Forney, TX — April 14, 2009 — LoJack Supply Chain Integrity (LoJack SCI) has released results from its first annual cargo theft study, which is based on information the company collected and analyzed from its members in 2008 via its Supply Chain-Information Sharing and Analysis Center (SC-ISAC).
The SC-ISAC is sanctioned by the government to help the supply chain community and law enforcement protect the supply chain from illegal and disruptive activities, such as theft, terrorism and natural disasters.
The data is based on reports provided by SC-ISAC members, which currently totals more than 1,500 users from nearly 600 organizations. According to the data reported, a total of 353 incidents occurred in 2008. Cargo theft was the most dominant activity with 299 cases.
Robert Furtado, LoJack SCI's CEO, said, "As this study reveals, cargo theft is a serious, ongoing problem that is very profitable for professional thieves and very costly for organizations throughout the supply chain. Especially in today's economic climate, companies cannot afford to pay the exorbitant price tag involved with having their cargoes stolen, which range from the actual value of the goods, to business downtime, to the loss of opportunities to market and sell seasonal goods, to the total loss of product sales. This report clearly highlights the need for solutions that protect and preserve our global supply chain."
The State of the State: Top 10 States with the Highest Cargo Theft Rates
According to the data reported, following are the top 10 states with the highest incidents of theft:
- State: Texas, Number of Incidents: 68
New Jersey, 9
North Carolina, 8
Location, Location, Location: Where Cargo Theft Most Often Occurs
Based on reported incidents of theft, following are the most common locations where cargo was stolen in 2008:
- Location: Truck Stops, Number of Incidents: 83
Parking lots (including drop yards), 67
Parked on Street, 28
Store Locations, 16
Other* (see list below), 11
*airports, casinos, ports, hotels
A significant number of thefts (87) were reported without details on theft location; however, it is most likely that the same dispersal of locations would apply to those incidents as well.
Timing is Everything: When Cargo Theft Occurs
Not a surprise to law enforcement or most victims of theft is the fact that weekends (Saturday and Sunday) are when the greatest number of thefts occur, with 168 incidents happening during this timeframe.
Below is a breakout of theft activity by day of the week:
- Day of Week: Saturday/Sunday, Number of Incidents: 168
Top Stolen Cargoes: Food, Pharmaceuticals and Scrap Metal are More in Demand than Music/Movies/Software
Food was the most often stolen cargo at 13 percent of the incidents reported to the SC-ISAC. It was closely followed by pharmaceutical/medical and building supplies, both of which came in at 12 percent. The unusually high percentage of building supplies thefts may be due in part to the rise in copper prices and the lack of oversight on the origins of scrap materials. Recently enacted laws addressing ownership of materials for recyclers may help to reduce this current theft trend. Also surprising was the fact that the music/movies/software category came in at only one percent of incidents reported.
"According to our analysis of the data, food and drugs are essentials that are always a target of thieves, but especially so in a depressed economy," said Furtado. "That may explain why those items topped the list, while 'nice-to-have' items like music, movies and software came in at only 1 percent. The bottom line is that whether economy is good or challenging, it is critical for a company to protect its cargo."
LoJack SCI's Cargo Protection Tips: Information is Key