Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
WHAT YOU NEED TO KNOW:
HANDLING SPECIALTY &
HIGH VALUE INVENTORY
B Y : A N G E L A C A R V E R
How to Differentiate High Value Cargo
• The Federal Motor Carrier and Safety Administration identifies high
value cargo as...
High Value Cargo & Increased Theft Risks
• Specialty inventory and high value cargo is more susceptible to risk
than ever ...
Inventory Spoilage
• Many supply chain operators do not yet have the technology inplace
to track product expiration dates ...
Additional Labor Requirements
• Supply chain businesses handling high value inventory also must
consider the cost implicat...
Solutions to HVC
Handling Issues
Carrier Credential Tracking
• Because many supply chains are utilizing one-off transport services
to keep shipping costs l...
Theft Protection/Prevention Agencies
• Both public and private businesses have taken action to prevent
cargo theft by crea...
Inventory Audits
• Completing regular inventory audits/cycle counts is one way
warehouse operators are reducing internal i...
Route Planning & Monitoring
• Automating route planning can also help to reduce the risk of theft.
Transportation manageme...
Reduce Inventory “Touches”
• In an effort to reduce the risk of handling high value inventory many
supply chains have atte...
Recommended SCM Technology
• A variety of supply chain management technologies are available to
automate and simplify many...
Conclusion
• Managing high value inventory is a complex and costly business, but
with the proper tools and techniques the ...
Upcoming SlideShare
Loading in …5
×

What You Need to Know: Handling Specialty & High Value Inventory

1,249 views

Published on

Handling specialty and high value cargo is both complex and high risk. With each unit value at over $100 per pound your supply chain could be storing and protecting millions of dollars in customer assets. The most common types of high value cargo handled by supply chain operations are precious metals, semi-precious stones, electronics, documents and life science/ pharmaceutical inventory. These items are more susceptible to risk due to the increasing demand for luxury goods and increased “touch points” in longer supply chains. According to an article published by Inbound Logistics, cargo shrinkage rates increased 24% and results in billions of dollars lost. Supply chain operators are implementing a variety of solutions in order to address handling concerns related to HVC. One solution has been carrier credential tracking. False driver credentials are increasingly common and allows thieves to steal large quantities of high value items. By tracking carrier credentials, risk factors can be addressed before it is too late. Developing long-lasting partnerships with transportation providers can also help to reduce this concern as this issue occurs most frequently with one-off transportation providers. Many private and public agencies have also taken part in developing standards to prevent theft and monitor potential threats. Some of the top theft prevention agencies include C-TPAT, Pharmaceutical Cargo Security Coalition and the TAPA. Supply chain operators have also started to complete regular inventory audits to ensure internal theft risk is reduced. By completing these audits regularly warehouse operators can identify any areas of concern and resolve discrepancies quickly. Route planning and monitoring has also helped to improve safety when transporting high value and specialty cargo. Transportation management software can be used to identify the fastest routes, monitor trucker activity and identify any suspicious activity in real time. This data can be stored and used to identify areas for improvement to guarantee ongoing success. Utilizing D2C delivery methods has also helped to reduce inventory touches. Getting products in the hands of consumers’ faster helps to reduce both the risk and cost associated with delivery. Some of the top tools recommended to facilitate these improvements include warehouse management software, transportation management software, RFID and automated data collection. To learn more about how these tools can help you better manage your high value cargo contact Datex experts today.

Published in: Technology
  • (Unlimited)....ACCESS WEBSITE Over for All Ebooks ................ accessibility Books Library allowing access to top content, including thousands of title from favorite author, plus the ability to read or download a huge selection of books for your pc or smartphone within minutes ......................................................................................................................... DOWNLOAD FULL PDF EBOOK here { http://bit.ly/2m6jJ5M } ......................................................................................................................... Download Full EPUB Ebook here { http://bit.ly/2m6jJ5M } ......................................................................................................................... Download Full PDF EBOOK here { http://bit.ly/2m6jJ5M }
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • DOWNLOAD FULL BOOKS INTO AVAILABLE FORMAT ......................................................................................................................... ......................................................................................................................... 1.DOWNLOAD FULL PDF EBOOK here { https://tinyurl.com/y8nn3gmc } ......................................................................................................................... 1.DOWNLOAD FULL EPUB Ebook here { https://tinyurl.com/y8nn3gmc } ......................................................................................................................... 1.DOWNLOAD FULL doc Ebook here { https://tinyurl.com/y8nn3gmc } ......................................................................................................................... 1.DOWNLOAD FULL PDF EBOOK here { https://tinyurl.com/y8nn3gmc } ......................................................................................................................... 1.DOWNLOAD FULL EPUB Ebook here { https://tinyurl.com/y8nn3gmc } ......................................................................................................................... 1.DOWNLOAD FULL doc Ebook here { https://tinyurl.com/y8nn3gmc } ......................................................................................................................... ......................................................................................................................... ......................................................................................................................... .............. Browse by Genre Available eBooks ......................................................................................................................... Art, Biography, Business, Chick Lit, Children's, Christian, Classics, Comics, Contemporary, Cookbooks, Crime, Ebooks, Fantasy, Fiction, Graphic Novels, Historical Fiction, History, Horror, Humor And Comedy, Manga, Memoir, Music, Mystery, Non Fiction, Paranormal, Philosophy, Poetry, Psychology, Religion, Romance, Science, Science Fiction, Self Help, Suspense, Spirituality, Sports, Thriller, Travel, Young Adult,
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Be the first to like this

