Criminals exploit supply chain disruption

The freight transport insurers’ latest Supply Chain Bulletin highlights how congestion at ports caused by varying consumer demand, labour disputes, the ongoing effects of the Covid-19 pandemic and the war in Ukraine is creating vulnerabilities that criminals can exploit.

“The risk landscape is constantly evolving and the criminal organisations providing the threat are getting ever more sophisticated,” said Mike Yarwood, TT’s managing director, Loss Prevention.

“Our regular Bulletins will keep track of those intent on monitoring supply chain activity and building operational profiles to identify a weakness or a particular vulnerability to exploit.”

Latest data from 2022 shows that electrical goods are particularly targeted with the US reporting over 70% of these losses. As per previous analyses, vehicles are twice as likely to be targeted as depots.

The threat posed by insiders continues to present challenges with the analysis showing that around 23% of reported cargo thefts likely involved insider activity, whether it is in facilitating knowledge of systems and security provisions or simply allowing access to criminals.

Digital solutions to enable goods to flow more freely are also a weak point, presenting an opportunity for cyber fraud, however well designed.

Other issues covered in this latest edition of the Supply Chain Security Bulletin are the power of social media as a means of investigation, the threat imposed by fake carriers in Europe and a special focus on theft in Papua New Guinea.