TT Club

TT Club, the specialist liability insurance provider to the international freight and logistics industry, claims focus on a much overlooked aspect of supply chain operations can significantly reduce risk. Systemic stockholding, order flow and other inventory management processes need to be effectively controlled. 

London, 28^th May 2024

Utilising analysis of past claims relating to cargo theft within the warehousing and distribution arena in particular, TT has concluded that risks to goods escalate in environments characterised by confusion and disorganisation. Adherence to systematic processes is therefore paramount. Inventory management is so central that it defines the very system by which this effective organisation is maintained.

“A failure to exercise such systematic control can have enormous risk consequences for security, reputation and contractual liabilities,” says TT’s Josh Finch. “Inventory management is an aspect of the supply chain that often runs quietly in the background until something goes wrong. Small issues can quickly turn into large and costly errors if they are not observed and rectified.”

TT acknowledges that data communication and the traceability of goods are key to sound inventory management and the mitigation of errors. The data interfaces between various software systems that are employed to manage the flow of goods including WMS, OMS, TMS and ERP* should ensure that actions taken in one system are recorded in the others.  Breakdowns in communication between systems can be difficult to identify but may lead to costly errors.

In minimising such errors, traceability throughout the supply chain is crucial in uncovering the discrepancies promptly. The ultimate goal is to provide full visibility of goods as they move through the supply chain. A well-designed system should systemically mirror all physical movements of goods and be particularly focused on circumstances where visibility and therefore traceability break down. Most commonly this occurs when a user fails to adhere to the correct process, but operations should also consider where gaps in process lead to a breakdown in traceability.

“Stock that is not traceable is at risk,” explains Finch. “It may be stolen or may simply go missing, making it difficult to determine where the failure has occurred. It is crucial therefore that supply chain operators responsible for managing inventory seek to maximise traceability throughout the entire journey of a particular item of stock.”  The consequences of inadequate inventory management can be severe, extending beyond the cost of cargo loss to risks of negatively impacting commercial relationships. Inventory management plays a key role in fostering a security culture within the supply chain. It should enforce procedures, maintain traceability and respond to discrepancies effectively, resulting in a secure and efficient supply chain operation.

More detailed insight into effective inventory management can be found Here

*WMS – Warehouse Management System

OMS – Order Management System

TMS – Transport Management System

ERP – Enterprise Resource Planning

ENDS

About TT Club

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1200 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 97% of its Members, with a third of its entire membership having chosen to insure with the Club for 20 years or more. www.ttclub.com

The demand for organisations across the freight transport spectrum to develop a cogent ESG – Environment, Social, Governance – policy is ever increasing. Leading insurance provider to the sector, TT Club is providing an active toolkit to assist in the development of relevant policies.

London, 23^rd April 2024

In collaboration with its Members, partners and service providers, TT has produced a toolkit to assist those it insures meet the complex demands developing ESG policies present. It provides signposts to strategies and solutions to challenges such as emissions calculation, reduction and reporting.

Commenting on the launch of the toolkit TT’s CEO Charles Fenton says, “The rapid development of ESG principles presents a challenge to many Members, particularly smaller operators. Our ESG toolkit is in line with our commitment to providing our Members, and the sector as a whole with the resources to give insight, educational content and support in navigating a company’s pathway in this complex area.”

“The toolkit will develop over time to build a resource base of success stories of effective ESG strategies from across the cargo handling and supply chain sectors, ” explains TT’s Managing Director Loss Prevention, Mike Yarwood.  “This series of case studies provide building blocks to guide others in designing and embedding ESG policies and will be augmented as our experiences and those of our Members and partners evolve.”

The components of ESG – Environment, Social, Governance – are well recognised, but what is less well known are the varied implications of applying high and developing standards of business practice in each area.    

Support and guidance to help mitigate the environmental impact of operations is a valid start point but knowing what to consider will be starkly different for a freight forwarder, a port or a container terminal. Operations must positively impact local communities wherever possible.  However, transport and logistics companies wield significant influence over numerous social factors. From ensuring fair labour practices to promoting diversity and inclusion and to safeguarding employee well-being. What are the best means of ensuring these goals is a question an operator must answer.

Further, the requirements and benefits of good governance are still evolving alongside the rise of ESG. This predates environmental and social risks as a corporate priority but inconsistent developing demands by both international regulators and national governments means transport operators must keep a watchful eye on variable trends.

In all cases TT believes its ESG toolkit provides current, practical guidance to operators .

