Santa Barbara ASIS Chapter2000 Security Threats Survey
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We join with those who mourn the loss of life,  the injuries, and the disruption of lives caused  by the attacks  against Washington,  DC, and  New York, N.Y.    All those effected -- the brave people who helped in rescue efforts, those involved in America's response to terror and in the war with Iraq-- are in our thoughts and prayers.

by Bob Little
Pinkerton Security Services, Inc.

Internet Security Rises to No. 2 Concern in Annual Pinkerton Study
Workplace violence is considered the most significant security threat to American business, according to a seventh-annual survey of Fortune 1000 corporate security professionals by Pinkerton, the nation's largest security services company. Violence in the workplace costs employers $36 billion annually and results in three deaths daily plus thousands of injuries each year, as reported by the Workplace Violence Research Institute and the U.S. Department of Justice, respectively. In addition, concerns about Internet and network security jumped to second in 2000 from seventh last year. The study, Top Security Threats and Security Issues Facing Corporate America, identified the following
top 10 security threats (in rank order):

1.  Workplace violence
2.  Internet/intranet security
3.  Business interruption/disaster   recovery (tie)
4.  Fraud/white-collar crime
5.  Employee selection/screening concerns
6.  General employee theft
7.  Unethical business conduct
8.  Hardware/software theft
9.  Drugs/alcohol in the workplace
10. Sexual harassment

The threat of workplace violence also ranked No. 1 in Pinkerton's survey last year, but is an even greater concern today, with an average importance score 10 percent higher than in 1999. In addition, nearly  one-third of the respondents specifically observed an increase in the  number of violent incidents in their companies. More than 2 million  people suffer violence or threats of violence at the workplace or while on duty each year, though more than half the acts go unreported, according to U.S. Justice Department estimates. "The financial and personal impact of workplace violence on a corporation can be devastating," said Ray T. O'Hara, vice president, Pinkerton Consulting and Investigations, a workplace violence training and awareness expert.  "Although employers often perceive violence as random and unpredictable, the co-worker who 'snaps without warning' is a rarity. Rather, an employee usually telegraphs discontent or anger well in advance through disruptive or threatening acts. The unfortunate irony is that managers usually know which employees pose the greatest apparent risk of  violence, yet do not intervene for fear they may be overreacting. "Companies can minimize the likelihood of tragedy by being proactive.

Besides effective pre-employment screening to identify high-risk applicants, companies can help employees recognize threats and warning signs, establish a hotline to enable co-workers to report concerns and respond early to employees who demonstrate erratic or anti-social behavior," said O'Hara.
 
 

Internet/Intranet Security Concern Up Dramatically

The second-most important security concern identified by the survey is the potential threat to Internet sites and computer networks. The well-publicized viruses, software bugs and hacking incidents in 1999 and in early 2000, and the Y2K preparation frenzy, have clearly heightened  management's awareness of the vulnerability to external and internal abuses. Reinforcing this finding, a 1999 study by the Computer Security  Institute found that 96 percent of companies experienced "insider abuse of  network access" and 91 percent faced destructive computer viruses.

"The potential for theft of trade secrets and customer information, damage to sensitive data and interruption of commerce presents unprecedented vulnerability to businesses," said Pinkerton President Don W. Walker. "In response to these threats, we see greater collaboration between corporate security executives and information technology professionals to design and implement integrated physical and data security programs that better protect computer networks and control the exchange of information."

Other Noteworthy Findings

*Seven of the top 10 security threats are internal (i.e., employee-related) concerns.

*Workplace violence is the No. 1 security threat among manufacturers,
business-service companies and utilities. Retailers, however, were more  concerned about general employee theft than violence in the workplace, which ranked second in the sector.

*Despite concerns about violence and employee crime, approximately 20 percent of Fortune 1000 companies said they do not consistently perform criminal-records checks on job applicants.

*The top management challenge facing security professionals is keeping up with advances in technology, specifically the selection and integration of access control, monitoring, incident management and other electronic systems to reduce risk.

*Nearly 40 percent of respondents anticipate increased funding for security programs, while half expect budgets will be unaffected over the next several years, signaling management's recognition of the vital contribution of the corporate security function to maintaining the overall health of the organization.

Reflecting the significance of Pinkerton's annual survey in the security
industry, more than 22 percent of 1,300 mailed questionnaires were
completed, representing nearly 28 percent of Fortune 1000 companies. Readers may request a copy of the survey by calling Pinkerton at (800)
232-7465 or visiting the company's Web site, www.pinkertons.com

Pinkerton is a leading provider of security solutions, including uniformed security officers, consulting and investigations, business intelligence, security-systems integration and employee selection services. Founded 150 years ago by industry pioneer Allan Pinkerton, the company lists more than 80 percent of the Fortune 1000 as its clients and has its U.S. headquarters in Westlake Village, Calif. Pinkerton is part of the
Securitas Group of Stockholm, Sweden, a world leader in the security industry, with annual revenues exceeding $4 billion and 140,000 employees in more than 32 countries throughout North and South America, Europe and Asia.
 

[Webmaster's Note:  This articicle originally appeared in the April 2000 issue of the ASIS Santa Barbara Chapter Newsletter.]

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All Rights Reserved.  Copyright © 2000 by Bill Uttenweiler.  Last Updated:  April 26, 2000.