Sword Versus Shield: Risk Management Philosophy | AFN

Fans of Marvel comics will be familiar with S.H.I.E.L.D., a fictitious law-enforcement agency that fights evil and injustice. While AFN?s Risk Management Team, under the leadership of General Counsel Jared Palmer, hasn?t (yet) taken on any interplanetary security threats, our customers greatly value the group?s often super-heroic efforts to stop cargo theft. Jared?s credo is ? unlike his comic-book counterparts ? less focused on shielding our customers from theft and more focused, with a rapier-like intensity, on preventing criminal activity. Read on to learn more about how the team practices their ?Sword versus Shield? philosophy.

Question: You often say that your department prefers to work with a sword rather than a shield. What do you mean by that?

Palmer: It?s a concept I learned in law school from one of my professors. You can either operate a risk management team like a shield to protect your clients or you can use it as a sword to attack and eliminate the threats. With that concept in mind, my department here at AFN goes after new business, rather than merely protecting the business we have. Motor carriers and customers alike understand and appreciate the value that a well run risk management group can bring to their business.

Question: Can you describe how exactly that works?

Palmer: I spend a lot of time meeting with clients who have shown a need or interest in risk minded logistics services. It starts with the due diligence that my Compliance Team performs on all the motor carriers we do business with. A proprietary method allows us to identify the best carriers to use to reduce risk with a much higher success rate than our competition. Our customers find tremendous value in relying on AFN to offload that burden from their day-to-day operations. We have a very seasoned and aggressive OS&D/Claims department that doesn?t sit around and wait for something bad to happen to our customers? cargo. Instead, we use a proactive approach to identify problem areas and work with our clients to find a realistic solution. Lastly, we have a Security Team dedicated to ensuring that high risk or high value loads are moved securely and on the right motor carriers. We?re proud of our success rate in preventing thefts and recovering loads that have been stolen as a result of our ongoing commitment to securing the supply chain.

Question: What kinds of things do you encounter in the course of a typical work week?

Palmer: There really is no such thing as a typical work week at AFN, which is one of the reasons the job is fun and challenging. In a typical week, I may consult with several motor carriers on how to improve their overall safety. I?m actively involved in helping law enforcement agencies around the country find funding and support for their training initiatives. And I oversee the day-to-day operations of several high value/high risk accounts from a 30,000 foot vantage point to ensure we are providing the type of service we committed to.

Question: You?ve worked with some clients (notably LG) to develop and implement systemic responses to crime. Can you share a bit about that experience and what you and the customer have learned from it?

Palmer: LG is a well known consumer products company?so well known, in fact, that their product is highly desirable in almost every country on the planet. Unfortunately, some who desire LG?s products are not willing to purchase them through normal distribution channels and instead resort to criminal activities. LG recently created a North American Security Council [for a previous article describing this effort, link here] to focus on reducing their exposure to cargo theft. It seems to be really paying off. The Security Council is comprised of law enforcement, private sector, key suppliers and personnel from LG Electronics North America. A key learning is that you need to open the channels of communication and work collaboratively to find a solution. There also has to be buy-in from the top down in order for any proposed solution to be implemented and actually adopted as part of the culture at the organization.

Question: Tell us about working with various law enforcement agencies over the years. What should shippers and carriers know?

Palmer: Not all agencies are created equal. The F.B.I. is not the primary agency dealing with cargo theft, especially after 9-11. Your local police station is not equipped to handle the recovery or search of lost or stolen cargo. You need to network and establish a relationship with those agencies around the country that specialize in or are trained on this issue. The IL State Police, the Los Angeles Sheriff, NJ State Police, California Highway Patrol, Memphis Task Force, Dallas-Fort Worth Police, and a few others like them, really have the know-how to tackle a cargo theft problem.

Question: How is/will new high tech gear help mitigate theft? Aren?t thieves always going to be one step ahead of any new innovations?

Palmer: We?ve found that a multilayer approach to cargo theft prevention and recovery works best. It starts with securing facilities. Whether you are the manufacturer, distributor, retailer, forwarder or motor carrier, you have to make it difficult for the bad guys to penetrate your property. Depending on the type of freight and your budget, actions may range from low tech to very high tech including cameras, alarms,electrically charged fences, license plate scanners, thumbprints, etc.

Then, you have to use the right providers, brokers, logistics companies, motor carriers, and other vendors. A thorough vetting process to understand who is going to be touching or moving your product and their methods for how they will accomplish that needs to be completed. Load planners and operations personnel need to work more strategically and with a risk-minded attitude to ensure that transit times make sense. Picking up a load on Friday in Compton and delivering it on Monday in Chino is not smart. That load will be sitting in the Los Angeles area over the weekend and most likely will not be secure. Covert GPS or tracking devices are necessary at this stage in the game. Not all technologies are created equal so you have to do some field testing, but generally speaking the crooks are looking for the non-covert tracking systems on trucks and trailers.

Finally, buy good insurance that will pay in case there is a loss. Network with the right law enforcement agencies who will go out and track down your stolen product. Most criminals are not going to great lengths to steal the cargo; they are opportunists. Adopting some or most of these steps will keep the scales tipped in your favor.

Feel free to contact Jared directly at 224-515-7018 or jpalmer@afnww.com?if you would like more information regarding AFN?s Risk Management capabilities.

Source: http://www.loadafn.com/afn-news-and-research/afn-news/sword-versus-shield-risk-management-philosophy/

whitney cummings msnbc i will always love you maine caucus whitney houston has died blue ivy carter whitney houston death