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Week in Review: Seafood Scams, Pharma Fog, Lager Logs & More

September 5, 2024

September 5, 2024

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x min read

We're kicking things off this week with a jaw-dropping fish fraud case that'll make you think twice about your "local" seafood. But don't worry, we're not just serving up scandals—we're also diving into the high-stakes world of cargo theft, where Congress and cybersecurity experts are teaming up like an unlikely buddy cop movie. For all you beer lovers, we've got the scoop on how Anheuser-Busch uses tech to track your favorite brew. If you’re feeling a bit foggy about pharma supply chains, we're clearing that up, too, while wrapping things up with a look at one snack food company playing it cool with smart distribution moves. So grab your favorite beverage (maybe double-check its origin first), and dive in!

Distributor's 17-Year Fish Fraud Reels in Federal Charges

A major Mississippi seafood distributor's slippery scheme finally hit the net after nearly 20 years of deception. Quality Poultry & Seafood Inc. (QPS)—the Gulf Coast's biggest fish wholesaler—admitted to an elaborate con that left customers hook, line, and sinker for mislabeled seafood.

Frozen Foreign Fish Swims as Local Catch

From 2002 to 2019, QPS tricked buyers by passing off frozen imports as premium local species. This wasn't just a case of mixing up labels—the company actively recommended these foreign fish as fake-outs for advertised local catch. Restaurants and shops—thinking they were serving up the real deal—unknowingly passed the farce onto their own customers.

Big Fish Face Even Bigger Consequences

QPS now faces a whopping $1,150,000 in fines and forfeitures—but the company wasn't the only one caught in this net. Two managers pleaded guilty to misbranding charges, while a connected restaurant—Mary Mahoney's Old French House—admitted to selling 58,750 pounds of mislabeled fish over six years. U.S. Attorney Todd W. Gee didn't mince words, warning that such deception "hurts the overall local seafood market and rips off restaurant customers." With sentencing set for later this year, it's clear the punishment for this long-running charade won't be a mere slap on the wrist.

The Battle Against Cargo Theft: Congress & Cyberspace Join Forces

Trucking companies are facing an ever-growing menace: cargo theft. With incidents skyrocketing 57% in 2023 and another 10% in Q1 2024 alone, the industry is fighting back on two fronts: in the halls of Congress and in cyberspace.

Congress Rolls Out the Big Guns

Rep. David Valadao (R-California) spearheads the Safeguarding Our Supply Chains Act, a hard-hitting bill that allocates $100 million from 2025 to 2029 to combat cargo theft. The centerpiece of this legislation is creating the Supply Chain Fraud and Theft Task Force, uniting powerhouses like Homeland Security Investigations, the FBI, and the U.S. Attorney General. Complementing this task force, the act also establishes a Supply Chain Crime Coordination Center to leverage data analysis to identify high-risk areas and vulnerable transport modes. With 925 documented thefts in Q1 2024 alone—averaging $281,757 per heist—this intel-driven approach to combating cargo theft couldn't come at a better time.

Cybersecurity: The Digital Frontline

While Congress gears up, the National Motor Freight Traffic Association (NMFTA) is tackling the digital side of cargo theft. Joe Ohr, NMFTA's COO, warns that cybercriminals are getting craftier, infiltrating load boards and exploiting connected devices. Phishing attacks, ransomware, and vulnerable telematics systems only scratch the surface of why the industry must stay one step ahead. So what is Ohr's battle plan? Encrypt everything, implement multi-factor authentication, and segment networks. He also emphasizes real-time tracking and employee training as crucial defenses.  

Even Brewing Giants Thirst for Better Supply Chain Visibility

Anheuser-Busch, the $40 billion beer behemoth, is tapping into tech to solve a sobering problem: lack of real-time shipment visibility and data. The company recently partnered with Convoy.com, a digital trucking marketplace, in a multi-year deal to make its supply chain flow as smoothly as a freshly poured lager.

