Thanks to the Internet and global telecommunications networks, small businesses can participate in supply chains that span the globe. But with the rapid increase in online fraud and exploits, supply chains can also be exploited.  Where’s the weak link?  Is it you?

In October, the National Cyber Security Alliance published a survey of 1500 small businesses on Cyber Security practices and attitudes.

Here are some highlights:

• 75% of small businesses use the Internet to communicate with customers
• 38% use the Internet for Procurement
• 34% use the Internet to manage their database
• 92% think they are generally safe from hackers, viruses, malware, or cyber breaches.  Yes 92%!
• 62% have a wireless router at the office
• 23% do not have a password on their router

So using rough figures, (62% X 23% X 1500 SB) = 214 small businesses with open routers accessible to anyone driving by and peaking in.  Assuming the survey represents the total population, then roughly 14% of small businesses admit to having no security on their routers.  I hope my personal data isn’t in your database!

Exploits are increasing. If you’re part of a supply chain now and you’re the weak link, not only do you risk liability for compliance related issues but you also risk being replaced in the supply chain. The easiest thing to do is to replace you with another.

On a somewhat bright note, 58% of respondents said Cyber Security is a cost of doing business.  I believe this number will go much higher as small businesses realize the consequences of operating with no security—or false security.

Summary survey and full survey are attached.

NCSA SB Study Factsheet

FullSMBStudy2009 FINAL