A recent ransomware attack on Blue Yonder, a prominent supply chain software provider, has disrupted operations for several major retailers, including Starbucks and U.K. grocery chains Sainsbury’s and Morrisons. The cyberattack, which occurred last week, led to system outages affecting services such as employee scheduling and payroll management. Starbucks reported that its ability to manage barista schedules and track working hours was compromised, prompting store managers across North America to implement manual workarounds.
In response to the disruptions, Starbucks assured that customer service remained unaffected and emphasized its commitment to ensuring employees are accurately compensated for all hours worked. The company successfully resumed payroll processing by Tuesday morning. Similarly, Sainsbury’s and Morrisons activated contingency plans to maintain operations, with Sainsbury’s restoring its services by Tuesday. Morrisons continued to operate on backup systems, particularly for its fresh and produce warehouse management.
Blue Yonder, a subsidiary of Panasonic Corp., has been collaborating with external cybersecurity firms to address the incident. The company has notified relevant customers and is implementing defensive and forensic protocols to facilitate recovery. While the attack impacted several clients, not all were affected; for instance, Gap and Walgreens reported no disruptions to their operations.
This incident underscores the vulnerabilities within supply chain networks and the potential widespread impact of cyberattacks on interconnected systems. It highlights the critical importance for organizations to implement robust cybersecurity measures and develop comprehensive contingency plans to mitigate operational disruptions resulting from such attacks.