Cyber attack frustrates equipment dealers

A cyber attack on a major software provider has made providing parts and service difficult for some agriculture equipment dealers.

“This is certainly completely disruptive to our equipment dealers that are using the CDK platform,” said John Schmeiser, president of the North American Equipment Dealers Association, Canada.

Tech firm CDK’s software was taken offline last week after a cyberattack by the BlackSuit ransomware group. CDK is being asked to pay tens of millions of dollars by the hackers. Reuters reports that the company expects dealers to be offline until at least June 30.

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CDK provides business management software to dealers of all makes of farm equipment, so major dealers of John Deere, CNH and are working without digital systems across the country. CDK is also the leading provider of management software to automobile dealers and thousands of those dealerships are offline.

CDK says it has 15,000 North American dealers on its system.

Wawanesa, Man. farmer Jeff Elder said he was able to get the parts he needed at a Rocky Mountain Equipment dealership in Brandon, however staff were relying on memory to find parts or looking them up on their phones.

“They had resorted to writing down orders on paper,” said Elder via text. “He couldn’t invoice me and said I would receive an invoice by email whenever they could get that done.”

Rocky Mountain Equipment declined to comment.

“Everything is being done manually,” said Schmeiser. “You can just imagine the amount of time that our dealerships are spending on manual processes.”

Parts are tracked and managed through digital inventory systems.

“We have to actually know where the part is, in, in a bin, to go out and find it and fulfill that customer’s order without using our computer system to tell us where it is or how many that we have on order.”

Invoicing also has to be manual, said Schmeiser.

Equipment can be sold, but the process is manual and inventory isn’t available on a computer system. Tracking orders is also challenging.

Farmers are spraying and preparing combines for harvest so dealers continue to work as best they can.

“We can’t shut down the business, we have to take care of the customer,” Schmeiser said. “Dealers are really managing through this as best as they possibly can.”

Schmeiser said the situation will be a wake up call for the industry and will place even more emphasis on cyber security.

“I think as an industry as a whole, this whole situation is going to be looked at, at every sector, from the manufacturer point of view and the equipment dealer,” he said.

“We’re asking our customers or farm customers to be a little bit patient with our dealers, as we work through this problem. This is this is an issue that is not only frustrating for our equipment dealers, but can be frustrating for our customers as well.”