Protecting Manufacturing Operations From Cyber Risk

As Canadian manufacturers connect production systems to the cloud, cybersecurity has become a critical operational risk. To protect against disruptions and intellectual property theft, small and medium-sized manufacturers must inventory assets, separate office and plant networks, secure remote access with multi-factor authentication, test offline backups, establish incident response plans, and manage vendor cyber risks.

Canadian manufacturers are getting more connected. Production equipment increasingly communicates data with cloud platforms, remote personnel use online tools to access machinery, sensors monitor machine conditions, and suppliers digitally share orders, shipping details, engineering files, and inventory data. These connections can boost productivity and visibility, but they also increase cybersecurity risk. A successful attack can disrupt production, reveal intellectual property, jeopardize customer or supplier information, damage equipment, or delay shipments. For small and medium-sized manufacturers, cybersecurity should no longer be viewed solely as an IT issue. It is a critical business continuity and operational risk problem. 

The Canadian Center for Cyber Security has warned that internet-accessible industrial control systems are being targeted. It advises organizations to identify all exposed industrial control system devices, determine whether they require internet access, and use safer alternatives such as virtual private networks with multifactor authentication. 

Why Manufacturers Face Different Risks

Manufacturers manage both information and operational technologies. Examples of information technology-based business systems include email, accounting software, ERP platforms, cloud storage, employee gadgets, and customer databases. Programmable logic controllers, human-machine interfaces, industrial sensors, robots, manufacturing equipment, and building control systems are all examples of operational technology. A cyberattack on office systems can impede communication and administration. An attack on operational technology can halt a production line, disrupt safety protocols, damage machines, or result in missed delivery deadlines. 

The growing use of remote support, cloud dashboards, networked equipment, and supplier portals creates additional access points for attackers. A vendor account with broad access, an unpatched industrial computer, a repeated password, or an internet-exposed device can all provide access to business and production networks. As a result, firms must safeguard not only secret files but also uptime, safety, operational data, manufacturing capacity, and customer trust. 

Begin With an Asset Inventory

A manufacturer cannot secure systems that it does not know exist. The first step is to compile a list of digital and operational assets throughout the organization. The inventory should include computers, servers, employee laptops, mobile devices, cloud applications, ERP and accounting software, industrial-control systems, programmable logic controllers, sensors, cameras, robotics, production-line computers, routers, firewalls, remote-access tools, and backup systems.

Record what each asset performs, who owns it, where it is located, whether it connects to the internet, what data it processes, and whether it is required for production. Businesses should also identify vendor-managed systems, such as equipment that providers may remotely troubleshoot or upgrade. The Canadian Center for Cyber Security recommends that enterprises undertake a full inventory of internet-accessible industrial-control-system devices and evaluate whether such exposure is required. 

Separate Office Networks From Production Systems

Network segmentation is one of the most critical safeguards for a connected factory. It entails segmenting networks so that an employee laptop, office email account, or compromised visitor Wi-Fi connection cannot easily access vital production systems. Manufacturers should, at a minimum, keep information technology and operational technology networks separate. Production equipment, industrial controllers, engineering workstations, and machine interfaces should have restricted access. Connections should be blocked by default unless they are strictly required for a genuine operational purpose. 

The Canadian Centre for Cyber Security suggests separating information technology and operational technology networks and allowing connections only when clearly required for system functionality. Segmentation does not have to be extremely sophisticated in the beginning. A certified cybersecurity supplier can help an SME map its network, identify critical systems, remove unnecessary connections, and create secure channels for authorized remote access. 

Secure Remote Access With MFA

Manufacturers commonly require remote access. Equipment vendors may need to diagnose machinery, maintenance contractors may need to assess systems remotely, and employees may require access to company platforms while at home or on the road. Risk increases when remote access is poorly managed, shared among users, or protected only by a password. Manufacturers should require multi-factor authentication for all remote access, particularly for administrator and vendor accounts, cloud applications, engineering workstations, and operational technology systems. Multi-factor authentication requires users to submit more than one form of identification, such as a password plus an authenticator app, security key, or biometric scan. 

The Cyber Center recommends phishing-resistant MFA for remote access to operational technology networks, such as vendor and maintenance accounts, human-machine interfaces, and engineering workstations. Businesses should also quickly deactivate former employee accounts, prevent shared passwords, restrict access to specific tasks and hours, and regularly monitor vendor rights. 

Test Backups and Build an Incident Plan

Backups are necessary; however, an untested backup may be ineffective during a ransomware attack or system failure. Manufacturers should back up important company information, manufacturing settings, maintenance records, engineering files, ERP data, and any other information needed to restart operations. The Cyber Center suggests maintaining regular backups of both information technology and operational technology systems, storing backups away from source systems, and testing them regularly. 

Before an event arises, an incident response plan should answer the following questions: Who may restrict remote access? Who communicates with the cybersecurity provider, insurance, law enforcement, customers, and suppliers? Which production systems should be restored first? How will the firm function if email, ERP, or a production line are unavailable? Senior management, IT workers, plant leadership, and key operational employees should all participate in a short tabletop exercise to test the plan. 

Check Supplier and Vendor Risk

Manufacturers are increasingly reliant on digital interactions with equipment suppliers, logistics companies, software vendors, cloud providers, engineering firms, and contractors. Each connection may pose a risk. Businesses should ask vendors whether they use MFA, how they manage credentials, where they store firm data, how they disclose security issues, whether they use subcontractors, and how quickly they apply security updates. 

Contracts should clearly outline security duties, data ownership, support, incident notification, and access removal when the partnership ends. The Cyber Center recommends that enterprises incorporate cybersecurity supplier and vendor requirements in procurement documents. 

The Bottom Line

Cybersecurity is increasingly a component of manufacturing resilience. Canadian SMEs do not need to address all risk at once; instead, they should start with the basics: understand their assets, segregate office and plant networks, protect remote access, test backups, plan for incidents, and assess supplier risk. These activities can reduce the likelihood that a linked system becomes the weak link that disrupts production, exposes intellectual property, or undermines customer confidence. 

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Disclaimer: This article is based on publicly available information and is intended for informational purposes only. CanadianSME Small Business Magazine does not endorse or guarantee any products or services mentioned. Readers should conduct independent research and due diligence before making business decisions.