Transcript Dan Bertuna - The Security Network

Supply Chain and
Security
17 November 2009
Security Challenges – Supply Chain
• 9/11 heightened fear of terrorist attacks – cargo containers
likely delivery vehicle
• Intercept suspicious cargo before it reaches U.S. shores –
100% scanning by 2012
• Regulation abounds
– Implementing the 9/11 Commission Recommendations Act of 2007
(9/11 Act)
– Customer-Trade Partnership Against Terrorism
– Container Security Initiative/Secure Freight Initiative
– SAFE Port Act
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Addressing a Global Problem
• 11 million containers enter the US annually
• Container security market is expected to grow from
$70M in 2008 to over $4B by 2015
• Theft in the global supply chain accounts for loss of
billions per year
• Customers are interested in solutions that provides
physical security, breach notification and global tracking
capability
• Defense companies are leaders with security solutions
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The Dilemma
• Dilemma – increase security but don’t impact legitimate
trade
• Many stand-alone products exist but very few integrated
solutions
– Many focused on security are door-centric
– Sensing technology not standardized
• Many players in the supply chain
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Shippers
Ports
Trucking & Rail
Customs
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Opportunities?
• The container security market is growing.
• Industry trends toward reduction in theft, counterfeit,
spoilage and mishandling
• Potential customer base is mature but fractured
• No integrated, environmentally and technologically
interoperable container security solutions exist
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Transshipments
• Fastest growing segment of the container port market
– Examples: Dubai, Hamburg, Trinidad & Tobago
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Transshipment (cont)
• Commonly used by smugglers and terrorists seeking to
disguise the point of origin of their goods from Customs
officials
• Keys to maintaining strong security:
– Good Tracking
• Currently available: RFID, GPS, Satellite, WiFi, Cellular
– Accessible Real-Time Data
• Customs 10+2 requirement
• Sensor data; entry logs
– Solid Chain of Custody
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Cubic Security Services, Inc. (CSi)
Enhance safety and security within the public
transit and maritime markets for people, cargo
and equipment
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Technology Integration
• Cubic identifies technologies of interest and potential
sources of applied research
– Sensor technologies, with focus on CBRNE and imaging
– Processing technologies to analyze and associate data
• Cubic participates in forums where technology firms are
presenting and access is facilitated
• Cubic seeks a relationship with identified technology firms
that are mutually beneficial and offer competitive
advantages
• Cubic works with “partners” to define served markets of
interest and formulate strategies
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CSi Innovation & Technology
• Integrated radiation detection with mass transit fare
collection systems
• Explosive detection for transit
• Sensor technology development
• Global Asset Tracking Enterprise System (GATES)
– Increase container security, tracking and improve supply chain
visibility
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Container Security Solutions
• Maritime “smart lock” used as a
delivery platform
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“Tamper proof“
Keyless entry
Electronic log of access
Validation of who has access
Electronic Manifest & Data
History of container movement
Near real-time tracking
• Integrate threat detection technology
• Global coverage
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THANK YOU
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