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.