Human Resources: Executive Summary: Corporate Security

Without a doubt, the terrorist attacks of September 11, 2001, altered the nation's outlook on security, elevating this issue to one of primary concern. Many in the U.S. now live on tenterhooks, wondering if the outcome of the next mass media special report will bring a sigh of relief or a call to respond to tragedy.

These strikes changed how employers evaluate risks and plan ahead, as well as how safe and secure employees may feel on the job. Glynn Spangenberg of Qualcomm says that "the need to protect our families and businesses has risen in prominence in our society, becoming intrinsically woven into the way Americans live and work." The nation mobilized much as it did in 1941, when Pearl Harbor inspired the sentiment "Never again." This time around, border restrictions tightened, the Department of Homeland Security was organized, and the War Against Terror was initiated.

Events both before and after 9/11 demonstrated that disaster could strike from a variety of sources - foreign insurgent groups, a nation's own citizens, lapses in technology, bioterrorist threats or the forces of Mother Nature. The Oklahoma City tragedy of 1995 showed that those who lash out may be U.S. nationals, posing threats even from within our own borders. Then just as we were rebounding from the first outbreak of major domestic terrorism, anthrax infections broke out through one of the nation's lifelines - the U.S. mail. The August 2003 blackout that powered down most of the Northeast proved the vulnerability of the nation's power grid. Shipping ports, chemical plants and nuclear facilities may also be at considerable risk.

Beyond man-made disasters, nature may level blows in the form of tsunamis, hurricanes, tornadoes, blizzards, floods, earthquakes or volcanic eruptions. Heightened awareness and strategizing can help companies prepare, but man-made catastrophes are likely and natural disasters are inevitable. So when employers craft their programs, recovery and business continuity plans are stark but necessary realities.

The three key concerns of corporate security are safeguarding the workforce, protecting physical assets and information technology, and planning for business continuity. Following 9/11, employees and companies close to the strikes experienced what they might not have encountered in their worst nightmares, yet many rebounded. For example, the New York Stock Exchange was operational in record time.

Preparation varies by industry, but shortcomings in readiness could have a domino effect. One strike against a major U.S. port could cripple shipping, cut off imports and exports and bring manufacturing to a halt. A major attack against a chemical or nuclear plant could kill millions. Experts have named these sites as potential targets and warned that many have not taken proper security measures.

In 2005, U.S. companies may spend as much as $50 billion on corporate security and intelligence-gathering, the investment firm Morgan Keegan estimates. Some companies have realized that just having a plan is not sufficient - it must be comprehensive and then be tested to prepare for the worst. For example, the 2003 blackout served as a learning experience for many IT firms to test backup systems, evaluate generator operation and store enough fuel to power up through lengthy outages.

As one example of positive response, "disaster is one of the fastest-growing fields in academia," the New York Times reports. Following 9/11, many colleges and universities expanded their offerings to include homeland security studies. In 2004, the Department of Homeland Security provided $70 million in grant funds. These new interdisciplinary programs instruct students how to psychoanalyze such criminals, manage crowds and retain composure in front of the media. Graduates of these programs will have much to offer their employers.

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The Institute for Corporate Productivity (i4cp, inc.) improves corporate productivity through a combination of research, community, tools and technology focused on the management of human capital. With more than 100 leading organizations as members, including many of the best-known companies in the world, i4cp draws upon one of the industry’s largest and most-experienced research teams and Executives-in-Residence to produce more than 10,000 pages annually of rapid, reliable and respected research and analysis surrounding all facets of the management of people in organizations. Additionally, i4cp identifies and analyzes the upcoming major issues and future trends that are expected to influence workforce productivity and provides member clients with tools and technology to execute leading-edge strategies and "next" practices on these issues and trends. i4cp is a for-profit company with offices in St. Petersburg, Florida.