Why the Logistics Sector Must Embrace Digital Security
Fraud still has too much room to operate in logistics. It’s not a new problem, but it’s one that can no longer be ignored. For too long, fraudsters have had an easy ride in this sector. A recent poll I conducted among more than 100 logistics professionals brought this into focus once again:
- 37% reported shipment or delivery delays
- 26% faced extra costs like demurrage and fees
- 20% lost customer trust
- 17% experienced an increase in workload
And these numbers only reflect errors and omissions. When deliberate deception is added to the mix, the impact becomes even more severe. While much of the industry has embraced digital transformation, the control mechanisms around these processes remain reactive and exposed. That’s a dangerous gap.
So what can be done? In this article, I’ll explore that question and where the answers might lie.
Where fraud starts
Fraud in logistics almost always starts with a document that looks perfectly legitimate. A permit, an invoice, a piece of customs paperwork. It passes through the system because, at first glance, everything seems in order. I’ve heard countless stories where forged documents went unnoticed simply because they “looked fine.” But appearances are not proof.
Relying on how something looks rather than verifying what it actually is can be a dangerous assumption. And each fake that slips through carries consequences: financial loss, operational disruption, and damage to customer trust. By the time anyone realises what’s happened, the money is gone, the container is missing, or the client is already looking elsewhere. Recovery is difficult.
Limitations of manual checks
Many companies still rely on quick visual inspections or side-by-side document comparisons. That might have worked in the past, but today’s forgeries are far more advanced. QR codes, digital signatures, and even watermarks can be faked with surprising accuracy. When processes vary between teams or sites, it becomes even easier for a fake to get through. Even experienced staff can miss them without proper safeguards.
That’s why trust alone isn’t enough. In logistics, trust has always been part of the culture. But without verification, it turns into a risk. With new partners and subcontractors entering the chain all the time, verification isn’t a matter of suspicion. It’s how you maintain speed, accuracy, and compliance in a fast-moving and increasingly complex system.
Digital verification
Despite its advantages, digital verification still isn’t widely used in logistics. Yet these systems can check documents and identities against trusted sources in seconds, delivering consistent results across teams and locations. Whether it’s confirming if a license is valid, checking a permit’s expiry date, or matching an invoice to a recorded transaction, digital verification is faster, more reliable, and far less prone to human error than manual inspection.
Drivers for adoption
The poll highlights the main pain points: delays, unexpected costs, lost customer trust, and growing workloads. And at the core of many of these issues are weak or inconsistent document checks. Stronger verification doesn’t just prevent fraud. It also reduces errors, speeds up processing, and delivers the kind of verified data that regulators increasingly expect.
Implementation approach
Moving to structured verification doesn’t require a complete overhaul. Start by identifying where manual checks are still used, especially for high-risk documents like permits, IDs, and invoices. These are the most common entry points for fraud and the most urgent to secure. Once these areas are covered, the same approach can be extended to other documents and partners. The key is to stop assuming that long-standing processes are still enough.
Broader operational benefits
Verified data changes the way operations run. I’ve seen it help teams resolve disputes faster, create more accurate reports, and improve communication across the supply chain. When everyone works from the same trusted information, delays go down, unexpected costs are reduced, and it becomes easier to maintain customer trust. This isn’t just about keeping fraudsters out. It’s about making the entire operation more predictable, efficient, and transparent.
Challenges and considerations
Adopting verification systems takes planning. They need to fit into existing workflows, follow data privacy regulations, and include proper staff training. And because fraud tactics are constantly evolving, these systems require regular updates to stay effective.
Fraudsters adapt quickly when they spot gaps. Outdated or inconsistent document checks make that easy. Digital verification won’t fix every security issue, but it’s one of the most effective tools we have.
Choosing not to use it means accepting delays, extra costs, lost trust, and rising workloads. The logistics sector can either keep letting fraudsters ride along or start making it much harder for them to get on board. I know which choice I’d make.
Author Bio
Casper Luchies is an Account Executive and SDR Team Lead at Klippa, where he helps organisations optimise their document workflows with Intelligent Document Processing solutions. With a background in business development, operations, and sales leadership, he has worked internationally to streamline processes, strengthen customer relationships, and drive growth. Casper enjoys exploring how AI and technology can help businesses solve challenges, work smarter, and create new opportunities, always with a focus on practical impact and long-term results.
Header image by Michael Förtsch on Unsplash
