Five Tenets of Security-Aware Logistics and Supply Chain Operation

One consequence of new security measures being put in place to reduce terrorist threats is that the United States economy will incur $151 billion in additional costs annually, $65 billion of which will be for logistical changes to supply chains (Damas). This suggests that logistics and supply chain management professionals will be asked to adopt new practices that minimize these costs while ensuring an efficient and safe operating environment. To assist in this effort, in this article we provide five tenets of logistics operation for the new environment. These tenets are drawn from a comprehensive review of supply chain disruptions as a result of terrorist attacks, contingency planning efforts, potential costs of security going forward, and regulation currently under consideration. In this way the five tenets provide both a guide for practice and a means to evaluate additional material being published. We close with a review of security-related government initiatives that logistics professionals will want to consider in their business plans.