Industry worried about third party suppliers being weak link in digital supply chain
Preparedness and a response plan for cyber attacks are now just as critical as risk mitigation strategies, according to Willis Towers Watson’s (WTW) transportation risk index.
The advisory, broking and solutions firm surveyed 350 senior executives from the air, land and sea sector to measure the industry’s current risk environment.
The respondents saw cyber and data privacy breaches as the top risk for the sector and were worried about third party suppliers being vulnerable to cyber attacks.
WTW said that technological developments meant that supply chains were more connected and reliant on technology than before.
It also said that being prepared for cyber and data breaches were just as important to a company’s performance as being resilient to cyber attacks.
WTW head of transportation industry Mark Hue Williams said: “The transportation world is rapidly evolving, so risk strategies need to be responsive.
“Regulation and technological advances are demanding new operating models while, simultaneously, hostile actors are mounting attacks to take advantage of the industry’s strategic role in the global economy.
“Understanding your risks and knowing how to respond provides a competitive advantage.”
The executives saw geopolitical instability and regulatory uncertainty as the highest-rated category of risk that would impact their company over the next ten years.