Resilience, the CrowdStrike Failure, and the Real Impact on Your Business

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Resilience

We have not written or posted much about the CrowdStrike failure. CrowdStrike is designed and priced for large enterprises. We offer endpoint protection, detection, and response services that are better designed for the small and midsize organizations we serve. In large part, the CrowdStrike failure has not directly impacted our clients and other smaller businesses.

However, the CrowdStrike failure has, and will, indirectly impact you and your business.

Technical Impacts

The biggest technical impact will be the role of automatic updates. The CrowdStrike failure was due to a programming error in a software update that was sent and applied automatically. Customers did not have the ability to limit or test the update prior to deployment.

Going forward, expect vendors to rethink how and when they use automatic updates. What for expectations that you, the customer, should test and approve changes. This shift will transfer more of the responsibility from vendors to your IT team. If you do not have the resources to test and verify updates, you will be taking on more of the responsibility should issues arise.

If you have an IT provider or managed service provider, you may need to negotiate this additional work into your contracts.

Business Impact

The most significant impact of the CrowdStrike failure is on our understanding of “Resilience.” When we talk about endpoint protection services like CrowdStrike, backup/recovery solutions, advanced threat protections, encryption, and other services, we are talking about tools that help our businesses become and remain resilient to cyber attacks, improper user activity, disasters, and other disruptions. 

These technical solutions provide some of the “Prevent & Protect” and “Restore and Recover” components of our Security CPR model and services. With the CrowdStrike failure, a tool intended to improve resilience exposed a weakness in our resilience: what happens when your solution becomes the problem?

Our understanding of resilience needs to change. We must move away from thinking about resilience as a function of IT. Resilience is a business-level function that encompasses all aspects of your organization.

Anecdotally, we learned that during the CrowdStrike failure: 

  • Airlines in Hong Kong wrote out boarding passes by hand and kept lists in notebooks to track manifests and seating assignments.
  • Lacking computers to centrally monitor infants and non-operational security doors in a California Hospital maternity ward, nurses were held over and stationed at each infant’s bedside, and security guards were tasked with guarding doors.
  • A small distributor wrote labels, bills of lading, and customs documents by hand for thousands of shipments.

The Big Question

Answer the following question for your business:

  • Can you run your business, even if it is in a degraded mode, without one or more of your key systems? If so, for how long?

Your answer is key to understanding how resilient your business is to disruption, the potential operational and business impact of a disruption, and your ability to recover and survive.

Call to Action:

If you are unsure or lack confidence in your business’s resilience to disruptions, we can help. Contact us or schedule time with one of our Cloud Advisors. 

About the Author

Allen Falcon is the co-founder and CEO of Cumulus Global.  Allen co-founded Cumulus Global in 2006 to offer small businesses enterprise-grade email security and compliance using emerging cloud solutions. He has led the company’s growth into a managed cloud service provider with over 1,000 customers throughout North America. Starting his first business at age 12, Allen is a serial entrepreneur. He has launched strategic IT consulting, software, and service companies. An advocate for small and midsize businesses, Allen served on the board of the former Smaller Business Association of New England, local economic development committees, and industry advisory boards.