Download PDF Cargo Crime: Security and Theft Prevention

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Four regions live requested to the spaces; an research view is been by steep sectors beginning the understanding experts of the user. Consider, for example, the theft of a truckload of Nintendo Wii gaming stations that were on their way to a Best Buy distribution center serving the Atlanta metropolitan area one week before Christmas. Best Buy won't be able to get a replacement shipment from the vendor in time to meet the demands of its customers.

Instead, those customers will seek out another retailer in the same area that has the desired product. Best Buy will lose not only those sales, but potential related sales such as games and accessories. Also, customers may not return to the store that did not have the product they wanted a few weeks earlier. The trucking company involved will likely be held liable for the loss and have to pay Nintendo or Best Buy for the stolen product. Even if the trucking company has insurance, it may not cover the entire loss because of the policy deductible.

3 Cargo Theft Prevention Tips

Reporting the theft may also result in higher insurance premiums next year. That's not all. The trucking company may raise rates for future shipments of this product to cover losses it incurred either through out-of-pocket expenses or by paying higher insurance premiums. Those additional costs will be passed on to Best Buy, which will pass them on to customers.

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Finally, the government could potentially lose out on needed revenue through sales tax on those items. While estimates place cargo theft's costs in the tens of billions of dollars, it is difficult to calculate because crime often goes unreported. Given the choice between recovering their stolen cargo or being made financially whole, most cargo theft victims would likely choose the latter to avoid quality control issues. Stolen perishables or pharmaceuticals, for example, may not have been maintained in temperature-controlled environments, creating potential for a serious health crisis if the recovered product is sold.

Cargo Theft, Loss Prevention, and Supply Chain Security - 1st Edition

Another possible drawback to reporting cargo theft is negative public perception. A carrier could lose current or potential customers who fear the company was involved in the theft or does not have proper security standards and protocols in place. Retailers may not want to acknowledge that they were victims of cargo theft, either.

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The perceived supply chain weakness could give its competitors a strategic advantage. Even if the company involved has cargo insurance, it may find its policy insufficient. The policies may also include geographic limitations excluding theft losses occurring in areas with high theft rates, such as Miami and Los Angeles. Additionally, the specific types of goods often targeted for theft may be excluded from coverage. Finally, some policies won't cover theft if the driver is involved, or won't cover the loss if it is a result of theft.

Task Force Seeks Solutions

Cargo theft is a complex problem affected by factors ranging from local laws to the global economy. The National Cargo Theft Task Force see sidebar, page has combined the efforts of law enforcement, insurance agencies, and trucking companies to capture the issue's scope, support theft victims, and determine how to combat the situation. Developing this understanding is the first step in curbing cargo theft. Jared S. Truck Management: What Customers are Saying.

Video: Smart Transport Telematics. Overview Solutions Cargo Security From the manufacturing site to warehousing and intermodal distribution, telemetry-based cargo security solutions combine location and sensor data with information from shipping and business processes to provide actionable security alerts.

Enhance Cargo Security Improve cargo security through regular communication of critical sensor, system, and telemetry data. Track the transportation of dangerous goods and receive warnings of hazardous situations.

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Help Prevent Cargo Theft and Enable Recovery Monitor container doors to help detect theft and enhance cargo security from origin to destination. Stay in touch and employ panic buttons for drivers operating in high-risk areas.

Importance of Supply Chain Risk Management

Track stolen vehicles using GPS location information. Reduce Risk and Improve Profitability Combine cargo security with GPS tracking and asset management for complete in-transit and warehousing visibility. Deploy easy-to-install, compact and environmentally-hardened devices and powerful web-based applications for added cargo security. Help Prevent Fuel Theft Use sensors to detect the rapid loss of fuel and send alarms to alert for potential fuel theft and pilferage. Deliver near-real-time location, fuel level and security status of fuel tankers in military and other applications.

Regularly monitor fuel levels and multiple chamber tank levels using operations data. Learn More Datasheet ReeferConnect Trusted by the biggest names in the business, ReeferConnect is the leading Internet of Things IoT solution for remote container management, enabling real-time tracking and two-way control of refrigerated containers and cargo, across land and sea. Learn More View All Applications.