Archives

If the software your organization used to close deals and pay employees unexpectedly went down and you had no idea when it would be fixed, what would you do? Could you continue doing business? How much money would you lose? Unfortunately, in June, this happened to over 15,000 US- and Canada-based car dealerships when two cyber-attacks occurred on the popular industry software provider, CDK Global.
This software attack shut down the sales, financing and payroll systems for thousands of dealers, forcing them to either stop business or revert to the old-fashioned pen-and-paper method. This incident should be a wake-up call for all small business owners, highlighting the importance of robust cybersecurity measures.

What Happened?

The initial attack occurred on the evening of Tuesday, June 18. Once it was detected, CDK Global immediately took the correct action, bringing the entire system offline to investigate the issue. The system was up and running again the following day until a second incident occurred, which resulted in the company bringing the system back offline. It’s thought the system was brought back online prematurely, before all compromised areas were discovered, resulting in a second attack. Cybersecurity experts are saying it could be weeks before the system is back to being fully operational.

While some businesses were able to revert to manual processes, this incident highlights the vulnerabilities that come with relying on digital systems. In our ever-advancing digital world, where most transactions are a couple of clicks away, significant issues arise when systems go offline. Critical parts of the business process, such as completing transactions, managing payroll and interacting with financial institutions, can come to a standstill. This means that until the systems are back online, many business operations cannot be fully completed, leading to delays and potential financial losses. Business owners know that there is no sale until the check clears the bank!

So, What’s Next?

CDK Global didn’t disclose the exact cause of the attack. Whether that was intentional or they are still unsure remains to be seen. Their security team will need to meticulously comb over every area of the business to determine exactly what was compromised. It’s often difficult for large companies to get the details about cyber-attacks 100% correct after the first review because they may not be able to determine the extent of an attack’s network penetration if there are multiple points of vulnerability.

In the meantime, businesses need to take a hard look at their systems for selling and operational continuity. Will they be prepared to continue doing business if and when this happens again?

This incident should serve as a wake-up call for all business leaders. If you don’t have a business recovery and continuity plan in place, you’re putting yourself at risk. And if you do, you need to ask yourself if it is high-quality, tested often and able to handle a large-scale attack where multiple operational systems are disabled. If the answer is no, it’s time to do something about it.

We’ll do a FREE Security Risk Assessment that will achieve two important things:

1. We’ll analyze your network for vulnerabilities. This will show you if and where an attack can occur, and we’ll offer solutions to patch it so you’re not actively setting yourself up to be the next cyber-attack victim.

2. We’ll help you determine what continuity or recovery plan makes sense for your organization. Cybersecurity is an essential and necessary element of doing business, but even the most robust security solutions are not 100% foolproof. This means you must have a plan to bounce back and continue doing business if something should happen to your network or to a third-party piece of software you rely on, like CDK.

To get started, call our office at 480-464-0202 or click here to book your FREE Security Risk Assessment now.

Summer is a popular time for vacation travel. If you’re looking to squeeze in any last-minute travel, there is a scam circulating that you need to be aware of. As costs for everything from food to travel continue to increase, the logical step is to search for the best deals online to book a memorable trip without breaking your budget. According to Booking.com, cybercriminals have decided to capitalize on this need and are now using one scarily convincing, AI-generated phishing e-mail that can cost victims way more than their vacation fund. Booking.com’s CISO, Marnie Wilking, shared that the organization has seen a 500% to 900% increase in travel-related scams in the past 18 months using this malicious tactic.

How are these scammers doing it? Phishing e-mails have existed since the dawn of the Internet, but AI tools like ChatGPT are making it increasingly easy to create realistic and professional scam e-mails that are more likely to trick readers. In the past, phishing e-mails were riddled with red flags such as spelling and grammatical errors. With the rise of AI, it’s easier for cybercriminals to pump out dozens of seemingly legitimate e-mails that often go undetected by software and readers.

Here’s how they work:

Scammers will use sites like Booking.com or Airbnb.com that allow people to list their places as short-term rentals. The scammers send out e-mails offering incredible rates or time-sensitive deals on nonexistent properties. After someone pays, the cybercriminals will either disappear with the money, leaving the renter without a place to stay, or use follow-up e-mails to collect additional “fees” or “charges” before vanishing.

