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

Handling specialty and high value inventory 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.