How does supply chain crime threaten your business?

Posted by Mark Harvey - Head of Security on 27-Mar-2018 11:26:00
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If you're in the business of high value goods, security is likely to be at the top of your priority list. But are you aware of the real implications that face your supply chain?

Past, present and future

Since the widespread development of commercial road freight and transportation in the 18th century, criminals have targeted the sometimes vulnerable infrastructure and cargo on the roads. From the infamous highwayman Dick Turpin to modern organised crime, the threat has been ever present and now represents a significant problem to companies reliant on road base logistics. Freight crime is now as prolific as fraud, money laundering and terrorism.

So what is the true extent of these security threats to the European commercial road freight transport sector and, more importantly, how can you best reduce your exposure and protect your much sought-after high value goods?7 with 100k losses.png

Financial cost

Cargo theft continues to be a multi-billion euro problem.

December's figures highlight the threat of significant financial loss to your business should your 3PL provider fall short of its security commitments. The statistics compiled by TAPA for December 2017 also show seven major incidents with a loss value of more than €100K alone.

The financial impact on the industry per year equates to a huge €11.6 billion across Europe, which breaks down into issues such as the cost of replacement goods and charges, the cost of repairing or replacing damaged or stolen vehicles, loss of business, hire vehicle costs, insurance shortfalls and premium increases, regulatory fines, admin and investigation costs, and potential job losses.

A high price to pay for failing to gain a secure 3PL partner for your high value supply chain.

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Personnel safety

Emerging issues such as illegal immigration, terrorism, fraud and cyber crime pose additional security risks to internal operations. When this faces your employees, it can be a worrying thought, especially when 71% of the recorded incidents from December took place in unsecured parking locations. Intrusion and violence also feature in the crime reports.

Worryingly, the reporting of cargo crime is notoriously beset with historical problems, largely due to policing issues. It is estimated that 30-40% of all crimes are not even reported at all.87 cargo thefts.png


If your high value goods supply chain faces problems with security, there is likely to be a knock-on effect to wider operational challenges to your company. The continuity of business and damage to your brand can all be an unfortunate consequence to falling victim to crime, making it all the more essential to prioritise protecting your brand with 3PL solutions.

Spoiled loads can have a knock-on effect and you may potentially suffer lost contracts, penalties and staff members.


Choosing a transparent and comprehensive 3PL for your high value cargo provider, with the expertise to operate at a premium level, will ensure security is made a priority when handling your high value logistics.

This is together with selecting a quality high value goods warehouse with a 3PL layered security system. Tools such as stringent security devices and intelligent systems will go some way to keeping criminals at bay. Alongside safe secure logistics tracking, it is important to have physical security in place and thorough employee checks, as well as education, training and drills, reporting and communication best practice.

Audits, search points, security SOPs and KPIs, gatehouse GDA systems and reporting tools and analysis are important too.

At Yusen we keep solutions at the forefront of our mind, and we are improving all the time as technology offers us even tighter security and helps us to keep your business safe.



Topics: Supply Chain Security, TAPA, high value cargo, secure logistics, secure, Cargo Theft, safe secure logistics tracking, high value goods, secure 3PL

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