*Available via this link ESG toolkit (ttclub.com) for free download

About TT Club

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1200 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 97% of its Members, with a third of its entire membership having chosen to insure with the Club for 20 years or more. www.ttclub.com

In the recently published Annual Cargo Theft Report 2023 TT Club and BSI SCREEN Intelligence pinpoint high inflation as a primary macroeconomic driver of cargo crime patterns. The rise in food and beverages as a stolen commodity is one such indicator.

London, 11 April, 2024

Key findings of the 2023 Report:

• Increase in Food and Beverages (incl. alcohol) stolen from 16% to 24% of global total
• Most common mode remains Road at 71%
• Facilities as a location for theft down from 30% to 23%
• Top countries include Mexico, USA, South Africa, Germany & Italy
• Electronics slightly down at 9% of incidents but still significant in terms of value
• Modus operandi differs by region: examples include ‘Blue light crime’ in South Africa & ‘insider activity’ in Asia

As in the past four years BSI and TT have come together to highlight the global cargo crime trends that were prevalent over the previous year. Their Report is intended to serve as cautionary advice to all concerned with supply chain security and also to provide mitigation recommendations to combat these threats which are likely to persist into the current year.

Tony Pelli is Practice Director at BSI, he gives substance to the extent of these crimes, “Cargo theft is a problem that costs companies tens of billions of dollars each year and can cause significant disruption to important supply chains, from pharmaceutical products to semiconductors,” says Pelli. “Having accurate and up-to-date intelligence is the first step in combatting this problem and pinpointing the locations and types of theft that are most likely to harm global supply chains.”

“In identifying shifting crime patterns in terms of new fraudulent methodologies and a focus on both historic and current geographic risk, we seek to assist operators in tightening their security processes,” further explains TT’s Managing Director Loss Prevention, Mike Yarwood. “In addition to the details of the global trends in commodities stolen and the types of theft we have provided a series of case studies drawing attention to prevalent regional or country specific dangers.”

These include an increase in olive oil thefts in Southern European countries following record poor harvests and a consequent rapid rise in the value of the oil, evidenced by the retail cost recorded on supermarket shelves. Also detailed are crimes in both Europe and the USA that employ various types of fraud, including identity theft, fictious pick-ups and drop-offs and credit fraud.  In South Africa so-called Blue Light gangs, who imitate police in order to stop vehicles are becoming more common. Finally, awareness of corruption among employees and third-party contractors is particularly stressed in Asia, where much evidence exists of ‘insider’ activity leading to cargo theft from warehouse facilities and trucking operations.

In terms of mitigation Yarwood comments, “Our combined experience as insurance provider and supply chain intelligence gatherer is invaluable, not just recording the details of crime but also in recommending practical actions and process design suggestions that will strengthen supply chain organisations in their fight against the threat of theft. These too are itemised in our Report.”

The 2023 Cargo Theft Report is available for download free of charge HERE

About TT Club

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1100 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 93% of its Members with a third of its entire membership having chosen to insure with the Club for 20 years or more. 

www.ttclub.com

About BSI

BSI is the business improvement and standards company that enables organizations to turn standards of best practice into habits of excellence, ‘inspiring trust for a more resilient world’. For over a century BSI has driven best practice in organizations around the world. Working with over 77,500 clients across 195 countries, it is a truly global business with skills and experience across all sectors including automotive, aerospace, built environment, food and retail and healthcare. Through its expertise in Standards and Knowledge, Assurance Services, Regulatory Services and Consulting Services, BSI helps clients to improve their performance, grow sustainably, manage risk and ultimately become more resilient.

To learn more, please visit: www.bsigroup.com

About BSI Supply Chain Services and Solutions
BSI Supply Chain Services and Solutions is the leading global provider of supply chain intelligence, global supply chain verification auditing services, audit compliance and risk management software solutions, and advisory services. BSI’s supply chain services and solutions and services can work independently to address specific needs or combined together to gain unparalleled visibility into your global operations. Implementing BSI’s holistic supply chain risk management suite provides organizations with a complete solution for a more sustainable and secure supply chain.

To learn more, please visit www.bsigroup.com/supplychain

In announcing its continued support of the TAPA EMEA* Award, leading provider of insurance and related risk management services to the international transport and logistics industry, TT Club proclaims its aim to encourage career development in cargo security and enhance resilience in the supply chain.

To enter, applicants must produce a 1,500-word submission on an innovative cargo security or supply chain resilience initiative they have developed or contributed to significantly. The potential areas of focus are an innovative solution to a current security concern or an experience of cargo loss that has been overcome in a practical way. Additionally, addressing an emerging new trend in security risk could be offered up.

