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SUPPLY CHAIN MANAGEMENT SOFTWARE BEST PRACTICES  


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SUPPLY CHAIN MANAGEMENT BEST PRACTICES

crm Loading Dock Loss Prevention
The declining economy has resulted in increased theft from warehouse loading docks around the world. Asia distribution companies in Singapore, Shanghai, Taiwan and other Asia Pac port cities report double digit loading dock area property crime growth from the year prior. Loading dock loss prevention has become a hot topic among global distribution companies.

Many supply chain and distribution firms adopt physical security safeguards at the loading dock and elsewhere in order to achieve compliance the Customs-Trade Partnership Against Terrorism (C-TPAT) or the Free and Secure Trade Program (FAST). While most of the regulatory bodies suggest security safeguards as a voluntary response (for now) they entice distributors with the promises of fewer hassles and faster trade clearance. However, with the current trend of rampant theft, distributors are looking beyond regulatory requests and instead developing enhanced security measures to slow the drain on corporate profits.

Securing the loading docks requires a combination of people, processes and technology. The following best practices are recommended by loss prevention distribution experts.

Begin with a risk-based approach. Losses are generally not consistent across all the loading dock locations. Some locations handle more costly shipments, some facilities are more prone to loss and some areas may have a troubled history. Don't attempt to apply even measures to every location in one single effort. Quantify your exposure and losses and begin by applying a more focused or comprehensive effort in the areas which represent the biggest risk.

Enhance access controls. Compliance rules from C-TPAT place great emphasis on loading dock security access controls. Photo IDs, badges, scan keys, manned gates, surveillance cameras, trained guards, reinforced barriers and biometric devices are a few of the security access controls that have been proven successful multiple times over. High risk areas should have concentric security rings beginning with access photo IDs or badges, digital cameras and gates, and stepping up to biometric devices such as fingerprint readers or retina scanners for sensitive and high value content.

Keep the overhead doors locked. Do not get lazy and leave overhead loading dock doors open during the day. Also limit the keys which open those doors as much as possible, ideally to just the on duty supervisor. As much as staff prefer to go in and out without delay, the loss of control poses an unacceptable security threat. Also, simply placing a rent-a-guard near the doors or parameter generally does not provide sufficient security.

Secure your supply chain. Security efforts often focus on what is directly in front of you and neglect what is outside your purview. Many distributors implement sound security processes at their own loading docks however remain ambivalent to the downstream security measures of their supply chain partners. Turning a blind eye to shipments once they leave your facility breaks down the entire security process.

Focus on trucks. First Advantage data collected from customers incurring losses through 2008 demonstrates that 85% of financial losses occur at the trucking stage, as opposed to warehousing. This is up dramatically from only a few years ago when warehousing accounted for 40% of losses. It therefore pays to focus more on driver training and truck security procedures. Drivers must be restricted and controlled in the docks, should be limited to waiting rooms and bathrooms and should not have access to the count area or the shipping and receiving areas.

Restrict hours of operation. Limit the hours during which facilities can receive truckloads. During the prescribed timeframe's, a vendor-receiver checks in each truckload as it arrives, opening the doors only as needed and only to those with express clearance.


On Demand ERP Systems  

SCM Software Best Practices

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Most common 5 phase approach:
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Assess risk and impact

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Access controls are key
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Secure overhead doors
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Secure the supply chain
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Secure the trucks
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Limit receipt hours
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tags Tags:
benchmarks
distribution best practices, erp systems, supply chain benchmarks, dock loss prevention, port security, security processes, supply chain software, import/export, infosec

 

 

 

 

 

 

 

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