Recommendations For A Successful Transportation Risk Management Plan
RECOMMENDATIONS FOR A SUCCESSFUL TRANSPORTATION RISK MANAGEMENT PLAN
1- GPS by itself does not improve logistical security.
GPS can be an extraordinary tool for preventing the theft of merchandise in transit, but only if we use it correctly. For high value loads, the following must be established:
– Specific rules for each journey: Route, authorized stops, destination, etc.
– An active monitoring system attentive to any deviation.
– An adequate protocol to act in the event of any alert or risk situation.
2- Portable GPS, an indispensable ally.
Portable GPS is a recommended resource, as long as it is used as a complement within a comprehensive prevention plan, to detect, discourage and prevent risks.
– Placing portable GPS strategically hidden inside the merchandise considerably increases the probability of recovering it in the event of theft.
– But it must be taken into account that unlike the fixed GPS installed in the truck, they report with a longer interval of time, they do not allow the connection of door opening sensors.
cabin or cargo doors, or activate the engine stop, essential elements for preventing theft.
3- Remote engine stop, when to activate it?
One of the basic devices of a tracking system is that it allows you to stop the engine and inhibit the ignition remotely.
Its main use is to activate it in case of theft, however, it is also extremely effective in inns, rest places or if there are long waits at delivery locations.
Inhibiting the engine from starting in these circumstances reduces the probability of theft by more than 50%.
4- Recommended checklist for the prevention and mitigation of risks of merchandise in transit.
The effectiveness of active monitoring to prevent and eventually mitigate the theft of merchandise in transit requires prior planning of the route and verifying certain operational information before each start of the trip.
– Verify that the tracking system is active and working correctly.
– Check the effective operation of the installed sensors.
– Validate the driver’s cell phone number and set a security code.
5- Recommendations to avoid theft during stops or detentions.
More than 30% of thefts during transportation occur due to detention in places without any security, or by using inappropriate routes with high exposure.
Recommendations:
– Plan all the routes to use in advance.
– Identify safe places for ordinary detentions.
– Establish protocols for unforeseen situations.
– Identify and reprimand those who do not comply with the instructions.
– Preferably use certified drivers.
6- Recommended basic sensors.
A truck with GPS but without sensors in strategic places does not allow adequate prevention of the risk of theft.
Having sensors without a route sheet that indicates authorized stops, either since we would be receiving infinite warnings without being able to distinguish if there is a risk situation or not.(*)
The recommended basic sensors are the following:
– Duct door openings.
– Loading door opening.
– Unhooking of the cargo box.
– Anti-vandal sensor: that alerts about violent intrusions on the GPS equipment.
– Jammers Detector: that alerts about inhibition of communications with the truck.
(*) It is not the idea to receive a warning every time the driver opens the door, but only when he opens it in an unauthorized place.
7- When is a risk management plan needed?
Companies with a high volume of trips that transport goods with a wide variety of prices and exposure to risk need to develop a tailored plan to adopt the measures that best adapt to their logistics and budget.
To develop an adequate Risk Management Plan, there must be a thorough analysis of the logistics processes.
The analysis must consider a wide range of aspects, such as the type of carrier used, hiring procedures, evaluation of storage centers, etc.
Working as a team with an expert transport insurer is the best way to configure a plan that is effective in terms of prevention and efficient in terms of investment.
8- When is it recommended to complement electronic security with monitoring custody?
Security based on active monitoring using GPS technology has proven to be proven effective in preventing theft during transport, but physical security by tracking remains without a doubt the most effective.
The problem is that its cost makes its massive or indiscriminate use unfeasible, so a precise study is required to determine when to impose its use.
An aspect that is often neglected and that can generate significant extra costs is the lack of coordination, waiting times and additional hours.
Its use is always recommended in high-value or sensitive loads due to supply and demand issues.
9- How can we extract the maximum value from investment in technology?
The benefits of IoT devices for logistics use do not stop growing and their prices, on the contrary, become more accessible every day.
With adequate operational analysis and appropriate equipment selection, all types of risks can be controlled and mitigated, such as:
– Detours and operational incidents during transportation.
– Prevention of damage and breakage of merchandise.
– Monitoring and control of the cold chain.
– Deter and mitigate theft.
Furthermore, the analytics that can be extracted from the information generated is extremely valuable to detect opportunities for both operational and cost improvements.
10- In current logistics the only constant thing is change.
The dizzying pace that dominates the current logistics process, due to operational and cultural changes (consumers becoming more demanding every day), forces a constant evaluation of processes, means of transport and suppliers.
So that the goods always arrive in a timely manner, it is recommended:
– Check that suppliers have the required licenses and insurance up to date.
– Have systems that allow monitoring compliance with key operational indicators.
– In the case of merchandise sensitive to theft or damage, implement a tailored Risk Management Plan.