From Barley to Bar: Tracking Every Sip of the Journey

Ties Soeters, Anheuser-Busch's VP of logistics procurement, isn't just looking to secure more trucks. He's after the holy grail of logistics: efficiency. The brewer wants to know everything from how long drivers wait at loading docks to which routes waste the most time and fuel. With 21 breweries scattered across the U.S., every minute and mile counts. Soeters believes that by crunching the numbers on these "shipment DNA" data points, Anheuser-Busch can optimize where and when to brew—and can potentially save millions.

Frothy Benefits for Everyone in the Supply Chain

The partnership aims to pour benefits all around. For Anheuser-Busch, it means smarter brewing and distribution decisions. Truck drivers could see more loaded miles and fatter paychecks. Even the oft-maligned middlemen—brokers and carriers—stand to gain from increased transparency and trust. Soeters envisions a future where data-driven decisions lead to better working conditions across the board, a bold vision considering the industry's reputation for inefficiency.  

Why Seeing Through the Fog is Mission-Critical for Pharma Supply Chains

Picture this: You're a pharma exec, and suddenly, you can't get your hands on ethanol or glass vials. Sound far-fetched? It happened in 2020-21, catching many off guard while exposing a glaring weakness in pharma supply chains—a lack of visibility.  

Peering Through the Fog of Complexity

Pharma supply chains are like Russian nesting dolls—layers upon layers of suppliers. Take biobags, those disposable workhorses of biopharmaceutical manufacturing. They rely on at least five upstream supply tiers! While pharma companies buddy up with their Tier 1 suppliers, the view gets murky as you climb higher. By Tier 4, the leading suppliers only hold a 20% market share. It's a fragmented landscape where pharma's needs often play second fiddle to larger industries.

Blind Spots to Foresight

Here's where digital visibility becomes your secret weapon. By mapping out your supply chain's “family tree,” you can spot potential troublemakers—before they cause havoc. Is a key supplier in a politically unstable region? Are they struggling financially? Armed with this intel, you can make smart moves such as finding backup suppliers or tweaking your manufacturing process. It's not just about dodging bullets—it's about building a resilient supply chain that can roll with the punches, and keep your products flowing to patients who need them.

J&J Snack Foods Scores Big with New Distribution Centers

J&J Snack Foods is crushing it with its new regional distribution setup. The food maker's recent move to open three self-owned cold storage facilities is paying off in spades—boosting efficiency and slashing shipping distances.  

Shipping More, Driving Less

J&J's new distribution network is firing on all cylinders, now handling a whopping 85% of the company's orders—up from just 26% a year ago. But here's the kicker: they've managed to cut their average shipping distance by 38%. That's right, J&J is moving more products while covering less ground. It's a win-win that's got CEO Dan Fachner grinning from ear to ear.

Faster, Fresher, Better

With these new distribution centers strategically placed closer to customers, J&J is turning up the heat on their service game. We're talking about higher fill rates, improved on-time performance, and the ability to swoop in when unexpected cravings strike. Plus, they've trimmed their cold storage locations from over 12 to just 10, further streamlining their operation. The result? On-time delivery rates have jumped from 73% to over 82% in just one year.

Untangling the Supply Spaghetti: Tive's Recipe for Logistics Clarity

Today's supply chains present many challenges, but Tive is here to transform your logistics from a murky pond into a crystal-clear stream of efficiency.

  • Trackers: Revolutionize your shipment tracking with Tive's advanced Solo 5G and Solo Lite trackers, offering real-time location and condition monitoring to ensure the security and integrity of your cargo.
  • Tive Tag: Enhance perishable shipment protection with Tive Tag—an affordable and reusable paper-thin temperature logger—to verify that your goods have remained pristine throughout transit.
  • Platform: Streamline your supply chain management with Tive's intuitive cloud platform, offering comprehensive visibility, analytics, and integration capabilities for seamless shipment tracking and monitoring.
  • Industries: Tive caters to a diverse range of industries, ensuring tailored solutions for unique supply chain challenges—from perishables to high-value goods to transportation and logistics to pharmaceuticals… and beyond.
  • 24/7 Live Monitoring Team: This team is available to help ensure that your shipments are constantly watched over and managed—to guarantee timely and secure delivery.

Arm yourself with innovation: let Tive lead the way in transforming your supply chain operations. Embrace the future of logistics. Get started with Tive today.

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