Cybersecurity incidents in mid-market businesses have increased significantly in recent years. For example, according to the UK Cybersecurity Breach Survey 2024, 45% of mid-market businesses have experienced cybercrime in the past year, with phishing being the most common attack. Despite the high incidence of cyber threats, many mid-market businesses struggle to prepare. UK Government StatisticsOnly 55% of midsize businesses have a formal incident response plan, compared to 73% of large businesses.
Many mid-sized businesses cannot afford to invest as heavily in cybersecurity as larger companies, making them easy targets for attackers. Limited budgets and resources mean fewer dedicated IT security staff and less sophisticated security measures.
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Ransomware remains one of the most destructive cybercrimes, causing significant economic and operational damage. U.S. Homeland Threat Assessment 2024By 2023, ransomware attacks will take businesses an average of 22 days to recover from, and costs will often be more than 50 times the ransom demand.
Why are mid-sized businesses under threat?
Many mid-sized businesses cannot afford to invest as heavily in cybersecurity as larger companies, making them easier targets for attackers. Limited budgets and resources mean fewer dedicated IT security staff and less sophisticated security measures.
For example, outdated security software could allow attackers to encrypt critical production data and demand a hefty ransom to regain access. Lack of a robust defense could enable attacks that could lead to significant financial losses and business interruptions.
Their data is just as valuable.
Mid-sized businesses, regardless of size, often handle large amounts of valuable data, including customer personal information, financial records, and intellectual property.
Cybercriminals see this data as highly lucrative, making these companies attractive targets: the data can be sold on the dark web, bringing in big profits and potentially leading to a loss of customer trust in the companies.
Global supply chain vulnerabilities are on the rise
But it is not just mid-sized businesses that are at risk: global, multi-tiered supply chains are only as strong as their weakest link. Mid-sized businesses often act as suppliers and partners to larger companies.
Cyber attackers exploit these relationships to use smaller companies as an entry point to access larger networks, and because modern supply chains are interconnected, a breach at one company can have cascading effects.
Regulatory pressure on data protection grows
As regulatory requirements for data protection increase, mid-sized businesses face immense pressure to comply with standards such as GDPR, HIPAA, etc. Unlike larger enterprises, mid-sized businesses often lack the dedicated compliance teams and resources to effectively navigate complex regulations.
Non-compliance can lead to heavy fines and legal action, but staying compliant without strong cybersecurity measures is difficult – attackers are well aware of this and are exploiting it by holding data hostage and demanding huge ransoms from these companies.
Threats are becoming more sophisticated
Cyber attackers are continually evolving their techniques using more sophisticated and targeted approaches. Mid-sized businesses may not have the resources to keep up with these advanced threats, making them more vulnerable to attack.
For example, advanced persistent threats (APTs) can take attackers months to infiltrate a corporate network, and the sophisticated nature of the attack often allows them to evade basic corporate security defenses, exfiltrating large amounts of data before being detected.
What’s the way forward?
Mid-sized businesses must recognize that they are valuable targets for cybercriminals and take proactive steps to strengthen their cybersecurity posture. By recognizing their vulnerabilities and taking strategic actions, they can better protect their operations and data from increasingly sophisticated cyber attacks.
Adopting a public cloud ERP solution can be a strategic move to significantly strengthen a mid-sized enterprise’s cybersecurity posture. These solutions are designed to streamline and integrate various business processes and functions within an organization.
The responsibility of security falls on the cloud ERP provider, who hosts the entire infrastructure, platform, and software, significantly reducing the maintenance burden for mid-sized businesses, allowing them to focus fully on their core strategic objectives, growth goals, and building trust with their business partners.
These cloud-based ERPs offer numerous security benefits that are tailored for mid-sized businesses.
- Built-in security featuresPowerful security features such as encryption, advanced authentication mechanisms, and continuous monitoring. These features help mid-sized businesses protect their data from unauthorized access and breaches.
- Regular updates and patches: Protects mid-sized businesses from critical vulnerabilities and emerging threats without the need for manual intervention.
- Compliance SupportCompliant with regulatory standards such as GDPR and HIPAA, reducing the burden on mid-sized businesses to meet compliance requirements and helping them avoid fines and legal issues.
- Scalable and flexible: We provide flexible, evolving security solutions that adapt to the changing business environment and threat landscape.
- Advanced Threat DetectionRapidly identify and respond to potential security incidents to minimize the impact of cyber attacks.
This proactive approach to cybersecurity helps midsize businesses protect their valuable assets from growing cyber threats, comply with regulatory standards, and Maintaining trust with customers and partnersAll this with a predictable cost of security ownership.
Want to know more? Security Benefits of GROW by SAPA cloud ERP solution for mid-sized businesses SAP Cloud ERP Security Video.
