reviews, especially if multiple vulnerabilities are involved.
In the interim, businesses must critically evaluate their sales and operational continuity systems. Are they prepared to continue operations if a similar incident occurs?
This incident should serve as a wake-up call for all business leaders. If you lack a business recovery and continuity plan, you are exposing yourself to significant risk. Even if you have a plan, you must 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.
Take Action Now
We offer a FREE consultation to address two crucial aspects:
- Network Vulnerability Analysis: We will examine your network for potential vulnerabilities, identify where attacks could occur, and provide solutions to mitigate these risks, helping you avoid becoming the next cyber-attack victim.
- Continuity and Recovery Planning: We will assist you in developing a continuity or recovery plan tailored to your organization. While cybersecurity is essential, even the most robust systems are not 100% foolproof. Therefore, having a plan to quickly recover and resume operations is vital, whether an attack targets your network or a third-party software you depend on, like CDK.
Don't wait for a crisis to act. Strengthen your cybersecurity and ensure your business can withstand and recover from potential cyber threats.
To get started, call our office at 702-970-3472 or click here to book your FREE consultation now.