Entries must be submitted before the closing deadline of 19 April 2024¹ and the winner will be notified by 1 May to ensure they can join TT at TAPA EMEA’s Annual Conference in Amsterdam on 12 & 13 June to receive their Award. Entries are to be judged on the originality and complexity of their solution, as well as how innovative and successful it is in improving supply chain resilience for the applicants’ companies or clients.

“We wish to identify, inspire and reward young talent in the industry, encouraging them to continue to innovate and communicate with their peers to strive for greater security throughout the supply chain sector,” said Mike Yarwood, TT’s Managing Director Loss Prevention. “We are extremely proud to continue our sponsorship of this Award; the inaugural award last year was a great success and attracted a number of bright young minds from the industry to showcase their respective security solutions.”

The 2023 Award was won by Sjef Boekestijn of Boekestijn Transport Service, for his entry on the creation of a new automated security auditing tool linked to clients’ Standard Operating Procedures.  Boekestijn Transport is domiciled in the Netherlands and Sjef is based in Poznan, Poland.  He was welcomed to London, as part of his award prize where he presented his solution to TT colleagues.  His hosts introduced him to the UK Government’s Department for Transport to discuss standards around truck stops in the UK and he also met with NaVCIS Freight** to discuss current trends in the causes of freight crime; Sjef providing insight from his experience across Europe.

Underlining the importance of the partnership between TAPA EMEA and TT Club, Thorsten Neumann, the former’s President & CEO said, “It is important for every industry to nurture the next generation of leaders. The business focus on supply chain resilience and cargo security has never been greater with the world facing economic, geopolitical, health and environmental challenges and disruptions, in addition to the now well-established and growing threat of cargo crime.  This award gives individuals in our industry an opportunity to earn an achievement they can carry forward in their careers. I ask senior managers in our membership to encourage their outstanding young professionals to participate is this year’s award.”

¹TAPA-EMEA-Young-Supply-Chain-Resilience-Professional-of-the-Year-Award-2024-Entry-Form (1).pdf

*Transported Asset Protection Association’s Europe, Middle East & Africa (EMEA) Region

**The National Vehicle Crime Intelligence Service. A UK Police Authority.

About TT Club

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1200 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 97% of its Members, with a third of its entire membership having chosen to insure with the Club for 20 years or more. www.ttclub.com

After a career of over 50 years, the last 18 of which spent as Global Risk Assessment Director at cargo handling insurance specialist TT Club, Laurence Jones has announced that 2024 will be his final year.

London, 20^th February 2024

During his 18 years with TT, based in Sydney, Laurence has consistently championed safety in the port and terminal industry to assist the TT membership, and the industry at large, in becoming safer and more secure. His range of industry experience has provided considerable value to TT, further enhancing the insurer’s global reach and credibility in the broader industry.

“In his time with us Laurence has applied his deep expertise of port and terminal operations and enthusiasm for improving safety and security for the benefit of the Membership,” says Peregrine Storrs-Fox, Director Risk Management.  “I’m pleased that Laurence has agreed to dedicate this year to continuing to transfer his skills and knowledge within the business, including to last year’s newcomers, Neil Dalus and Josh Finch, who are already expanding the capacity of the loss prevention function to deliver TT’s high standards of risk assessment and risk management output.”

As a qualified engineer, Laurence’s 52-year career has spanned general management, operations, maintenance, design, construction, mechanical, electrical and civil engineering, industrial relations, safety, environment, risk assessment and auditing.

These varied skills have been brought to bear in the fields of bulk materials handling (terminals, open cut mines and underground mines), container terminals, logistics (rail and road), manufacturing (steel) and insurance. Prior to joining TT, Laurence worked 26 years for BHP Billiton and then spent eight years in container terminals with P&O Ports.  After assisting with the integration of P&O Ports and DP World, he joined TT in December 2006 for a role that spanned internal advice and support in underwriting decisions and claims assessment, together with hands-on approach with TT Club’s membership to highlight first-hand the areas where risks may be reduced.

Many will recognise Laurence from his extensive presence at a wide range of industry events. As a moderator, Laurence has demonstrated a talent for probing panellists and drawing questions from the audience.

Indeed, ever active in the wider transport and logistics industry, Laurence has participated actively on ICHCA boards and Technical Panels. He has also energetically supported the Port Equipment Manufacturers Association (PEMA), specifically promoting safety from the perspective of loss experience, as well as with the International Association of Ports & Harbors (IAPH).

