Threats & Solutions

Threats in supply chains and their solutions

Todays threats

Products in transport and storage are exposed to several threats, e.g. physical damage, wrong temperature, water, oxygen (certain food), thieves, counterfeiters, and smugglers. At the same time, supply chains are becoming more vulnerable for disruptions due to globalisation, more partners along the chains, less inventory and time buffers, and shorter product cycles. It is important that what is shipped also reaches the intended customer just in time and in its original undamaged condition.


• Resarchers estimate that up to 2% of world freight is stolen which costs $30 - 200 billion per year. and in US alone cargo thefts increased from $1 billion in 1977 to 10 in 1997 and to 15-30 billion 2006 (source). In the high-tech industries instances of loss ratios as high as 30% have been reported. Opening of packages with confidential prototypes or secret documents can have devastating consequences. Most thefts are assisted by insiders and international crime is increasingly involved. A growing number of transport customers require that specific security measures are taken.

• About 5-7 % of all world trade is counterfeit goods, which means loss of both brand value and sales.

• The share of fake pharmaceuticals sold in a developing countries varies between 10-90%. Fake tuberculosis and malaria drugs alone are estimated to kill 700,000 people a year (pdf). EU suggested in March 2008 to introduce a law requiring a seal on all outer packaging of medicine that is unbroken from factory to end-user. The World Health Organization is taking firm actions to fight counterfeit medicine

• Terrorists threaten to place bombs in containers and criminals smuggle pirate products and narcotics in our regular transport systems. Authorities demand seals for intrusion detection and real time visibility of load units in order to pass customs without delays.


We focus on reducing these security threats by providing innovative sealing technologies and apply them into innovative packaging and security systems


Solution