Cyberattack on TNT Express
In 2017, a single cyberattack on TNT Express, a subsidiary of FedEx, cost the company $400 million. The attack, which was carried out by the NotPetya ransomware, took down its systems overnight and disrupted shipments in 200 countries.
The incident forced the logistics sector to face the truth they had long overlooked: Although digital tools make operations fast and scalable, they also introduce new weak points that expose the entire process to a new set of problems.
Key Nuggets:
- In June 2017, TNT Express was crippled by the NotPetya ransomware, costing FedEx $400 million.
- The attack exposed how fragile global logistics networks are when IT systems fail.
- FedEx rebuilt TNT’s systems, accelerated integration, and strengthened cyber defenses.
- The main lessons: logistics operators must prepare for manual fallback, strengthen vendor due diligence, invest in ongoing cyber defenses, and explore cyber insurance.
- African supply chains can adapt these lessons by planning for continuity processes, modernizing their IT systems, and auditing suppliers.
The Background Story Behind the Cyberattack on TNT Express
NotPetya was a malware attack that began in Ukraine in June 2017. Hackers planted malicious code inside updates to M.E.Doc, a Ukrainian tax software. When TNT systems in Ukraine updated the software, the virus spread across its entire network.
It achieved this by utilizing stolen credentials and exploiting known weaknesses in Windows to move quickly.
TNT’s systems were especially vulnerable because, although FedEx had bought TNT the year before, they were still undergoing the integration of their IT systems.
TNT was still running its own legacy tools, which left the door open for the malware to spread before defenses could catch it.
Read More: Lessons From John Deere’s Microchip Shortage (2020–2022).
The Impact of The Cyber Attack on TNT Express
Financially and operationally, the numbers were staggering.
FedEx reported $300 million in losses in the first quarter of fiscal year 2018 and subsequently raised the figure to $400 million for the first half of the same year. These losses primarily resulted from reduced shipment volumes, delayed revenue, and the costs of recovery.
Additionally, FedEx had to increase the cost estimate for integrating TNT operations into its infrastructure by an additional $600 million. The company decided to retire TNT’s old systems sooner than planned and replace them with FedEx infrastructure.
For weeks, TNT staff struggled with manual backlogs, resulting in late deliveries and poor visibility for customers. For a logistics business built on speed and trust, the damage extended beyond financial losses—it also harmed relationships and customer loyalty.
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How TNT Express Approached The Cyberattack Crisis
Once the system was infected, TNT’s entire IT infrastructure collapsed almost overnight. That included critical logistics solutions such as tracking, invoicing, and routing, forcing staff to improvise manually.
Even drivers who had come to rely on real-time scanning systems had to turn back to pen and paper just to get by. Because of the manual process, parcels were piled high at depots, and call centers struggled to give customers updates because the data wasn’t available or hard to find.
FedEx and TNT Express responded by shifting some shipments through its FedEx Express network. Although this offered some partial relief, the core of the problem remained: TNT’s systems had to be rebuilt.
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FedEx and TNT’s Response
FedEx had to act on two fronts: short-term recovery and long-term restructuring.
In the short term, IT staff worked tirelessly to rebuild servers, restore operating systems, and recover data. By autumn, FedEx announced that “substantially all” TNT services had been restored online.
However, during that period, staff used phones, radios, and paper to keep shipments moving.
In the long term, FedEx changed its course of operations.
It accelerated the integration of TNT’s IT into FedEx systems and also invested heavily in cyber defenses, cloud services, and monitoring tools. The company reviewed insurance options after realizing its existing coverage did not protect against such losses.
As FedEx Express CEO Raj Subramaniam later admitted, NotPetya was “a very significant wake-up call—an expensive one.”
Read More: Lessons From Home Depot’s Container Ship Charter in 2021.
Lessons from the Cyberattack on TNT Express
The impact of cyber attacks on logistics and supply chain operations is no longer theoretical. TNT’s experience showed stakeholders across various industries that it is real and the impact can be devastating. However, it also offers a set of lessons that you should take seriously:
1. Plan for Manual Fallback
Unfortunately, even the strongest digital systems can fail. When it failed at TNT Express, the staff kept shipments moving with pen and paper.
TNT’s approach highlights the importance of companies preparing for manual alternatives, such as printed route guides, offline tracking methods, and alternative communication channels.
For example, imagine a cold storage warehouse that loses its digital sensors. Staff require manual temperature logs to ensure the safety of goods. Without such plans, shipments are at risk.
2. Ongoing Cyber Vigilance
Cybersecurity is not a one-and-done or a one-off task. TNT’s cyber defense had an ISO certification, yet the malware was still able to spread and cause serious damage. This is why regular updates, employee training, and strong access controls are necessary.
Flat, unsegmented networks allow malware to spread fast. However, segmenting networks and limiting access can help contain attacks.
3. Vendor and M&A Due Diligence
Although the virus was deadly, it wouldn’t have had access if the vendor’s application had been protected. And TNT’s legacy systems, inherited by FedEx, were not yet fortified.
This highlights the importance of conducting a comprehensive IT security review as part of any partnership or acquisition. Logistics companies must now ask the question: Are our suppliers secure? Are new acquisitions patched and monitored?
4. Integrated IT Architectures
FedEx learned that fragmented systems create weak points. By accelerating TNT’s move onto FedEx’s infrastructure, the company reduced its risk. Standardization and integration may incur higher upfront costs, but they ultimately save money and protect operations in the long run.
Read More: Caterpillar’s Dual Sourcing Strategy for Critical Components.
How African Supply Chains Can Apply These Lessons
African logistics is growing fast. Companies are adding new technologies for tracking, routing, and warehousing. However, the lessons for African supply chains from the cyberattack on TNT Express are clear: digital growth without cyber readiness is a significant risk.
Here is how to apply that:
- Build fallback systems: In regions with unstable connectivity, logistics firms must plan for manual options. Staff should be able to log parcels, update customer information, and route trucks independently without requiring IT support.
- Audit vendors: Many African companies rely on third-party IT or local software providers. But the problem is that a single weak vendor could infect the network. This is why regular audits are critical.
- Invest in training: Employees need to recognize phishing attempts, manage passwords effectively, and adhere to access rules. Simple mistakes often open the door to attacks.
- Consider insurance: Cyber insurance is less common in Africa, but as trade increases, so will the losses from attacks. Coverage can cushion businesses from financial collapse.
- Modernize IT: Instead of running multiple unconnected systems, logistics companies should push toward integrated, secure platforms. This reduces weak points and simplifies protection.
By applying these measures, African logistics firms can avoid reliving TNT’s experience and maintain resilient trade.
Obinabo Tochukwu Tabansi is a supply chain digital writer (Content writer & Ghostwriter) helping professionals and business owners across Africa learn from real-world supply chain wins and setbacks and apply proven strategies to their own operations. He also crafts social content for logistics and supply chain companies, turning their solutions and insights into engaging posts that drive visibility and trust.
