Opinion: Why Small Fleets Should Join C-TPAT
b>By John Detlefsen
i>General Manager, Sales and Product Development
ransport Security Inc.
The “Highway Carrier Minimum Security Criteria for U.S.-Canada and U.S.-Mexico Highway Carriers” were developed for importers and carriers already enrolled or wishing to enroll in C-TPAT, a voluntary supply-chain program that offers important bottom-line benefits for cooperating cross-border carriers.
As of March 13, carriers already enrolled in C-TPAT have between 60 and 180 days to comply with the various phases of the criteria. Those wishing to join C-TPAT must meet the same new criteria to be certified and eligible for membership benefits.
The big question is — are you ready?
Even if your answer is “no,” take heart — you are probably more ready than you think to meet the new criteria, even if yours is a small fleet not yet enrolled in C-TPAT.
Indeed, while most large truckload carriers already belong to the security partnership, this is not so much the case for carriers with fewer than 100 units. Smaller carriers do not have the luxury of a company security or compliance department to take care of the process and their employees may have to wear multiple hats. For them, the process of applying for C-TPAT membership and complying with the new criteria may seem overwhelming.
It’s not as difficult as you may believe, however, and the exercise will provide more bottom-line returns than you would have imagined.
-TPAT members signing up for the Free and Secure Trade program may be eligible for such visible benefits as dedicated lanes at border crossings for faster shipment clearance and fewer examinations.
Beyond that, I can say that as a former security director for one of the largest truckload carriers in the United States and for the intermodal division of one of the nation’s top four railroads, I have always believed security is marketable.
One exercise we performed, like many others in the supply chain, was to survey our broker carriers and/or business partners. With more than 12,000 broker carriers, most with fleets of 100 units or less, it was a daunting task.
As we received their completed surveys, carriers that met minimum security requirements were given preferred status and were more likely to get our business.
Many smaller fleets thrive off brokered loads that the larger fleets just don’t have capacity to haul. If you are in that category, C-TPAT membership can enhance your marketability to larger carriers, shippers, manufacturers and retailers.
Besides the potential for new business, a C-TPAT-compliant highway carrier will see other returns. Indirect benefits may include reductions in employee turnover, driver turnover and even theft claims. The list can grow as long as everyone in your company is onboard.
Now, let’s get right into how you can do this yourself. Carriers applying for initial C-TPAT membership must first prepare a company security profile. Outlined below is U.S. Customs and Border Protection’s recommended incremental approach for developing a company security profile.
It may look overwhelming, but if you imagine each step as one slice of a whole pie and take one task at a time, being completely honest, you’ll complete the exercise in a reasonable time period. Visit the CBP Web site for more information at www.cbp.gov.
Phase 1 of the process is hardening the physical supply chain by addressing these three security areas:
• Conveyance security — seals, trailer security, etc.
• Physical access controls — employees, visitors, etc.
• Physical security — fencing, lighting, parking, etc. Phase two involves internal and/or procedural elements:
• Personnel security — background checks, employee hiring, etc.
• Procedural security — documentation, manifesting procedures, etc.
• Security training and threat awareness.
• Security measures specific to less-than-truckload operations.
• Information technology security — passwords, Free and Secure Trade program, etc.
Phase three will address the remaining and more cumbersome requirement of leveraging security throughout the applicant’s business partners.
I recommend talking with business partners and suppliers that you trust. Suppliers in particular have a vested interest and many take active roles in U.S. Customs initiatives, especially those that have been around for years and have experience in helping their clients.
With phase one for example, reach out to your security-seal and trailer-security provider. If you don’t have one, contact a company with years of experience and credible references. These suppliers will have strategic partners that can help provide valuable information toward completing phases one and two. One phone call could help you tremendously.
CBP also has expanded the minimum security criteria for service providers within the logistics chain to include all U.S.-Canadian and U.S.-Mexican highway carriers transporting cargo on behalf of C-TPAT members.
Once you have assembled your security profile, you have completed a valuable risk-assessment of your company and have determined vulnerabilities that you will need to address.
Transport Security Inc., Waconia, Minn., provides security
ervices to the transportation industry.
This opinion piece appears in the June 12 print edition of Transport Topics. Subscribe today.
