Cybersecurity Threats in Logistics: What Supply Chain Companies Need to Know Now
In February 2022, Seattle-based freight forwarder Expeditors International discovered a cyberattack and shut down most of its systems worldwide. For about three weeks, the company had limited ability to arrange shipments or manage customs and distribution for its customers. Many of those customers moved their freight to other providers during the outage.
None of those shippers were the target. The attack reached them through a partner’s systems, which makes cybersecurity in logistics your concern as much as your forwarder’s.
Below are the threats that hit logistics companies most often and the questions to ask your partner about how they handle them.
Why Cybersecurity in Logistics Affects Your Freight
Moving freight depends on a chain of connected systems. Transportation management software books loads, warehouse management systems track inventory, carrier portals handle dispatch, and customs filings move through electronic platforms. Your logistics partner also trades data with carriers, brokers, and customs agents every day.
When one of those systems is compromised, you feel it as an operations problem. Tracking goes dark, pickups get missed, and entries sit at customs. Your shipment data, customer addresses, and commercial invoices may also be stored on the compromised network.
Common Cybersecurity Threats to Logistics Companies
Attacks on logistics providers tend to follow a few familiar patterns.
- Phishing and payment fraud. An email that appears to come from a carrier or forwarder asks you to update banking details before paying an invoice. The payment goes straight to the attacker.
- Ransomware. Attackers encrypt a company’s systems and demand payment to unlock them. Dispatch, billing, and warehouse operations stall until everything is restored.
- Carrier identity theft. Criminals use stolen or spoofed carrier credentials to book loads, then pick up the freight and disappear with it.
- Third-party access. Shared logins, outdated integrations, and portals without multi-factor authentication give attackers an easy way in through a smaller partner.
Questions to Ask Your Logistics Partner About Security
These questions will show you how seriously a partner takes cybersecurity for logistics operations.
- How do you verify a carrier’s identity before tendering freight? Listen for specific checks that go further than confirming an active MC number.
- How do you confirm requests to change payment or banking information? A callback to a known phone number should be standard practice.
- Who can access my shipment data and customs documents? Every user should have an individual login protected by multi-factor authentication.
- What happens if your systems go down? Ask about backup procedures and how quickly they’ll notify you.
- How do you handle data-bearing equipment during relocations or asset recovery? Servers and hard drives in transit need a documented chain of custody.
Make Security Part of How You Choose a Partner
Rates, transit times, and service coverage will always drive the decision. Add logistics cybersecurity to that list. A partner who answers these questions clearly is better prepared to keep your freight moving when something goes wrong.
Contact AFP Global Logistics
AFP Global Logistics offers a comprehensive range of domestic and international logistics services, including transportation, warehousing, distribution, and specialty freight. To learn more or start building a solution that fits your business, contact AFP Global Logistics today.
Give us a call at (800) 274-1237 or reach out at quotes@afplus.com. You can also fill out our convenient online Contact Form.
