Japan's SCS security evaluation system drives corporate compliance

Companies in Japan are facing increasing pressure to comply with the Supply Chain Security (SCS) evaluation system promoted by the Ministry of Economy, Trade and Industry (METI). The framework aims to strengthen cybersecurity across entire supply chains in response to rising ransomware attacks and threats originating from overseas locations.

The system utilizes a star rating, where 'Star 3' involves self-evaluation and 'Star 4' requires third-party assessment. Organizations currently face several hurdles, including unclear roles for personnel during emergencies, difficulties managing overseas bases, and insufficient backup training or recovery level settings.

To address these challenges, industry players like Digital Arts Inc. and AI Security Inc. are providing resources, including webinars and subscription services. Some services utilize data resilience maturity models developed in collaboration with institutions like MIT to help organizations score their current status and establish recovery goals. Certain service editions even include ransomware cost compensation of up to $5 million.