While TT will continue to enjoy Laurence’s presence for the remainder of this year, he will be missed by his colleagues, his contacts within TT’s membership and so many of his friends and associates across the global industry.

About TT Club

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1200 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 97% of its Members, with a third of its entire membership having chosen to insure with the Club for 20 years or more. www.ttclub.com

Future sustainability of the sometimes fragile global supply chain must revolve around a fundamental safety culture throughout all operators and organisation involved, determines International freight and cargo handling insurer TT Club.

“The importance of culture within an organisation, particularly where safety is concerned cannot be underestimated,” says TT’s Logistics Risk Manager Josh Finch.  “Safety is everybody’s responsibility and everybody has a voice in safety matters.  A strong safety culture will positively impact safety performance.”

In an increasingly risk intense global supply environment, a greater emphasis on safety will help avoid critical incidents such as fire, cargo damage and vessel loss, which further exacerbate shortages, congestion and human suffering. This message pervades the loss prevention work of TT and is exemplified in a wide variety of studies and reports published in the insurer’s latest review of current and on-going risk trends – A Year in Focus*.

TT’s view of an pervasive safety culture is represented by a number of contributions in this publication.  Analysis of its own claims data and detailed research into a range of risks across the supply chain results in reports on and advisable actions to mitigate invasive pest in freight containers and increased cyber security risk as ports automate; increased customs documentation errors and clandestine immigration threats; help from drone technology and the dangers of plastic micro pellet spillages.  Attention to a broad spectrum of hazards is essential in developing the all important safety culture.  

“TT has recently witnessed a renewed focus and commitment towards loss prevention activities, with additional emphasis placed on the Club’s mission statement to make the industry safer, more secure and more sustainable,” comments Loss Prevention Managing Director Mike Yarwood.  “Greater safety goes hand-in-hand with enhanced security and consequently sustainability. TT’s mutual ethos demands that we  guide those we insure – and indeed the wider industry – in all aspects of risk through the container transport and global logistics supply chain. Via our latest Year in Focus we aim to add to the large cannon of knowledge and guidance.”

*Available HERE for free download

About TT Club

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1200 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 97% of its Members, with a third of its entire membership having chosen to insure with the Club for 20 years or more. www.ttclub.com

Falling from height is a leading cause of workplace fatalities and injuries.  International freight transport and cargo handling insurance specialist TT Club is warning of this danger in the transport, port and logistics industries, environments in which, unfortunately elevated working locations are often unavoidable.

Continuing with its series of TT Briefs aimed at simplifying complex risk issues by providing easily digestible information and guidance, TT has published its latest Brief, ‘Understand and mitigate the risks of working at height.’ In such working environments that are common throughout the supply chain, prioritising safety is of the utmost importance to prevent accidents and injuries. In this Brief TT looks at the steps that should be taken to reduce such risk, ensure the safety of your workforce when working at height, avoid exposure to injury claims and safety prosecutions, and reputational damage.

The series was Introduced three years ago by the specialist liability insurer; a TT Brief* is a two-sided infographic-style advice sheet, each aimed at a specific risk.  It is designed to offer guidance on general good practice to avoid loss.  It also has the potential to act as a poster to be utilised in the workplace so as, always in plain sight, it is a constant reminder to both employees and management.

TT’s Managing Director, Loss Prevention Mike Yarwood pinpoints the relevance of the latest Brief, “Globally, there is no consistent regulation that outlines at which height a worker is considered to be at risk of serious injury should they fall. Therefore, simply complying with regulated safety provisions may not be enough to protect a workforce from potentially fatal accidents. Our advice therefore is a considered guideline on the minimum measures that employers, be they warehouse, port or terminal operators, road hauliers or other carriers, should put in place.”

Recognising the range of operational conditions across the transport and logistics industry, the advice raises a number of points to consider relating to infrastructure design and improved working practices.

Safe stowage of cargo at various points in the supply chain is also discussed, as is the use of technology such as drones to carry out inspections or stocktaking, and deployment of fall prevention platforms.  Not least, training programmes and the encouragement of a strong safety culture should be in place throughout any operation.

Yarwood concludes, “When promoting best practices in working environments that have similar physical characteristics but are spread throughout the world, we believe effective communication is paramount. TT is always concerned with delivering relevant insight, based on the experiences of its insured, to best assist operators in avoiding situations of maximum risk. ‘Understand and mitigate the risks of working at height’ represents that commitment to safety that TT has at its core.”

* TT brief: working at height (ttclub.com) 

About TT Club

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1200 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 97% of its Members, with a third of its entire membership having chosen to insure with the Club for 20 years or more. www.ttclub.com