Canadian Manufacturer Faces Costly Production Outage After Untested OT Systems Expose Hidden Vulnerabilities

The Challenge

Northbridge Manufacturing, a Canadian producer of heavy industrial equipment, experienced a critical production outage when its operational technology (OT) systems were compromised through untested network interfaces. The company’s drive toward digital transformation introduced new automation and IoT integrations across its assembly lines. However, these systems were deployed without sufficient penetration testing or continuous monitoring to validate their security posture.

An attacker exploited insecure remote access channels between engineering workstations and programmable logic controllers (PLCs), installing ransomware that disrupted machine synchronization and forced an immediate shutdown of three production lines. The breach resulted in missed contract deadlines, significant downtime losses exceeding $1.5 million, and raised serious questions from regulators under PIPEDA regarding data exposure from compromised monitoring systems.

The incident highlighted the growing security gap between IT and OT environments in modern manufacturing operations. While the company maintained adequate enterprise cybersecurity controls, the absence of rigorous testing and segmentation within production networks left mission-critical systems highly vulnerable to exploitation.

Our Solution

Our Technical Security and Testing team was engaged to conduct a full-spectrum OT security assessment and resilience enhancement program. The engagement began with a combined red team exercise and network architecture review to identify vulnerabilities across production and control networks. Findings were translated into actionable risk categories prioritized by operational impact.

We deployed a structured testing and hardening initiative that included penetration testing of control interfaces, vulnerability scanning of embedded devices, and a detailed review of vendor-supplied firmware for exploitable flaws. Network segmentation and zero-trust access models were implemented to restrict lateral movement between IT and OT environments.

In parallel, our team designed an OT Security Validation Framework that established recurring testing cycles, baseline security configurations, and vendor compliance verification. System administrators and engineers were trained to manage patch validation and testing workflows without disrupting operations.

The Value

Following implementation, Northbridge Manufacturing achieved a significant improvement in cyber resilience and operational continuity:

• 85% reduction in attack surface across OT networks due to segmentation and hardened access controls.
  – Restoration of production within 72 hours and elimination of recurring ransomware incidents.
  – Full compliance demonstration under PIPEDA and ISO/IEC 27001 standards, enabling renewal of cyber insurance coverage.
  – Improved collaboration between IT and engineering teams through shared threat intelligence and standardized testing protocols.
  – Increased customer confidence, resulting in renewed long-term contracts with two major industrial clients.

Implementation Roadmap

1. Assessment (Weeks 1–3): Conduct OT penetration testing, network architecture mapping, and vulnerability analysis.
2. Framework Design (Weeks 4–6): Develop OT Security Validation Framework, define testing protocols, and integrate governance requirements.
3. Remediation (Weeks 7–12): Apply hardening measures, segment networks, and deploy continuous monitoring tools.
4. Validation (Weeks 13–16): Re-test critical systems, simulate threat scenarios, and confirm control effectiveness.
5. Continuous Improvement (Ongoing): Schedule quarterly testing cycles, vendor compliance audits, and threat intelligence updates.

Info Sheet

Necessary Action Type and Steps to Be Taken:

• Immediate containment: Disable insecure remote access and isolate affected OT networks.
  – Vulnerability testing: Conduct penetration testing on PLCs, HMIs, and associated control interfaces.
  – Network segmentation: Implement VLANs and firewalls to enforce IT/OT separation.
  – Patch management: Establish vendor-coordinated patch testing and validation processes.
  – Security monitoring: Integrate OT-specific intrusion detection and continuous logging.
  – Training: Educate engineers and operators on cyber hygiene and incident response procedures.

Industry Sector:
Manufacturing — Industrial Equipment and Automation

Applicable Legislation:
– PIPEDA (Personal Information Protection and Electronic Documents Act)
– ISO/IEC 27001 (Information Security Management)
– NIST SP 800-82 (Guide to Industrial Control Systems Security)
– Canadian Cyber Security Standards for Industrial Control Systems

Third Parties:
– OT network integrator and automation vendors.
– Managed security service provider (MSSP) for continuous monitoring.
– Insurance provider requiring validated testing reports.
– Equipment manufacturers providing firmware and patch updates.
– Government regulators verifying compliance documentation.