What You Need to Know: Handling Specialty & High Value Inventory

  1. 1. WHAT YOU NEED TO KNOW: HANDLING SPECIALTY & HIGH VALUE INVENTORY B Y : A N G E L A C A R V E R
  2. 2. How to Differentiate High Value Cargo • The Federal Motor Carrier and Safety Administration identifies high value cargo as any item whose value exceeds $100 per pound. • The most common types of high value cargo handled by supply chain operations include: – Precious metals – Semi precious stones – Electronics – Documents – Life science/pharmaceuticals
  3. 3. High Value Cargo & Increased Theft Risks • Specialty inventory and high value cargo is more susceptible to risk than ever due to consumers’ increasing demand for luxury goods and longer supply chains creating added “touch points”. • Cargo shrinkage rates increased by 24% in Europe alone according to the Inbound Logistics article referencing the 2013 Global Cargo Theft Assessment. • These increases result in tens of billions of dollars in lost inventory each year.
  4. 4. Inventory Spoilage • Many supply chain operators do not yet have the technology inplace to track product expiration dates efficiently and accurately. • When these data points are not recorded, the likelihood for inventory spoilage is significantly increased, causing additional inventory loss. • With high value inventory, each lost inventory unit can mean hundreds or thousands of lost dollars.
  5. 5. Additional Labor Requirements • Supply chain businesses handling high value inventory also must consider the cost implications of additional labor needed to protect their facilities and inventory in transit. • These costs will vary in each geographical region as the threats and risks differ. Examples of additional security labor costs include dedicated security guards, staff for increased cycle count activity and IT staff to monitor tracking technologies such as RFID and GPS.
  6. 6. Solutions to HVC Handling Issues
  7. 7. Carrier Credential Tracking • Because many supply chains are utilizing one-off transport services to keep shipping costs low an additional layer of SCM risk is created. False driver credentials are becoming increasingly common and allow thieves to drive off with entire truckloads of high value cargo. • To identify these risks before it is too late, many supply chain operators are implementing carrier credential tracking technologies. These tools collect carrier credentials in advance so that shippers can control exactly who can enter and leave the property, reducing potential shrinkage risks. • Developing long lasting partnerships with transportation providers will also help to reduce risk related to fraudulent carrier credentials- immediate cost savings is not the only factor to beconsidered.
  8. 8. Theft Protection/Prevention Agencies • Both public and private businesses have taken action to prevent cargo theft by creating theft prevention groups who develop best practices, monitor potential threats and develop standards for safe high value cargo handling. • Some of the top theft prevention and protection agencies include: – Customs-Trade Partnership Against Terrorism (C-TPAT) – Pharmaceutical Cargo Security Coalition – Transported Asset Protection Association (TAPA)
  9. 9. Inventory Audits • Completing regular inventory audits/cycle counts is one way warehouse operators are reducing internal inventory loss due to misplacement, damage and theft. • By regularly reviewing inventory levels and conditionwarehouse managers can more quickly identify and resolve inventory discrepancies. If the issue is inventory theft, performing regular counts can narrow the timeline in which the incident occurred, making suspect staff easier to identify.
  10. 10. Route Planning & Monitoring • Automating route planning can also help to reduce the risk of theft. Transportation management software can select routes to minimize travel time or avoid certain geographic areas. Drivers and trucks can then be tracked as they travel along their designated route identifying any unauthorized changes, stops or breaks. • Operators in the warehouse can be notified in real time of any suspicious activity and alert the driver or authorities. • This data can also be stored and reported on to identify any patterns or areas where improvement is possible.
  11. 11. Reduce Inventory “Touches” • In an effort to reduce the risk of handling high value inventory many supply chains have attempted to minimize inventory “touches”. These touches can be anything from hands on the inventory in a warehouse to the number of facilities it travels through before reaching the final customer. • Direct-to-consumer fulfillment (where applicable) can help toreduce touches by eliminating wholesalers and distribution centers entirely and shipping directly to customers. This can not only help to reduce the risk associated with handling and delivery, but the cost. • Moving distribution centers to more strategic regions has also helped to reduce touches and improve delivery speeds.
  12. 12. Recommended SCM Technology • A variety of supply chain management technologies are available to automate and simplify many of these solutions. Eliminating outdated paper-based processes can help to improve inventory visibility and create a detailed audit trail needed for both internal tracking and regulatory compliance. • The top tools recommended for managing high value inventory/specialty items each play an important role in the handling/shipping process: – Warehouse management software (WMS) – creates full audit trail, staff can view inventory data in real time – Transportation Management software (TMS) – plan delivery routes and monitor driver activity – Radio frequency identification devices (RFID) – helps to control costs of locating HVC at any stage in the supply chain through real time tracking – Automated data collection devices (ADC) – collects staff activity data in real-time and transfers data to WMS database to create a single, holistic view
  13. 13. Conclusion • Managing high value inventory is a complex and costly business, but with the proper tools and techniques the risk can be effectively managed. • Take advantage of the resources available through theft protection and prevention organizations to keep your customer inventory and staff safe. • There is no measure too extreme to keep your high value inventory 3PL, warehouse or distribution center safe.

×