Real Stories & Case Studies
Lessons from a Manufacturer Who Failed a CMMC Audit
Many small to mid-sized manufacturing companies pride themselves on their craftsmanship and quality. But when it comes to cybersecurity and compliance, especially with the Department of Defense's Cybersecurity Maturity Model Certification (CMMC), the rules can feel complex and intimidating. I recently spoke with a manufacturer who faced the harsh reality of failing their CMMC audit — and learned some important lessons along the way. If your company is navigating CMMC requirements, here’s what you need to know to avoid their pitfalls.
Understanding the CMMC: Why It Matters
The CMMC is designed to protect Controlled Unclassified Information (CUI) in the defense industrial base. For manufacturers working with the Department of Defense (DoD), holding a certain level of CMMC compliance is now a contract requirement. Failure to meet these standards can mean losing current or future contracts, so understanding what’s required is essential.
The Manufacturer’s Journey: What Went Wrong?
Let’s look at a real-world example. This company had been supplying parts to defense contractors for years. They believed their existing cybersecurity practices were sufficient, didn’t see many obvious risks, and failed to fully prepare for the audit. When the auditors showed up, the gaps were glaring:
**Incomplete documentation of security controls** – the company lacked formal records of their cybersecurity measures.
**Weak access controls** – employees shared passwords, and no proper role-based access existed.
**Outdated security protocols** – their systems weren’t updated regularly, leaving vulnerabilities open.
**Lack of employee training** – workers weren’t aware of cybersecurity best practices or how to identify phishing attempts.
As a result, they failed the audit and faced the consequences: a loss of contract eligibility, and a need to rapidly improve their cybersecurity posture under pressure.
Key Lessons Learned
1. Don’t Assume Your Business is Too Small to Be Targeted
Cyber threats don’t only attack the large corporations. Small and mid-sized manufacturers are often seen as easier targets or low-hanging fruit. Failing to implement basic controls can lead to costly breaches and failed audits.
2. Document Everything
One of the most common reasons for failure is the lack of formal documentation of cybersecurity policies, procedures, and practices. Maintain clear, organized records of your cybersecurity controls, employee training, incident response plans, and system configurations.
3. Implement Strong Access Controls
Limit access to sensitive information only to those who need it. Use role-based permissions, unique log-ins, and enforce multi-factor authentication where possible. Your audit will request evidence of these controls.
4. Keep Systems Updated
Regularly patch and update your hardware and software to fix vulnerabilities. Outdated systems are a prime target for cyberattacks and can cause you to fail audits.
5. Train Your Employees
Cybersecurity is everyone’s responsibility. Conduct regular training on recognizing phishing emails, secure password practices, and reporting suspicious activity. Your staff are your first line of defense.
6. Conduct Internal Readiness Checks
Before your formal audit, review your cybersecurity posture systematically. Use checklists aligned with CMMC requirements, or consider a mock assessment to identify weaknesses early.
Moving Forward: Preparing for CMMC Audit Success
If your company is aiming for compliance, don’t wait until the last minute. Here are practical steps you can take:
Assess your current cybersecurity controls against the CMMC level you need.
Create or update documentation reflecting your controls and policies.
Train staff on cybersecurity awareness and best practices.
Implement necessary technical controls like access management and system updates.
Engage with a trusted cybersecurity partner or consultant experienced in CMMC preparations.
Remember, failing to prepare is preparing to fail. Learning from the experiences of others, like this manufacturer, can help you avoid costly mistakes and position your company as a secure, responsible partner for defense work.
Resources
Taking cybersecurity seriously isn’t just about passing an audit — it’s about protecting your business, your employees, and your reputation. Be proactive. Prepare now.