As the supply chain continues to grow more complex, the challenges associated with keeping the supply chain secure become more sophisticated as well. One of the biggest challenges involves professional cargo theft operations, and the potential disruption of the supply chain that can result.
Cargo theft can occur at any point along the supply chain, whether at the point of manufacture, on loading docks, rail stations, distribution centers, or anywhere else merchandise is transported. Thefts can range from smaller, subtle quantities that are part of larger shipments to aggressive, armed hijackings involving entire truckloads of merchandise.
Retail merchandise moves fairly anonymously across the nation’s roads, rails and highways; through jurisdictions with varying resources and differing abilities and/or willingness to prosecute if and when individuals are apprehended. Professional cargo theft teams also know that cargo theft incidents are typically less likely to be given high priority when compared to many other types of crimes, especially considering that the cargo’s owners, transporters, and thieves are often from another jurisdiction. In the event that there is an arrest and resulting prosecution, the sentences are often less stringent than crimes viewed as more serious. As a result of the relative ease of hijacking and the lenient punishments often associated with prosecutions, this type of theft continues to grow larger and more impactful year after year.
Professional cargo theft groups will take advantage of practically any opportunity to steal product that is vulnerable to theft and has the potential to produce large profits. The criminal element responsible for these thefts is more sophisticated than ever. Thefts are often pre-planned, highly coordinated, and well-executed. Many cargo theft operations are managed to the point that they know exactly what they are targeting and have the ability to move, reload, and redistribute stolen goods within hours. The stolen goods may be moved quickly to a warehouse, off-loaded, re-packaged, re-manifested, and placed on another vehicle—often before the theft is discovered by the company or reported to the appropriate authorities.
Loss prevention programs must develop effective strategies that are well planned, combining the latest advancements in technology with best practices, robust security procedures, and fundamental methodologies. Such practices include but are not limited to:
- Enhanced Awareness: Developing training programs and strategies that will make the drivers and other employees more aware of vulnerabilities, warning signs, and suspicious behaviors. For example, it is not uncommon for cargo theft teams to follow their target for hundreds of miles waiting for an opportunity to hijack the vehicle and cargo.
- Improved Response: All suspicious activity and/or theft should be immediately reported to management, loss prevention, and/or law enforcement officials. Professional cargo theft teams can move stolen goods quickly, so immediate and appropriate response and reporting is critical.
- Managing Information: Information regarding merchandise shipments or operations should not be shared with anyone except those authorized individuals involved in the operation. Load information should be limited to those within the facility who have a need to know. Companies should also maintain strong inventory control practices. Unusual changes in inventory levels may help to alert when something is awry.
- Knowing and Understanding Your Specific Supply Chain: The carrier and driver(s) that are scheduled to transport cargo should have their identity verified before a load is released. Delivery schedules and routes should be monitored, and any overdue shipments should be scrutinized. Review the security of any and all supply chain partners and know if and where your cargo will stop along its route.
- Executing Basic Safety Practices: Trucks should be parked in an organized manner and correctly secured on a well lit facility lot. Ensure alarm systems are functioning properly, and monitored by a central station that has updated contact information. When in-route, at least one person must remain with the vehicle at all times. All related security policies and practices should be reviewed regularly, and maintenance and repair issues should be quickly addressed.
- Screening and Training Employees: Often cargo theft incidents are perpetrated with inside help. Rigorous pre-employment screening will help weed out those most likely to steal merchandise. Relevant loss prevention awareness information, guidelines, and policies should be communicated to both employees and carriers.
- Remaining Involved: Every effort should be made to keep carriers, management, employees, and loss prevention personnel engaged in the process. Maintaining open channels of communication, inviting participation through various programs, conducting one-on-one training, validating controls, and encouraging new ideas will help drive interests, safeguard investments, and protect lives.
