With concentrations of inventory comes concentration of value, and where there is concentration of value—there is a multitude of threats.
Theft incidents are on the rise. Directly, they create financial losses that work downstream, causing stockouts, missed orders, and damaged relationships.
Leaders in logistics know the only way to increase safety is strategy, and here are some of the challenges their interventions must be prepared to address.
As online ordering and purchasing trends shift, concentrations of product and orders continue to attract the attention of threats. Losses are increasing as theft becomes both more organized and more aggressive.
As always, statistics show that employee theft is disproportionately higher than theft by external causes. Internal thieves already have access to the apparel, electronics, and products desired.
Trends show that thieves are more active during busy times, like the surge of holiday-based shopping or changes from shift to shift. Data consistently shows that internal theft accounts for a significant share of warehouse losses. Employees and contractors already have facility access, making gaps in process, documentation, and oversight easier to exploit.
Theft activity also tends to increase during high-volume periods such as peak season or shift transitions when operational pressure creates more opportunity for errors and less oversight.
Locks, keys, and fences are far from good enough if the vast majority of thefts are the fault of internal employees of the company. Rather than focus on such traditional ideas of security, warehouses must look to more sophisticated, layered protections than physical barriers alone.
For instance, relying on manual checks may leave gaps wide open for criminals to exploit a lapse in oversight. Physical barriers like locks, keys, and perimeter fencing remain important, but they cannot address process-based vulnerabilities inside warehouse operations. When access controls rely heavily on manual verification, gaps in documentation and oversight can create risk.
Relying on manual checks alone introduces inconsistency, especially during high-volume periods. Without standardized, automated verification, small discrepancies can go unnoticed until losses surface later.
The limitations of legacy safety measures at warehouses can be seen most clearly at sites where siloed systems offer incomplete data, where delayed responses lead to security failures, and where manual control lets verifications slide.
Manual checks at gates and doors are slow, prone to error, and easily fooled by fake IDs. No team of guards or set of paper logs will close every hole in manual processes.
Cameras and access control systems do not often integrate at most warehouse locations. This means that WMS platforms largely operate outside the gate log system, and the lack of connection is an opportunity for deception and theft.
When goods are gone, that’s often when the issue comes to the attention of managers, leadership, and stakeholders. This is too late. In many cases, discrepancies are discovered only after inventory counts or customer complaints surface the issue. By that point, investigation becomes more complex and recovery more difficult. Delayed visibility increases both financial exposure and operational disruption.
The delay between theft and discovery is itself an issue, since it makes it much more difficult for companies to recoup losses, if possible. Technology can close this gap.
Automation has transformed the entry and exit of vehicles at most types of facilities. These can be used to verify gates and vehicles with clear-eyed consistency, leaving logs available to be reviewed by anyone, anywhere, while always up to date.
Modern systems provide real-time visibility into vehicle arrivals, dock assignments, and departure events, creating clear documentation of freight movement at the facility level. More integrated and aware systems use visibility to deter opportunistic employees.
Time-stamped operational data helps teams identify inconsistencies in access activity, dwell time, and appointment compliance. Rather than open the door for mistakes and mishandling, systems that automate and standardize are simple to audit and secure.
SmartGate reduces theft risk by increasing visibility and verifying access at key facility entry and exit points.
SmartGate offers automated check-in and check-out processes for every vehicle, including appointment-based verification and configurable access rules.
Timestamps for every entry and exit are precious, if they are accurate and precise. Rather than rely on handwritten, manual documentation, systems take timestamps independently, returning oversight to management.
SmartGate connects gates to docks and security offices, meaning when a truck arrives, the appropriate team is notified. To close gaps further, security personnel are able to independently monitor data in real-time.
Warehouse managers and logistics teams wonder why their locations are so heavily targeted by thieves. Learn more about why thefts concentrate here and how to stay safe below.
The most effective safety measures for warehouse theft prevention take a layered approach. This includes physical security like perimeter fencing, surveillance systems, and operational controls such as SmartGate technology that verifies access, standardizes entry and exit documentation, and provides real-time visibility into gate and dock activity.
The shift in warehouse theft prevention due to technology has been a temporal one. Rather than react to thefts after the fact, they attempt to preempt opportunities for theft and focus on preventative, proactive methods.
Gates and docks are points of transition, and at these exposure points, cargo is particularly vulnerable to unauthorized access. Logistics has to ensure that teams are equipped with the technologies that will help them prevent threats to inventory.
The threat of warehouse theft is persistent and pressing. As traditional methods of safety and security fall short, new tools like SmartGate have been designed to fill gaps and keep warehouses fortified.
Book a demo with Opendock to learn more.