SC security is one of the key areas of SCM and it focuses on managing risk of external transportation, logistics, vendors, and suppliers. The goal is to reduce, analyze, and recognize the risk factors relevant to the SC network. Today, we’ll discuss supply chain security management; its strategies, benefits, and challenges.
What is Supply Chain Security Management?
Supply chain security management outlines methods, procedures, policies, and technology to save and protect SC data and assets from terrorism, damage, and theft. It is to prevent and protect the unauthorized introduction and access of personnel and people into the SC network and process.
However, SC security is a very wide area and it covers various things ranging from cyber threats to physical threats; from protecting systems to monetary transactions; from reducing risk factors derived from any 3rd party to the immediate business network. There is a growing consensus among experts that SC security needs a multifunctional approach.
SC security is a multi-dimensional problem and it needs close coordination, collaboration, and implementation among IT organizations, customer support, and various businesses. Businesses and companies that would perform various functions rightly like initiating with IT with securing the multi-enterprise business network. It carefully manages and moves upward by offering secure access to transparent capabilities and analytics from continuously evaluating every layer for any abnormalities.
Supply Chain Security Management – Strategies
Some of the main strategies for SC security management are as follows;
Security Strategy Analysis
In order to analyze the risk and compliances, you should analyze the current security governance like IT regulatory compliance gaps and needs, 3rd party risks, and data privacy. It comprises of following steps;
- Quantifying security risks
- Developing security programs
- Standards and regulatory compliance
- Training and security education
You should recognize the basic security concerns by performing various types of vulnerability scans. It helps you in the following ways;
- Fixing bad database configuration
- Recognizing poor password policies
- Finishing default password
- Securing network and endpoints
- Decreasing risk factors with minimum impact on productivity
Penetration test specialists would help you to determine vulnerabilities in various areas of new and old applications.
Modernization & Digitization
It is difficult to secure your data if you are conducting transactions through email, fax, phone, and paper. The key is to digitalize necessary processes, and the technology would help you to switch from the paper-based and manual process to online. It would help you to perform secure transactions and safely move data among trading partners, clients, and enterprises. Modern software and business processes would employ the following;
- Data loss prevention
- Monitoring File Access
Data Encryption & Recognition
Data protection programs comprise classification tools and applications to recognize files and databases that contain proprietary records, financial data, and customer information. After recognizing the data, you should employ the latest encryption policies and standards to protect all types of data like health, IOT, inventory, order, financial, and customers.
Data Transparency & Exchange
The multi-enterprise business network would make a sure reliable and secure exchange of information between strategic partners. It is significant to access and recognize security strategies to safely share sensitive and proprietary data across the broad ecosystem; while reducing vulnerabilities with limited risk of breaches and data access.
Provenance, Transparency, and Trust
You cannot delete, change, or manipulate the ledge once you have included the data with the help of the blockchain platform. It helps you to evaluate product quality, authenticate provenance, and avoid fraud. People from various companies could track products and materials from the initial point to the end consumers. You could save and store all the data and information on the blockchain ledger and you can protect it with the highest level of commercial availability.
3rd Party Risk Management
Businesses and companies should amplify their definition of vendor risk management that comprises end-to-end security. It happens after developing interdependence and connection between 3rd parties and companies. You can do so by bringing your own technical and business team together with vendors, suppliers, and partners to recognize key assets and potential damages to the business operations.
Benefits of SCSM
Some of the main benefits of SC security management are as follows;
- Tracking the company’s data and other critical issues associated with it
- Developing a pre-emptive risk-reducing strategy that would help you to categorize and process business data to recognize the data breaches, potential threats, liabilities, and critical assets
- Launching a continuous evaluation system and well-defined policies across the hybrid channel and complex environment
- Upgraded software versions would help you to decrease the damage risk if hackers try to exploit them
Challenges to SCSM
Some of the main potential threats to supply chain security management are as follows;
Cybercriminals and hackers are developing malicious viruses and compromising commonly used libraries. The compromised libraries would have vulnerabilities and backdoors in their design or structure, and it would give them access to the corporate system or data.
Tools and applications often rely on 3rd party developers, and they have limited visibility and transparency in their code. If the 3rd party system is vulnerable, then hackers would exploit the vulnerabilities to jeopardize the system.
Many companies provide access to the 3rd party service providers in their systems. If the hackers could breach the supplier and vendor system, then they could gain access to the company’s database environment.
Conclusion: Supply Chain Security Management
After an in-depth study of the supply chain security management; we have realized that SCSM is highly significant for the safety and privacy of the company’s system. If you are learning about SC security management, then you should keep in mind the abovementioned benefits, challenges, and strategies.
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