Beth Adler/Bloomberg/Getty Images/File
Paragon Honda and Acura car dealership in Queens, New York City, USA, Thursday, July 15, 2021.
CNN
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The cyber incident at data provider CDK Global, whose software is used by 15,000 auto dealerships, disrupted operations at dealerships in the United States and Canada on Wednesday, the company said.
“We are actively investigating the cyber incident,” CDK spokesperson Lisa Finney said in a statement shared with CNN. “Out of an abundance of caution and consideration for our customers, we have shut down most of our systems and are working diligently to get everything up and running as quickly as possible.
CDK operates a wide variety of products that car dealers use to handle everything from keeping records of negotiated deals to scheduling and communicating about service. Not all dealers use CDK’s products, and those that do not use them for everything, but it’s an issue for many dealers.
“We have customers coming in today who have transactions saved in our system,” said Jeff Ramsey, executive director of Maryland-based Aurisman Auto Group.
To protect customer privacy, customer details are no longer simply written down on a piece of paper lying around on a desk. Instead, information about transactions and customer bookings is stored in a It is stored on a server that sales representatives cannot access.
Ramsey said he understands that CDK feels it has to do this to protect this sensitive data, but it’s a huge hassle in the meantime and could hurt his dealership’s business. Customers who are experiencing slow sales at his dealership could instead find a nearby dealership that doesn’t have these issues and buy their new car there.
It’s car buying season so I’m really worried.
“It’s summer,” he said, “and we need the system to work now.”
Ramsey and Brian Benstock, general manager of Paragon Honda and Paragon Acura in Long Island City, New York, said they are continuing to do business and sell vehicles despite the problems.
“My sales team can handwrite orders for buyers,” Benstock says.
The bigger problem, he said, will be with dealership accountants and businesspeople. Many of his employees have been in the business since before it became networked and computer-dependent, he said, but the problem remains and he remains concerned about customer data.
CDK said in a statement late in the afternoon that some of its systems had been restored, but not yet all.
