Theft is one of the most serious threats that supply networks face today, and a proactive approach is a lot more effective. Sadly, he continues, the supply chain sector as a whole remains very reactive, according to a supply chain visibility and risk management company.
The supply chain visibility and risk management company emphasize the need for visibility. “After it leaves the shipping place, it is at risk. And it is important to track that specific cargo till it arrives at its destination.”
Understanding how merchandise might be exposed is perhaps the first step in decreasing theft risk. According to the supply chain visibility and risk management company, the most prevalent situation is complete truckload theft, commonly known as straight thefts, where rather than merely the product, the complete tractor, and trailer are stolen.
On the other hand, strategic cargo thefts are more complicated and remarkably underreported. According to the supply chain visibility and risk management company, they are often carried out deceptively. This usually involves identity theft, when someone shows up earlier than the contracted worker, poses as the load’s carrier or driver, and then drives off with the stolen goods.
Technology, especially online load boards, play a significant role in this form of crime since they allow the gang stealing the load to determine what type of cargo is in any given shipment before they bid on it or show up to pick it up. There has also been an increase in other typical robberies such rail thefts, commercial warehouse break-ins, and pilferage thefts. “We’ve observed a rise in the volume and value of that issue over the past two and a half to three years. We are already seeing large-scale theft resulting in losses of up to 95% of a 53-foot trailer.
According to a supply chain visibility and risk management company, losses in those kinds of thefts may be substantially bigger since “you can take quite a deal more cargo or goods out of a warehouse or distribution center than you can out of a 53-foot truck.”
The surge in cargo density and the slowing of the rails are the reason for the surge in rail thefts, which made headline news in the last year. These delays frequently led to halted trains, which provided an excellent opportunity for local cargo thefts as opposed to organized criminal gangs who often travel state boundaries to complete jobs.
The supply chain visibility and risk management company added, “We’re also witnessing the spread of cross-docking and duplicate loading, practically as a regular procedure. Some carriers may reduce the number of trips they make in reaction to the equipment and driver shortages, but they will charge two separate firms for the same cross-country journey.
Companies have started to notice thefts where nuts and bolts are used in place of rivets on the rear of a trailer so that the seal may be removed and reattached later, allowing access to the cargo undetected unless other security measures are in place.
Organized Crime
The existence of organized theft organizations, which may continue to operate even if one of the members is imprisoned, is one of the reasons cargo theft is still so common today.
The inside job is one of the largest security risks for companies, and they might be anywhere in the supply chain, including dispatchers, dock workers, and truck drivers. Pinpointing the specific location of the leak in the supply chain might be difficult. As a result, it’s essential to thoroughly check out your new hires and your supply chain partners, from the trucking firm to the brokers. There is the need for supply chain partners to use the same prudence with their personnel and partners.
How to Mitigate Risk
The best course of action is to anticipate the most likely exposures and put security measures in place to stop theft before it occurs.
Understanding how theft organizations use technology and use their weapon to combat their attempts is one method to reduce risk. Carriers can set up technologies to counteract the impact of GPS jammers. By transmitting radio signals on the same frequency as the GPS device, GPS jammers prohibit precise vehicle tracking and, as a result, hide a truck’s actual position.
According to the supply chain visibility and risk management company, using multiple devices in various locations is the best way to reduce the risk of GPS jammers. The GPS won’t jam if a device is placed in different spots throughout a vehicle.
Identify where you could be most vulnerable, avoid crimes of opportunity, and build methods to safeguard your employees, your product, and your bottom line to defend your company and get ahead of others who might be underestimating the risk.
