Consultation

Case study · Manufacturing

Norsk Hydro: producing by hand rather than paying

Norway, 2019. Ransomware hits the whole group; the company refuses to pay, switches to manual operations and communicates openly.

In one sentenceHydro did not pay: it produced by hand and told the truth. The manual mode has to exist before the attack.

Sector
Aluminium and energy
Country
Norway, 40 countries affected
Date
March 2019
Estimated cost
NOK 650–750m (about $70m)
Ransom
Not paid

Analysis based solely on public information. FZ Consultation was not involved in this incident and has no affiliation with the organizations named.

What happened

  1. Before the attack

    According to a public analysis, the attackers get in through a phishing email sent from a spoofed customer account.

  2. 19 March 2019

    LockerGoga ransomware encrypts thousands of servers and PCs. Some production lines stop, others switch to manual operation.

  3. First days

    Staff work with pen and paper; retirees come back to help with paper-based procedures.

  4. Following weeks

    The company rebuilds from backups and publishes daily updates. The Extruded Solutions division is hit hardest.

  5. 2020

    The annual report puts the total cost at NOK 650–750m.

What went wrong

According to the public sources listed below.

Spread through the directory

Public analyses indicate the attackers gained domain admin rights and used Active Directory to spread.

Operations that depended on IT

Without order books and production schedules, the extrusion plants could not ship.

Lessons for your organization

  1. 1

    A ready-to-use manual mode

    Document and rehearse the degraded procedures that keep production going.

    Know: measure what stopping would cost
  2. 2

    Protect and be able to rebuild the directory

    Privileged accounts and Active Directory recovery deserve a dedicated plan.

    Prepare: recovery that holds
  3. 3

    Transparency as a strategy

    Prepared, regular communication preserves the trust of customers and markets.

    Prove: rehearse before the real day

Check on Monday morning

Three questions to put to your own organization this week. If you cannot answer one of them in five minutes, that is your first task.

  1. For your most important service, where is the paper procedure, and when was it last rehearsed?
  2. Can you rebuild your directory (Active Directory or equivalent) from scratch, and how long would it take?
  3. Who would speak to customers and markets in the first hour, with what prepared text?
The ransomware checklist

Sources

More case studies