Increasing Supply Chain Security: The Requirement for RFID Technology on Containerized Cargo [graduate project]

Abstract

International shipping or transportation of goods, other than bulk cargo, such as petroleum products or LNG, is carried out almost entirely using cargo containers and through various modes including surface and marine. Establishing supply chain security of these containers through the various modes is essential to protecting not only the cargo that being shipped and the transportation systems involved but also the wider public security. Even though measures have been introduced to increase the level of protection in place to promote cargo and supply chain security, tampering and pilferage still take place. The potential for tampering with cargo in containers puts industry, the marine transportation system and the public at risk. Currently shippers using containers for international transportation employ various methods to ensure security of containers including “seals” however there is no single or universal standard employed. The use of Radio Frequency Identification (RFID) seals is a proven security feature that has already been put into use by various industries globally. This study suggests that RFID technology can be incorporated into the container seals to strengthen supply chain security and by extension the marine transportation system and provide greater protection to the public. Further, the technology has the potential to aid industry both logistically and financially by improving efficiencies associated with the tracking and monitoring of containerized cargo. The success of such implementation is entirely dependent on the ability of organizations and industry to work together to ensure a robust framework and policy design.