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Supply Chain
Blue Yonder Cyber Security Ransomware Supply Chain

Blue Yonder Recovers from Ransomware Attack, Focuses on Resilience

 

Blue Yonder, a leading provider of supply chain solutions, is making steady progress in recovering from a ransomware attack that disrupted services for several of its clients.

On November 21, the company was targeted by a ransomware attack that impacted a significant number of customers. As of now, Blue Yonder has reported substantial progress in restoring its systems. Most affected clients are operational again, with additional recovery efforts ongoing.

A cybercrime group known as Termite has claimed responsibility for the attack. In response, Blue Yonder engaged law enforcement and cybersecurity experts to conduct a comprehensive investigation. While details of the breach remain unclear, the company remains committed to identifying the root cause and fortifying its systems against future incidents.

Impact on Key Clients

The ransomware attack affected major clients, including:

  • Starbucks: The coffee giant, which relies on Blue Yonder’s technology for employee scheduling, faced disruptions that forced a temporary shift to manual processes. Despite these challenges, Starbucks confirmed that its internal systems were not directly compromised. By December 13, the scheduling platform was fully restored.
  • Morrisons: The UK-based supermarket chain experienced interruptions in its warehouse management system for fresh goods. The issue has since been resolved, and Morrisons has resumed normal operations.

Commitment to Clients and Cybersecurity

Blue Yonder serves a diverse clientele, including retailers, logistics firms, manufacturers, and supermarket chains. This incident underscores the critical role such technology providers play in ensuring seamless supply chain operations.

To reaffirm its commitment, Blue Yonder is prioritizing enhanced cybersecurity measures to mitigate vulnerabilities and build greater resilience into its platforms. The company continues to work diligently to restore trust and minimize potential future disruptions.

The recent ransomware attack highlights the growing sophistication of cyber threats. Businesses must adopt proactive measures to safeguard their operations, particularly in the face of increasingly complex ransomware schemes. For essential technology providers like Blue Yonder, maintaining robust defenses is paramount to delivering uninterrupted services and retaining client confidence.

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Security Chain
Blue Yonder CNN Cyber Attacks Cyberattacks Cyberhackers CyberThreat Cybver Security Security Chain

Blue Yonder Cyberattack: A Wake-Up Call for Supply Chain Security

 


Blue Yonder, a prominent supply chain software provider used by major U.S. grocery chains like Safeway and Fred Meyer, is investigating a significant cyberattack. The ransomware group Termite has claimed responsibility, threatening to publish 680 gigabytes of stolen data, including documents, reports, and email lists, if its claims are verified.

The Cyberattack

On November 21, 2024, Blue Yonder, an Arizona-based company serving clients such as DHL, Starbucks, and Walgreens, experienced a ransomware incident that compromised its network and disrupted services. Though the company confirmed the attack, it has refrained from naming the perpetrators or specifying the type of data stolen. However, Termite has indicated plans to use the stolen data for future attacks.

Similarities to Babuk Ransomware

Security experts suspect that Termite might be a rebranding of the notorious Russian-linked Babuk ransomware group, responsible for over 65 attacks and $13 million in ransom payments as per the U.S. Department of Justice. Researchers from Cyble and Broadcom have observed Termite using a modified version of Babuk’s ransomware strain, further linking the two groups.

Operational Disruptions

The attack caused significant operational disruptions for Blue Yonder’s clients, including major UK supermarkets. One of the largest food retailers, Morrisons, faced interruptions in the flow of goods to its nearly 500 stores. This highlights the far-reaching consequences of ransomware attacks on supply chain networks.

Investigation and Customer Communication

Blue Yonder is collaborating with cybersecurity experts to investigate the breach and has informed affected customers. However, the company has not disclosed specific details about the stolen data. Lucy Milburn, a spokeswoman for the UK’s Information Commissioner’s Office, confirmed that Blue Yonder has not yet reported the data breach to the regulator.

Previous Incidents and Lessons Learned

Ransomware attacks continue to impact industries globally. Earlier this year, healthcare company Change Healthcare suffered a massive attack, disrupting millions of billing systems and affecting hospital care. In another case, hackers targeting AT&T accessed tens of millions of phone calls and text messages, with the company reportedly paying $400,000 to secure the stolen data.

The Need for Robust Cybersecurity

These incidents, including the Blue Yonder attack, underline the importance of proactive cybersecurity measures:

  • Updated defenses: Companies must ensure their cybersecurity systems are up to date.
  • Staff awareness: Employees should be trained to recognize phishing attempts and know how to respond to system compromises.
  • Third-party supplier protocols: Organizations should verify the security practices of their suppliers to mitigate risks.

Ransomware attacks can target companies of any size and in any industry, underscoring the need for comprehensive security measures. Businesses must treat these breaches as critical warnings to bolster defenses and safeguard sensitive data.

Conclusion

The Blue Yonder ransomware incident is a stark reminder of the vulnerabilities in supply chain networks. Companies must prioritize cybersecurity to protect their operations, customers, and data. As ransomware attacks grow in scale and sophistication, ensuring robust defenses is no longer optional—it is essential.

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supply chain software
Blue Yonder Cyber Security Cybersecurity Incident manual payroll Ransomware attack Starbucks scheduling issues supply chain software

Ransomware Attack on Blue Yonder Disrupts Starbucks' Scheduling and Payroll Systems

 

Blue Yonder, a vital provider of supply chain management software, experienced a ransomware attack that has disrupted Starbucks’ scheduling and payroll systems. As a result, the coffee chain is temporarily relying on manual methods to manage these processes.

The attack, which began on November 21, 2024, has not affected Starbucks' customer service or store operations. Store managers are using pen and paper to track employee hours due to the disruption of the back-end systems responsible for scheduling and time management.

The incident has caused problems in other sectors as well. In the UK, supermarket chains such as Morrisons and Sainsbury’s reported interruptions in their warehouse management systems. However, they managed to mitigate the impact by activating backup systems.

Blue Yonder has engaged external cybersecurity experts to address the breach and has deployed enhanced defensive measures. The company has yet to provide a definitive timeline for restoring its services. The event highlights the heightened vulnerability of supply chain systems during the busy holiday season. Blue Yonder’s clients include:
  • 46 of the top 100 manufacturers
  • 64 of the top 100 consumer product goods companies
  • 76 of the top 100 global retailers

This attack follows a series of cybersecurity incidents targeting major food service companies earlier this year, including McDonald’s and Panera. Panera’s incident even led to a class action lawsuit after employee data was compromised.

“We are working around the clock to respond to this incident and continue to make progress. There are no additional updates to share at this time with regard to our restoration timeline following our post yesterday,” stated Blue Yonder in an official report.

The timing of this breach is notable, as 86% of ransomware attacks reportedly occur during holidays or weekends. In 2023 alone, cybercriminals extorted $1.1 billion in ransom payments worldwide, despite increasing countermeasures.

The incident comes at a challenging time for Starbucks’ new CEO, Brian Niccol, who is already grappling with three consecutive quarters of declining sales. The company remains focused on maintaining seamless customer service and ensuring fair employee compensation during this crisis.
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