The proliferation of information technology has enabled thieves to defraud shippers and carriers at multiple points across the supply chain. The transportation risk management professionals at Interstate Motor Carriers have developed a list of “Best Practices” for Transportation/Logistic companies to avoid cargo theft and cyber related crimes:
- Screen all job applicants and current employees. An online authentication service can be used to detect fake licenses (http://www.idology.com/nowledge-based-authentication/dynamic-kba).
- Don’t ship on a Friday for a Monday delivery – shippers will be anxious to move product out and may be less rigorous with driver vetting.
- Trucks should be full of fuel, drivers rested and available to drive for at least 250 miles.
- Use best in class locks, not plastic or a bolt seal.
- A photo of the driver and their
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CDL should be copied and attached to shipping records. It is essential that all personal information is securely handled and stored during ID validation.
- Know where your cargo is — and who has it — at all times. Take advantage of shipper/carrier communications protocols, real-time monitoring, GPS tracking, etc.
- Brokers should verify references by using GIS (Google maps) mapping tolls to verify company is located at a commercial site, and confirming there is no ghost carrier information (i.e. temporary placards, multiple carrier names on the truck). If the name on the truck doesn’t match the load tender, confirm with carrier of record. It’s easy to set up a fictitious logistics company, obtain a FEIN, register a name with the DOT, and even get cargo and liability insurance over the internet. Know who is carrying your cargo. Company snapshots are available on FMSCA’s SAFER system (http://safer.fmsca.dot.gov/CompanySnapshot.aspx).
- Brokers should validate insurance information by calling the insurance company. Cross reference company contact information by viewing the insurance company’s website. If you can’t find the website or the information doesn’t match up, consider this a red flag.
- Subscribe to CargoNet, FreightWatch and SC-ISAC for daily reports of fictitious activity in your area. If you ever a victim, quickly report incidents and attempts to law enforcement and CargoNet.
Contact your Interstate Motor Carriers Regional VP to learn more:
Northeast/Mid-Atlantic Region VP
Mid-Atlantic/Western PA Region
Southeast Region VP
Tri-State Small Fleet