To be clear, these vacation-focused phishing scams are NOT new. The problem now is that, with AI, more people are falling for them because these e-mails are becoming more convincing.

What can you do?

Vacationers can take several key steps to ensure they’re not being duped.

1. Use two-factor or multifactor authentication, where applicable. Having a confirmation code sent to your phone every time you log in will help prevent phishing attacks and credential theft.

2. Avoid clicking on e-mail links. If you receive an e-mail promoting a too-good-to-be-true deal, remember, it is likely too good to be true! Go to the website and search for the special. If you can’t find it, there is a chance you will avoid a scam.

3. Before booking ANY property online, make sure contact information and reviews are readily available. Have other verified users stayed at the property? If so, it’s less likely to be a scam.

4. Use credit cards for online purchases. Using debit cards that are linked directly to your bank account is dangerous. When theft occurs from your debit card, it is difficult to get your money back – if you get it back at all. Using a credit card provides an additional layer of protection.

The most important thing is to stay vigilant. Analyze every e-mail offer you receive and follow cyber security best practices. Standard security software can help detect some of these scam e-mails, but often not all of them, so it’s important to be cautious and look for red flags.

Personal scams may ruin a vacation, but business breaches can cost you and your family their livelihood. To keep your network secure, call us at 480-464-0202 or click here to book a FREE 10-minute discovery call with our cyber security experts, who can help you create a plan that protects you. We are here to help! Enjoy a well-deserved break this summer, and remember to be cybersmart.

Is your organization currently bleeding money due to its reliance on outdated technology? The answer is likely yes. A recent survey by Deloitte revealed that a staggering 82% of companies failed to meet their cost-reduction targets last year, with an inefficient technology infrastructure being the primary culprit.

The 2024 poll of nearly 300 business leaders on business margin improvement and technology transformation efforts revealed that challenges with their technology infrastructure are the biggest barrier to organizations seeking to improve margins by cutting costs. This same study found that over 50% of the respondents reported that leveraging data and generative AI strategies for improving margins would be their focus for 2024.

What does this tell us? Organizations are looking to adopt new, automated, AI-powered ways of doing business to save money and improve efficiency but are held back by antiquated technology.

Why Should Businesses Upgrade Their Technology?

Legacy systems, typically categorized as technology that’s at least a decade old, can quickly become expensive to maintain. They are slower, need constant updates and patches, and don’t leverage new features as they’re developed. As a result, businesses struggle to keep up with their tech-savvy competitors in every area of the organization, from scaling and cloud usage to human resources and customer service operations.

But that’s not the only issue. Outdated technology increases your risk of cyber-attacks. Old technology typically cannot keep up with the rapidly changing world of cyber security. As new, more malicious threats emerge, older technology eventually becomes incapable of keeping up with the latest updates required to keep your network secure.

So, why do business owners put off updating technology when the data clearly shows that it will positively impact productivity and the bottom line? There are a couple of reasons, the main one being sticker shock. Seeing the price of updating technology infrastructure can feel overwhelming. Smart business leaders run through risk-related questions like “What if something breaks?” or “What if it doesn’t work like they say it will?” However, the data shows that maintaining old technology could be more costly. A separate Deloitte study of CIOs in 2023 found that respondents spent an average of 55% of their technology budget on maintaining their existing systems.

There’s also the cost of switching. What will bringing systems down and transitioning to a new system cost? What will the cost be to train employees to use the software? These are all questions your IT team can help you answer BEFORE you start upgrading your technology. An experienced technician will help you analyze your system to see what needs to be updated and when, and map out a plan to upgrade your system in the most efficient way possible. It’s easier than most business leaders think and pays off in increased productivity and profitability.

If you’re looking to upgrade your technology or are just tired of slow, outdated tech and want to see what the next step could look like, we’ll do a FREE Network Assessment. Our techs will dig into your system and determine what you need to get technology that helps you run your business better. To book your assessment, call us at 480-464-0202.