Those
executives who cover security at industrial and manufacturing enterprises see a
lot more today including the impact of the economy, metal theft and more
sophisticated employee threats.
For example, Terry
Vannarsdale, CPP, field security manager at the Great Lakes Business Unit of
Coca-Cola Enterprises, said, “In an industrial/manufacturing organization, I
see the security mission as one of protection, deterrence and investigation of
policy violations. With the current condition of the economy you see a lot more
crimes against these organizations. Externally you see persons coming onto
company property to steal precious metals, recyclables and product. In the
vending business, you see more thefts from and damage to vending machines. This
type of theft is a major problem to these types of companies and can cost them
millions of dollars a year. Internally employees at all levels of the company
have committed fraud and theft, Sarbanes-Oxley violations and misappropriations
of company assets.”
It was simpler in
the old days…or was it?
For the few security
history buffs, if you think that private security in the United States started
with Allan Pinkerton and his firm, with its “never sleeps” motto, there is a
different industrial twist in the narrative.
If you can forget
Pinkerton’s involvement in the Pullman Strike, the Wild Bunch Gang (not the
movie but the reality show) and the Ludlow Massacre, then meet Henry Ford, who,
some say, established the first proprietary industrial security department.
That probably started in the 1920s. Depending upon what history
book you read or to whom you talk, the beginning involved Henry, his children,
the Black Hand, Prohibition and a “mean father” streak.
The boys from ,
saw money to be made to ferry booze into .
The boys in
were thirsty. The bad boys of ,
called the Black Hand, saw an export business. Henry, bless his heart, fought
against liquor. The Black Hand threatened to harm Henry’s kids. As any
law-abiding person, Henry decided to make friendly with the Black Hand. He
hired them and set up the Psychological Department. Those Ford boys would go
house-to-house to make sure that employees were with their families and not
drunk.
No irony there.
After that exciting
start, Ford hired Harry Bennett, a former boxer and ex-Navy sailor. His
reputation of doing Henry’s “dirty work” is what most people remember. He is
best known as the head of Ford’s Service Department, or Internal Security, an
evolution of the Psychological Department..
Well, industrial security has come a long way.
Thanks to folks such
as Vannarsdale.
“In order to protect the company from external and internal
security risks, the security manager must attempt to secure the company’s
assets while balancing the cost. Improved and increased security is great as
long as the cost does not bankrupt the company.”
For security
executives at industrial and manufacturing facilities, the mission goes beyond
physical security. Today there also are concerns centering on information and
data security.
Said Vannarsdale, “
The company’s computer systems need protection from attackers within as well as
outside the company. This protection from hackers is often through firewalls
and other system security programs. Employees are given access to only that
part of the system they have authority to utilize. The IT personnel are
responsible for the protection of the company’s information system.”
There is also more
focus on value and return of investment. Which gets around to the need to
prevent losses.
“Deterrence is a
good method and can be the least expensive method to protect the company from
most security risks. Deterrence can include posters and signs posted around the
facility indicating that cameras are in use as well as alarms to signal an
intruder is on the premises. Deterrence can also include crime prevention by
way of environmental design. Through crime prevention through environmental design
or CPTED, you can use the environment around the facility to deter the belief
that a crime can be committed without being detected. Within the company,
hotlines can be utilized for employees to anonymously report company
violations.”
Knowing the company,
its business mission and culture all are important to chief security officers.
For example, “Within
my company, it is the security manager’s responsibility to investigate crimes
against the company and company violations,” said Vannarsdale. “Because of
this, the security manager must either know all aspects of the company or know
who to go to for assistance. In most cases the security manager knows more
about how the company operates then most of the employees. The security manager
works with the human resources department in the investigation.”
On the industrial
security side, technology now plays a significantly greater role than those
Henry Ford days.
Added Vannarsdale,
“In any organization security technologies can always be improved. With the constant
improvement and upgrade of security technologies, an organization is always
behind in security systems, cameras, card access, etc. Security technologies
help to protect the integrity of the manufacturing process, the security of the
facility and the safety of our employees.
“Within our company card access systems ensure that unauthorized
persons do not enter various parts of the facility. Entrance to cash rooms,
product storage and manufacturing supplies are restricted to limited personnel.
Alarm systems are used to alert security services if an office or building is
breached during non-operation hours. Security video is used to record activity
around and within the facility for later retrieval.
“Security
technologies have improved immensely and continue to improve daily. Global
positioning systems (GPS) in company telephones can tell us where our employees
are. GPS on our company vehicles tell us if the delivery or service vehicle has
strayed from its assigned area.
“Today I can view the cameras of eight production and sales
centers from my laptop anywhere in the world. I can see who is accessing what
doors in most of my facilities. If an incident occurs I can review these
systems from my laptop. In the last five years I have seen security organizations
institute certification programs in investigations, physical security and loss
prevention. Security has become a constant partner within the larger companies,
in many cases being their own department with a seat at the corporate level.
While security may not make money for the company, it surely saves the company
money beyond its own cost. Smaller companies have seen the need to consult with
security agencies and the need to install security technologies that are
affordable to them. Within the next five years we will see security reach new
heights in protection of company assets and employees.
“For security
technologies, in my opinion I see functionality, cost, and reliability as the
most important emerging trend that will impact security executives in the
industrial/ manufacturing organizations. Is it functional? Will it conform to the companies needs? Is it cost effective?
Can I purchase it without bankrupting the security budget? Is it reliable? Will
it be operational for years with minimal service calls for repairs or
replacements? Can I get upgrades at minimal cost?”
There also is a
closer relationship between the enterprise and the security operation.
Observed
Vannarsdale, “The security manager is a partner to the business owner. Both are
trying to preserve the company and ensure that the company’s profits are not
being eroded through theft, misappropriation of assets or violations of company
policies. The security manager needs an understanding of business and its needs
and limitations. The security manager needs to understand why certain business
decisions are made and make the best security decision based on that.”
After the impact of
September 11th, however, there has been increased interest in protecting
industrial and manufacturing facilities.
That’s the case in Canada as well as the United States.
In Canada, for
instance, the Ministry of Community Safety and Correctional Services is in the
process of developing a training and testing program to meet the requirements
of the Private Security and Investigative Services Act, 2005 (PSISA), which
aims to help professionalize the security industry by ensuring individual
licensees are qualified to provide protective services. The Private Security
and Investigative Services Branch advises that the training curricula for
security practitioners and is available on the ministry’s Web site at www.ontario.ca/private-security.
In the ,
organizations such as ASIS International are talking about more industrial
security awareness, too.
There also is
federal government programs that push industrial security. The National
Industrial Security Program (NISP) has an NISP Operating Manual (NISPOM). The
NISPOM was developed in close coordination with industry and represents a
concerted effort on behalf of hundreds of individuals throughout the Executive
Branch and industry.
NISPOM represents
the beginning of a new industrial security process.