ERPs and Data Security: Are ERPs a Good Solution for Securing Business Data?

More pallet companies are turning to Enterprise Resource Planning (ERP) computer applications for compiling, tracking, managing, interpreting and applying the data they collect in their business operations.

In this article, we posed a number of questions to providers of ERP software about ERP systems and data security.

• Why are ERPs a good solution when it comes to data security?

• How can users know that their data will be secure?

• How is the data on your system backed up? What types of encryption are used? What about emails sent through your ERP?

• What is the process that a customer goes through if it has a security breach at its office?

• What can customers do to be even more secure when it comes to their local computers, laptops, smartphones, etc.?

What follows is information based on the responses of the providers to these questions.

The providers are listed in alphabetical order by product name.

 

Pallet Connect

ERP systems act as a secure central hub for all a company’s business data, simplifying management and protection, noted Philip Varley of Pallet Connect. “They allow you to control who can access specific information, encrypting data to prevent unauthorized viewing. ERPs also have built-in activity tracking to monitor user actions, which aids in identifying and addressing any suspicious activity. “Regular updates reinforce security measures, while adherence to regulations keeps your business compliant.”

Users should focus on a few key things to ensure the security of their data. Check to see if the ERP provider is trustworthy. Make sure the system has basic security features, like encryption. “They should also see if it follows important rules and regulations,” recommended Varley, “such as SOC2 compliance, which is a widely recognized standard for data security.”

Reading reviews and asking questions about security can provide more assurance. Keeping the system updated is crucial for fixing any security issues. “By paying attention to these points, users can feel more confident about their data’s security with an ERP system,” suggested Varley.

Pallet Connect employs a dual backup strategy to guarantee both uptime and data integrity. “Leveraging cloud-based services, we ensure continuous backup operations,” said Varley. “Our approach includes real-time replication for uninterrupted availability, complemented by regular backups on an hourly, daily, weekly, and monthly basis to safeguard data integrity.”

Pallet Connect uses Advanced Encryption Standard (AES) with a 256-bit key length and the Cipher Block Chaining (CBC) mode of operation to protect data and ensure it is secure from unauthorized access.

Since Pallet Connect is cloud-based, data is stored remotely. Local breaches do not threaten the security of the cloud data. “If a customer experiences a security breach, we encourage immediate notification, triggering a comprehensive response process,” advised Varley. “We promptly investigate, contain, and remediate the breach while maintaining transparent communication with the customer.” After it has been resolved, Pallet Connect conducts a review to glean insights and fortify security measures against future incidents.

Customers can boost the security of their devices by:

• Using strong passwords: create strong, unique passwords for each account.

• Keeping software updated: regularly update operating systems and antivirus software.

• Using antivirus software: install and keep reputable antivirus software updated.

• Being cautious online: avoid clicking on suspicious links or downloading from unknown sources.

• Securing wi-fi networks: Use strong passwords and encryption for wi-fi networks.

• Regular backups: backup important data regularly to avoid loss.

 

Helioz Technologies (Pallet Insights)

Pallet Insights prioritizes data security by employing the latest trends and best practices in cloud ERP software about data security at every level of its architecture, according to Antonio Brkic, manager of product development.

“Our system is designed with robust security features such as password encryption, authentication and authorization mechanisms to safeguard sensitive information,” explained Brkic. Helioz Technologies follows best practices and complies with relevant regulations to ensure the highest standards of data protection. Pallet Insights has created a large set of automatic and manual tests to perform regular security audits, and it is updating the codebase to prevent potential vulnerabilities promptly. “Our objective is to proactively prevent any potential data breaches,” said Brkic.

Pallet Insights takes a transparent and proactive approach to security. Updates and improvements are communicated to the security infrastructure to maintain the integrity and confidentiality of user data. “We utilize high-quality hosting providers that ensure data is securely stored and transferred via a secure connection,” commented Brkic. “Additionally, our application is guarded by firewalls and SSL certificates.”

Data within Pallet Insights is securely backed up daily using a multi-tiered approach to ensure redundancy and resilience. User credentials and access data are encrypted to prevent malicious attacks. “And we are working on implementing end-to-end encryption in the future,” added Brkic.

Emails sent through Pallet Insights are encrypted using protocols such as SMTP TLS to protect the confidentiality of communication. Email delivery is handled by the industry leader – Amazon AWS email service (SES).

In the unlikely event of a security breach at a customer’s location, the Pallet Insights team will provide a quick response, investigate the breach, assess the extent of the compromise, and implement remediation measures as necessary. Throughout the process, clear communication and collaboration with the customer are maintained to ensure transparency and resolution. Brkic stated, “Our goal, if the incident happens, is to prevent malicious attackers from gaining access to sensitive data as soon as possible and to prevent any future data breaches.”

To enhance security on a customer’s local devices, Pallet Insights recommends they follow these best practices:

• Regularly update operating systems and software to patch known vulnerabilities.

• Implement strong, unique passwords for all accounts and utilize password managers for secure storage.

• Enable two-factor authentication (2FA) wherever possible to add an extra layer of security.

• Exercise caution when accessing sensitive information over public Wi-Fi networks and utilize VPNs for added encryption.

• Educate employees on cybersecurity awareness and best practices to mitigate the risk of social engineering attacks.

By following these recommendations, customers can fortify their local device security and complement the robust protections provided by Pallet Insights.

 

The PalMate Group

PalMate™ ERP is a client/server application, noted Kevan Grinwis, who leads business development and strategic partnerships for the PalMate Group. The data is hosted on servers and client computers within the client’s network. Some clients host their databases in cloud data centers, and some have robust network systems that allow them to exchange data across multiple locations and significant distances.

“For our clients, that means that data security plans and protocols are normally something that they create and execute leveraging the expertise of information technology specialists, network professionals, and others,” noted Grinwis. “However,” he added, “as a partner to our clients, we are often involved in the conversation along with such specialists.”

Clients should actively work with their information technology team and key software provider(s) to develop and execute a data security plan that is appropriate to their company’s needs, said Grinwis. They also should schedule regular reviews of their plan in light of new technology and data on current security threats and best practices, and update it as necessary.

Clients also have to ensure that everyone in their organization adheres to the plan. “So often,” said Grinwis, “great plans are made, but then not followed, causing issues and pain that could have been easily avoided.”

PalMate software resides on client servers, providing the flexibility for clients to leverage their existing backup protocols and security. PalMate allows you to use any email system. For example, emails sent through Microsoft 365 or Google would adhere to their industry standards.

Depending on the type of security breach, a client may want to call a professional remediation firm that specializes in triage and recovery. “They will work alongside the client’s IT team and software provider(s) to help them make the best decision based on risk, financial position, and other factors,” explained Grinwis.

PalMate recommends that clients work with a network professional to determine their specific security needs. On top of that, it also recommends:

• Follow modern password generation and protection practices.

• Have Multi-Factor Authentication enabled whenever it is available.

• Use active endpoint detection monitoring at the device or system level.

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Pallet Enterprise December 2024