Piracy at sea – is your supply chain at risk?

You may not consider it the foremost supply chain risk, but piracy can endanger civilians, can disrupt the economy, can encourage corruption, and could trigger an environmental disaster if attacks occur in congested sea-lanes traversed by oil tankers. Is this a risk you should be concerned about? The RAND coproration has recently released a report on the maritime dimension of international security.

RAND

Acts of piracy — boarding a ship to commit theft or another crime — totaled 2,463 actual or attempted incidents between 2000 and 2006, according to a report published by the RAND corporation. These trends are the result of a range of phenomena, including a surge in commercial maritime traffic and a decline of coastal and port-side security.

The overall problem is almost certainly even greater than the figures suggest as researchers suspect nearly half of all piracy attacks are not reported, usually because of fears about subsequent investigation costs and increases to insurance premiums.



Downloads

Read the full report here.

Related

Posted in THIS and THAT
Tags: , , , ,

ARTICLES and PAPERS
Are supply and demand elasticity a risk?
Why haven't I seen this paper before? And why is it not cited more often? It should. It is called Th[...]
Risks and supply chains... stochastically speaking2
A word of warning: This is not your typical journal article on supply chain risk. Risks and supply c[...]
BOOKS and BOOK CHAPTERS
Book Review: Creative Destruction
Like with so many of my other recent book reviews I came across Nolan and Croson's book, Creative De[...]
Book Review: Strategies and Tactics in Supply Chain Event Management
Operations Management and Logistics have been around for a while, but Supply Chain Management is a r[...]
REPORTS and WHITEPAPERS
Managing supply chain risk
In September and October 2009 the Economist Intelligence Unit surveyed 500 company executives with r[...]
The supply chain of the future
Many global supply chains are not equipped to cope with the world we are entering. Most were enginee[...]