Cyber Risk in Manufacturing – A Closer Look

Welcome back to the fast-paced world of modern manufacturing, where excelling in cybersecurity is not just a best practice but a crucial element for survival. In this chapter, we delve into the vital importance of cybersecurity, particularly in protecting Industrial Automation and Control Systems (IACS). These systems are pivotal in managing and monitoring industrial processes, yet they face a growing array of complex cyber threats. These threats extend beyond mere operational risks, posing real dangers to individuals and the environment. Let’s unpack this and see what it means for the industry in Part 4 of our series on cybersecurity in the manufacturing industry.

Challenges of Assessing Cyber Risks in Manufacturing

• Comprehensive Threat Analysis: A significant challenge is the lack of detailed information on existing cyber threats. This gap hinders the development of effective strategies for safeguarding systems.
• Adapting to Evolving Threats: Cyber threats are in a state of constant evolution, often outpacing existing security measures and compliance standards.
• Focus on Safety Systems: Increasingly, cyber attackers are targeting Safety Instrumented Systems (SIS), indicating a shift toward causing more disruptive and potentially damaging impacts.
• Sophisticated Attack Techniques: Attackers exploit not just hardware or software flaws but also system vulnerabilities, including misconfigurations and inherent functionalities.
• Limitations of Compliance Frameworks: While helpful, frameworks like NERC CIP and CFATS may not fully address the actual threats to manufacturing and IACS systems, leading to protection gaps.
• Critical Infrastructure at Risk: The manufacturing sector, a part of the critical infrastructure, faces heightened risks from cyber threats that could cause physical damage and disrupt key processes.

Proactive Risk Management in Manufacturing

To enhance resilience against cyber threats and regulatory changes, manufacturing organizations need a robust risk management framework. This framework should integrate risk assessment tools to identify potential vulnerabilities in manufacturing processes. However, it’s essential to tailor these frameworks to the specific manufacturing environment for maximum effectiveness.

Implementing control measures standards in IT environments can be challenging in manufacturing settings, as they might conflict with operational functions. Therefore, stakeholder collaboration and aligned objectives are crucial to ensure that risk management efforts are cohesive and effective.

Manufacturing organizations can improve their security posture by adopting frameworks like the NIST Cyber Security Framework or the ISA-62443 standards, designed for IACS. These frameworks help identify relevant security measures for OT environments, enhancing cybersecurity maturity and regulatory compliance. They also provide alternative solutions for cybersecurity challenges not addressed by standard security controls.

Risk assessment tools are vital for manufacturers to identify gaps in current processes and security measures, particularly in OT environments. The insights from these assessments are key to developing a comprehensive risk mitigation strategy, with a focus on prioritizing actions and setting clear timelines. Balancing the cost of mitigation against the potential financial and safety impacts of operational disruptions or other risks linked to unaddressed vulnerabilities is a critical aspect of this process.

The Art of Cyber Risk Management

Managing cybersecurity risks in manufacturing involves a combination of strategies, including vulnerability assessments, penetration testing, and risk assessments. These methods are essential for identifying vulnerabilities and preparing for potential threats. Traditional risk assessment in manufacturing has focused on factors like safety, production volume, quality, or cost.      

However, cybersecurity measures should also consider their impact on business processes. For instance, incident response may require temporarily disabling a plant floor workstation, which could cause significant operational disruption. In the manufacturing sector, any risk to seamless operation is a critical concern, so cybersecurity measures must be integrated with an understanding of their potential operational impact.

 A Structured Approach to Cybersecurity in Manufacturing

To effectively manage cyber risks in manufacturing, a structured approach is essential. The framework should include defining the current and target states of cybersecurity, conducting gap analyses, creating threat profiles, risk mapping, benchmarking, remediation, and ensuring program maturity. This comprehensive method is crucial for managing cybersecurity risks in ICS (industrial control systems) environments effectively.  A concise overview of a risk management framework tailored for manufacturing, drawing on established standards and best practices, encompasses:

• GAP Analysis: Identifying and documenting the differences between the current state and the cybersecurity goals.
• Threat Profile Development: Creating a detailed threat profile to understand specific risks and inform proactive risk management strategies.
• Risk Register Creation: Compiling a detailed risk register, outlining each risk, its impact, likelihood, affected areas, and involved stakeholders.
• Benchmarking: Comparing current cybersecurity practices against established standards and evaluating controls against specific threat scenarios.
• Remediation Strategy Design: Develop customized strategies for each prioritized risk.
• Program Maturity Evaluation: Regularly reviewing and improving the cybersecurity assessment process, ensuring adaptability to evolving threats.

The game plan for the manufacturing sector involves stepping up its cybersecurity strategy. It’s about being proactive, using threat intelligence, and adapting defenses to the evolving threat landscape. By combining compliance with advanced detection and response strategies, the sector can protect not just its systems but also its people and the environment.

Navigating the complex world of cyber risk in manufacturing demands a strategic mix of careful planning, collaborative teamwork, and constant vigilance, with a particular focus on cybersecurity. It’s a journey of continuous adaptation and preparedness, aiming not just to survive but to thrive in the ever-changing digital landscape. Let’s get to it and ensure our manufacturing sector is as secure as it is innovative.

In case you missed the first installments:

Part 1: Industrial Cybersecurity Manufacturing Cybersecurity in the Manufacturing

Part 2: The Journey Beyond Industry 4.0 – Embracing Smart Manufacturing

Part 3: Navigating the Manufacturing Threat Landscape

The Industrial Cybersecurity Handbook for Manufacturing

Jonathon Gordon

With over 30 years of experience in cybersecurity, information systems, and telecoms, Jonathon provides focused research and actionable insights to industrial enterprises and those responsible for safeguarding them against cyber threats. Since joining TPR in 2018, he has published numerous reports and playbooks on various industrial cybersecurity topics, including secure remote access, network visibility, asset inventory, perimeter security and ransomware attack recovery. Jonathon is also known as the author of the annual buyers guide for industrial cybersecurity. Prior to joining TP Research, he held various technical, managerial, and senior executive positions with prominent technology companies.