Inbound Logistics | January 2022

Theft by Incident Type, Q3 2021

Theft

Burglary & Theft

Fictitious Pick-up

Robbery

Other

261

232

217

2019 2020 2021

2019 2020

2020 2021

Source: Cargo Theft Trends Review, CargoNet, a Verisk business

“In today’s environment, we deal with a lot of unique situations,” says James Spence, principal consultant at ADT Commercial. “Computer chips, for example, are now at an extremely high value. You have to put an extra level of protection around any logistical environment that houses items like computer chips.” As a result, warehouses perform security audits and use tools like access credentials, Bluetooth door readers, intrusion detection, and license plate readers to unlock a gate. “For warehouses that see high turnover or store high-priced inventory, it’s best to avoid manual processes,” says Bernhard Mehl, CEO and co-founder of KISI, a physical security system provider in New York City. “You can set up a system to decide which groups of people have what level of access.” USING DATA TO FIND WEAK SPOTS A big benet of utilizing the available technology is collecting data. A few weeks or months of surveillance

of trucks, a shortage of trailers, and a shortage of container chassis. Add all that up and you get a lot of freight sitting for long periods.” By the end of 2020, those issues cost shippers $63 million in value, according to CargoNet statistics. But carriers are not stuck waiting for a burglar to strike. They can use seals, locks, GPS systems, and telematics to ward off crime. Importantly, when it comes to security measures, there isn’t a one-size-ts-all solution. Run a risk assessment and planning security measures in correspondence with the value of a shipment, recommends Bill Schoenherr, vice president at NovaVision, a security products company based in Bowling Green, Ohio. “If you have a load to ship, don’t do nothing,” he says. “Even if your company is on a budget, get something as simple as a bolt seal. “Depending on the type of shipment, you can layer multiple technologies, which we recommend as you do your risk assessment,” he adds. “The main goal is getting the doors closed, locked up, and controlled.” It’s just as important for carriers to have a plan with their drivers that goes beyond reminding them to park in a

safe area. Backing up to a building and parking in well-lit areas are good starts, but Lewis recommends staying out of high crime areas altogether. “Hot spots or danger zones are all over the United States,” he says. “If my drivers will run out of hours and nish the day in a high theft area, I tell them to stop a half hour earlier in the middle of nowhere. That greatly reduces the risk of theft.” SECURING WAREHOUSE INVENTORY Cargo security is equally important once freight reaches its (temporary) destination. Warehouses can be compromised in a few different ways. For one, employee churn is notoriously high. In 2018, turnover averaged 32.5% among warehouse employees, according to a 2019 International Association of Refrigerated Warehouses survey. This can leave warehouses vulnerable to bad actors. But attacks can obviously come from the outside as well. In November 2021, three men were indicted following a failed warehouse heist outside of Long Beach, New York. The trio allegedly broke into the warehouse wearing fake police tactical gear, restrained employees, and stole inventory worth hundreds of thousands of dollars.

information can be helpful for identifying security weak spots.

“If a security breach or theft happens, you can go back and investigate the data that you’ve collected,” says Mehl.

202 Inbound Logistics • January 2022