Retail and Logistics SMEs Urged to Improve Wi-Fi Security

More than half of the SMEs in retail and logistics businesses failed to make proper provisions for Wi-Fi security, thereby making them vulnerable to serious data and financial losses, according to a recent audit conducted by the Hong Kong Wireless Technology Industry Association (WTIA) and Hong Kong Productivity Council (HKPC).

Conducted between June and November 2009, the on-site audit of 122 retail and logistics SMEs with Wi-Fi access points was part of the “SME Wi-Fi Security Campaign” funded by the SME Development Fund of the Trade and Industry Department of the HKSAR Government to boost SME awareness on Wi-Fi security.

Commenting on the findings, Mr Ken Fong, Chairman of WTIA, said: “Thanks to its low cost and convenient nature, more and more companies are using Wi-Fi technology for their operation but the audit has found that many SMEs have overlooked the security issue. Those who presume their Wi-Fi networks to be secure enough are actually most vulnerable to cyber attacks because they will be less vigilant in using the networks to transfer sensitive data or storing files in their computers.”

The audit found that 62% of SMEs with Wi-Fi access points were concerned about data leakage and 70% thought their Wi-Fi network was secure. Despite these, 55% did not use sufficient secure Wi-Fi encryption, including 6% which did not use encryption at all as some of them thought that their Wi-Fi networks could not reach their neighbours.

The audit also found that 58% of SMEs did not have an internet security guideline for their staff, while 61% did not operate a password management policy and only 23% changed their passwords or encryption keys regularly. In addition, 41% of Wi-Fi access points were set up at locations easily accessible by anyone.

Dr Lawrence Cheung, Principal Consultant (IT Industry Development) of HKPC, said: “Failure to protect their Wi-Fi security would mean that an access point could be physically tampered with. This could interrupt network operations which will affect daily business operation, whereas weak encryption and compromised passwords could lead to data leakage, financial loss and even damage to business reputation. To have a secure Wi-Fi network in place is not difficult and does not incur heavy investment on expensive equipments as long as it is done in a proper and professional manner.

As part of the “SME Wi-Fi Security Campaign”, WTIA and HKPC will publish a guide on good practices on Wi-Fi security for local SMEs and a free seminar will be held on 12 March 2010 to introduce the latest Wi-Fi security measures.

For more information, please visit the campaign website: www.hkpc.org/sme-wifi or contact Miss Queenie Lui or Mr Clifford Loo at tel. (852) 2788 5464 or (852) 2788 5854.

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Mr Jonathan Ho
General Manager
Corporate Communications
Hong Kong Productivity Council
Tel: (852) 2788 6390
Fax: (852) 2788 5056
Email: jonathanho@hkpc.org
Website: www.hkpc.org

4 March 2010