Ransomware is a threat businesses cannot afford to ignore. Such a cyberattack often blocks user access to systems until the perpetrator receives ransom. A recent cautionary tale is a ransomware attack on Dole Food Company.
Dole reported on Feb. 22 a cybersecurity incident involving ransomware. Although it is unclear when or how the attack occurred, Dole said it had a limited impact on its operations. However, there are reports saying the disruption may be more serious than the company let on.
In a leaked memo to retailers dated Feb. 10, Dole said it had to shut down systems in North America following the cyberattack. The company closed production plants and suspended shipments for the day. One grocery store in Texas revealed the attack caused a shortage in prepackaged salads.
How Ransomware Attacks Affect Businesses
Ransomware attacks remain a critical threat to businesses, but more victims are refusing to pay the ransom. According to blockchain data company Chainalysis, ransomware groups saw lower gains in 2022. Attackers received a total of $457 million in 2022 compared to $766 million in 2021.
Aside from monetary demands, here’s how ransomware attacks cause serious financial
1. Loss of Productivity
Ransomware locks employees out of systems. They are unable to do their jobs, leading to
delays and lost revenue. Slower operations can also damage a company’s reputation, which can take years to repair.
2. Loss of Sensitive Data
Hackers steal valuable information to sell on the dark web or use for identity theft. This is
particularly damaging for businesses handling sensitive data. Financial and health care
companies need to take extra care in protecting customer information.
Moreover, a data breach can lead to costly legal troubles for businesses. Companies may be held liable for failing to follow data privacy laws.
What Can Businesses Do to Mitigate a Ransomware Attack?
There are many steps businesses can take to stay ahead of threats. Here are a few:
• Apply Robust Cybersecurity Measures
Every business owner needs to invest in updated anti-virus software, firewalls, and intrusion detection systems. Multi-factor authentication is a must for all systems. Companies should also limit access to sensitive data.
• Have a Response Plan in Place
Businesses must have a detailed response plan in case of a cyberattack. The plan should
include who to contact, what actions to take, and how to recover from the attack.
• Educate Employees
Companies should hold regular training on cybersecurity best practices. Employees need to learn how to recognize and avoid criminal tactics like phishing scams.
The Dole ransomware attack is a stark reminder of cybercrime’s impact on businesses.
Through awareness and proactive measures, companies can keep their critical data and
financial futures secure.