Protecting cargo has gained in urgency. We must not only guard against the mundane—such as the theft of goods—but also against the catastrophic—the use of cargo containers in terrorist attacks. Cargo theft is climbing, costing companies in the U.S. over $12 million a year, according to law enforcement officials. In addition, the extremely volatile content of our fleets further underscores the high cost of cargo tampering. Consider this: everyday, 76,000 trucks carry toxic and explosive cargo across the U.S.

Such sobering facts leave no doubt that cargo security is a top priority. But how do we secure containers traveling within the U.S. and streaming in from global ports? One answer is increasing inspection—something the U.S. Customs Service is already doing. However, for a solution that will boost business efficiency as well as improve security, companies should look at tracking technologies, which allow firms to monitor cargo—at the vehicle-level as well as at the individual container-level.

One high-tech solution is equipping commercial vehicles with telematics or communications systems that use wireless networks. For example, San Diego-based satellite communications company Qualcomm Inc. allows trucking carriers to safely transport ammunition for the Department of Defense by giving trucks wireless communications capabilities—enabling truck drivers to send messages, transmit their whereabouts, and report any incidents to fleet managers. Recently, the company unveiled its security technology truck, an 18-wheeler that features satellite-based mobile communications and position-tracking technology.

Fleet telematics can ensure cargo security in several ways—by tracking routes, establishing virtual boundaries, authenticating drivers and monitoring containers. The first method—route monitoring—is accomplished in conjunction with global positioning systems (GPS), which track the location and movement of cargo. In fact, the U.S. military is already utilizing GPS to monitor its fleet.

The second telematics application—establishing boundaries or geofencing—allows security personnel to set a virtual fence around possible terrorist targets such as busy urban areas, national landmarks, government officials and infrastructure (bridges, power plants, etc.). If a truck crosses a virtual boundary, then it could be remotely disabled. Together with route monitoring, geofencing could stop trucks from going on forbidden routes.

The third telematics application—driver authentication—combines fingerprint identification technology with vehicle systems to prevent unauthorized drivers from taking control of trucks. With this technology, only certain personnel can drive certain vehicles at specified times.

Meanwhile, for container-level security, companies can rely on individual cargo tracking, the fourth telematics use. It incorporates GPS-enabled route monitoring with RFID (radio frequency identification) cargo tags to make sure that cargo does not leave its vehicle and is monitored through every stage of transit.

Using RFID tags to monitor individual containers has many benefits. For starters, an extensive infrastructure is already in place—the TAV (Total Asset Visibility) network, which California-based Savi Technology Inc. built for the Department of Defense during the Gulf War for inventory visibility. The network stretches across 36 countries and 400 border, seaport and airport checkpoints around the globe.

Wireless readers at these checkpoints can capture real-time information from special active RFID tags called smart seals, which carry embedded electronic information about the container's chain of custody and can detect when a container has been tampered with. The scanners then send this real-time data on location and shipment status to an asset management application.

In fact, aside from being read by scanners at checkpoints, the information carried by these smart seals can also be captured by satellite. For example, as a result of a Savi and Qualcomm partnership, Savi's RFID signals are now picked up by Qualcomm's global positioning satellite network, thus enhancing the TAV network's coverage and real-time data transmission capabilities.

Indeed, RFID technology is effective in ensuring supply chain security because of two key capabilities. First, working with internal sensors, it can tell us if a container's security has been breached. And second, it provides real-time data, which immediately exposes exceptions such as a container staying in one place too long or straying from its route. For example, a system created by California-based WhereNetCorp. and Virginia-based Skybitz records the time elapsed in such activities as loading and unloading so marine terminal operators are alerted to suspicious movements.

But all this work tracking individual containers can easily be negated if we don't know what they are carrying. "Knowing that the seal hasn't been tampered with (and tracking a container's movement) is not good enough if you don't know (its) contents," says retired U.S. Army Gen. John Coburn, now CEO of Virginia-based VT Systems, an arms and aerospace manufacturer. "The biggest problem is knowing what goes into the container in the first place."

That's where technologies that verify import and export documentation come in. Companies are now looking into ITL (international trade logistics) technologies, which take information from brokers and carriers and screen it against government lists of dubious parties which may have ties to terrorists or criminal elements. You can also use these technologies to perform background checks on company employees or those employed by supply chain partners. Moreover, ITL technologies can be combined with RFID and satellite tracking systems to further streamline the process. Through such technology, container contents are given a degree of scrutiny.

The good news is the technologies behind these cargo security measures—GPS, RFID, RTLS, etc.—are already being utilized. The bad news is that they display different levels of sophistication and have to be integrated to be fully effective. Integration poses a tremendous challenge. In fact, to this date, these technologies have not been widely used together. In addition, the issue of cost looms large. Indeed, ensuring security is no small undertaking but one that all companies can begin tackling with the powerful technological tools that are currently available.

Sources: Supply Chain Security
Peter Buxbaum
Frontline Solutions, Oct. 1, 2002
http://www.frontlinetoday.com/frontline/article/articleDetail.jsp?id=34111

Wireless—Paramount in Cargo Security
Eye for Transport, Nov. 6, 2002
http://www.eyefortransport.com/print.asp?news=33276

Homeland Security: Issues and Opportunities
Thomas Godward and Anand Iyer
Eye for Transport, Oct. 21, 2002
http://www.eyefortransport.com/print.asp?news=32771