A ransomware attack on Blue Yonder, a key supply chain management software provider, has disrupted Starbucks' internal systems, forcing the company to revert to manual processes for scheduling and payroll management. Despite these setbacks, customer service and store operations remain unaffected.
The cyberattack, which began on November 21, 2024, has affected Starbucks' back-end employee scheduling and time management systems. Store managers have had to resort to manual methods, such as tracking employee hours with pen and paper, to ensure operations continue smoothly.
The attack has caused significant disruptions across industries, especially in the UK retail sector:
Blue Yonder serves a vast global client base, including:
This widespread reach underscores the potential scale of the disruption. The timing, just ahead of the busy holiday season, has highlighted vulnerabilities in supply chain systems. Research indicates that 86% of ransomware attacks occur during weekends or holidays, exploiting times when organizations are least prepared.
The Starbucks incident adds to a string of cybersecurity breaches in the food and beverage industry. Earlier in 2024, McDonald’s and Panera faced similar issues, with Panera’s breach resulting in a lawsuit over compromised employee data.
The disruption presents another hurdle for Starbucks’ CEO, Brian Niccol, as the company grapples with declining sales over the past three quarters. Starbucks has assured employees that proper compensation is a priority and has focused on maintaining seamless customer service.
In 2023 alone, ransomware attacks resulted in $1.1 billion in global ransom payments, despite government efforts to combat these crimes. The Starbucks incident underscores the critical need for robust cybersecurity measures across industries, especially during high-stakes periods like the holiday season.
