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www.tapaemea.com
Thorsten NeumannChairman – TAPA EMEAHead of Nokia Security CEMEA & INDIA
Head of Nokia Global Supply Chain Security
World Bank ConferenceWashington DC, June 07, 2010
Why are we the target?
• Value of products• Technology goods, watches, MP3’s,
high value cloth and shoes• Not just functional items anymore
they are part of our lifestyle
• Risks of the supply chain• Organized criminals and gangs
operating worldwide • Targets: high value and luxury goods,
easy to get, easy to sell
• Stolen products can be replaced – missed sales opportunities can not be recovered!
Understanding Product Liability & Risk Transference
Warsaw Coverage Warsaw + Mitigation Countermeasures
50” Sony TV
Cost $ 2500
Warsaw Coverage $ 2754
Sony Playstation
Cost $ 299
Warsaw Coverage $ 159
Nokia
Cost $ 699
Warsaw Coverage $ 12
SupplierHub
SupplierHub
ODM
ContractMfg.
Supplier
Launch /Proto Build
Product/ProcessDefinition
Mfg. Cust DC, Retail, Consumer
AsiaFulfill.
Cust DC, Retail, Consumer
EMEAFulfill.
NAFulfill.
Cust DC, Retail, Consumer
LAFulfill.
GLOBAL PLANNING
Parts
Returns / Service
Parts
Returns / Service
Parts
Returns / Service
Parts
Returns / Service
Suppliers
Mfg.
Mfg.
Mfg.
Mfg.
Every point of transfer, change of possession or manner of conveyance represents an opportunity for loss, damage, misdirection or theft.
The consistent application of sound security standards, the timely and accurate reporting of losses and the expeditious movement of product improve on-time delivery and customer satisfaction.
Product at Rest is Product at Risk.
Supply Chain Today => Controllable Risk?
Mfg.
Cust DC, Retail, Consumer
EU Study
• €8.2 Billion Losses / year
• €6.72 Loss every single Transport
• 60% of all Losses linked to Parking & Handling
• 15% Hijacking/Armed Robbery
* “Organised theft of commercial vehicles and their loads in the European Union, July 2007, REA
FBI 2006$15 - $30 Billion
SOCA UK 2008/2009£110 Million
6 © 2007 Nokia Corp Security Confidential
Your Weakest Link?
Industry Top 10 Loss countries
(2009)
• United Kingdom• Italy• Germany• France• Spain• Russia• United States• Brazil• Mexico• India
Global LossesGeographical Risk
First Advantage Copyright©
8
TAPA Overview
TAPA Worldwide has approximately 600 members throughout the world and is governed by three regional entities
TAPA Americas, TAPA ASIA and TAPA EMEA
Each regional group is autonomous but works together through the World Wide Council (WWC)
TAPA Overview
10
TAPA EMEA Membership
Current Membership
• Founded in 1999 TAPA EMEA is currently celebrating its 10th Anniversary and now boasts the following membership base.
• Currently 286 Members– 240 Members – 24 SSPs – 9 Affiliate– 4 LEA TAP, – 8 TAP – 1 Honorary
12
Why are we the TARGET?!TAPA Standards
13
TSR and TACSS
• Freight Security Standards (FSR)– Introduced 2001, revised 2005, 2007 & 2009– now covers 650 + facilities worldwide– Levels A,B,C decided in partnership between shippers and
logistics service providers– Accepted by US Customs CTPAT program as BKM (Best Known Method)
& recognized in some countries by AEO (Authorized Economic Operator) auditor bodies
• Truck Security Requirements & Parking Security Requirements– Rolled out on a w/w basis in 2006 & revised 2008– Level 1,2,3 (1 is highest level)
• TAPA Air Cargo Security Standards (TACSS)– Mid term project - ongoing– Evaluation / discussion with airport industries ongoing
The Future
• 2010 will be a record year on incidents• Loss values will be higher • Neighbor countries will be endangered• Crime development trends:
» Simple but brutal» No rules, no ethics» Corrupt» Organized» Terrorism
Thank you!
