Securing your organization in today’s global economy requires careful planning and operation of your supply chain security program. As businesses rely on a complex network of suppliers, service providers, and stakeholders, robust supply chain security strategies are needed. Drawing on my 25+ years of experience in the cybersecurity field and countless supply chain security assessments, I’ve outlined eight essential lessons to help you build a resilient supply chain security program. By adopting these principles, you can proactively manage risks, ensure quality, and maintain the resilience necessary to navigate the ever-evolving landscape of supply chain threats.
1. Decompose and Collaborate
Building and securing a supply chain is not a solo endeavor, but a collaborative effort. Running a business involves external partnerships and various stakeholders. This interconnected ecosystem forms your supply chain, including suppliers, service providers, partners, and downstream customers. Effective supply chain security means identifying your critical functions, their dependencies, and acknowledging these relationships across the entire business, not just in the supply chain team. This ensures all parts of the organization and supporting supply chain network function together harmoniously to protect the business.
2. Manage Risks Proactively
Proactivity is not just a virtue, but a necessity. Addressing potential risks early can prevent much more significant issues down the road. Supply chain risk management is fundamentally a scalability problem, with too much work to handle every issue reactively. Prioritizing and swiftly addressing the most crucial vulnerabilities and threats can save significant time and resources.
3. Emphasize Quality
Focusing on quality from the outset will set the stage for a scalable program. This means ensuring that your suppliers and partners meet your quality standards. Ideally, these requirements become part of the procurement process and are well-defined in the contract. Using techniques such as Software Bill of Materials (SBOM) quality scores and supplier assessment verification processes can help evaluate the trustworthiness of your supply chain. The quicker you can determine what “good” looks like, the faster you can eliminate subpar results and mitigate risks.
4. Maintain Situational Awareness
Situational awareness must be a cornerstone of your program to ensure that it evolves with the threat landscape and does not become a “point in time” assessment. This means monitoring potential threats, including competitors, market changes, and even M&A activities for the various stakeholders in scope for your program. Leveraging open-source intelligence, public data, and security scoring solutions can provide valuable insights. While these tools can generate noise, they provide a highly scalable first look at an entire supplier population and can fill in the gaps between supplier assessments. We recommend developing effective triaging processes to help sift through the data and engaging with suppliers to deconflict erroneous results to identify actionable intelligence.
5. Foster Transparency and Innovation
Innovation and business growth often requires taking calculated risks. Transparency within your processes and supply chain is essential for understanding and managing this ever-changing ecosystem. This becomes foundational to build trust and gain deeper insights into your operations and enables better decision-making and more effective risk management. Not to mention that trust built through transparency can materialize into customer satisfaction, supporting your business objectives. This too is why we have started to see more focus in industry on not only bolstering security in the software development lifecycle, but also the advent of supply chain attestations through mechanisms such as U.S. Cybersecurity Infrastructure and Security Agency (CISA) Repository for Software Attestations and Artifacts (RSAA).
6. Diversify Suppliers
Relying too heavily on a single supplier can be risky – economic shifts, natural disasters, or other disruptions can severely impact your supply chain. Supplier dependencies for hardware or software components, critical services and even indirect dependencies can put your entire business at risk. Having multiple vetted suppliers ensures you have alternatives when needed, reducing the risk of operational disruptions.
7. Continuously Verify
Continuous verification and automation are important to ensure that you are making the right decisions, right now. This means implementing processes that ensure consistent quality and security checks throughout your operations. In some cases, this may mean doing repetitive work, but ideally you can focus on the factors most likely to change so it becomes an iterative and low effort activity. Identify the indicators that will inform your program of undesirable change. Automation helps scale these efforts, ensuring that verification processes are reliable and repeatable, regardless of who performs them.
8. Implement Preventative Measures
Integrating security controls early in the supply chain process prevents threats from materializing into actual problems. Focusing on measures that remove the hazard entirely, or assuming breach in a type of ‘Zero Trust for Supply Chain’ methodology, is freeing in the sense that you can still operate securely even if a supplier compromise occurs. Shifting security measures left – into the early stages of development and procurement – ensures your team catches issues and addresses them before they can cause significant damage. For instance, building security requirements into your contracts with clear criteria for success and penalties for non-compliance, may be the single best tool at your disposal to foment positive change.
Embracing a Proactive Security Mindset
These lessons underscore the importance of a proactive, collaborative, and quality-focused approach to supply chain security. By incorporating these principles, businesses can better navigate the complexities of their supply chains and build more resilient and secure operations.
For a more in-depth exploration of these topics, consider joining me in SEC547 Defending Product Supply Chains, where we delve into these and other critical aspects of supply chain security.