This document discusses justifying physical security investments and solutions. It begins by outlining the current economic realities and areas of loss organizations face from employee fraud, organized retail crime, insurance fraud, and workplace violence. It then discusses the fraud triangle of opportunity, temptation and rationalization that can lead to negative behaviors. The document advocates for physical security as a form of risk management and outlines various physical security solutions to mitigate threats. It argues physical security should be viewed as an investment with a return through reducing losses from crime and liability.

1. Justifying Physical SecurityJustifying Physical Security
James McDonaldJames McDonald

2. Topics
• Today’s Economic Realities
• Areas of Loss, The New Numbers
• Opportunity, Temptation and the Fraud Triangle
• Physical Security Budget Policies
• Physical Security = ?
• Today’s Physical Security Solutions
• Best Way to Achieve Your Return on Investment
• The Best Process for Success
• Maximizing Proactive Physical Security Technology
• Questions & Answers

3. ,
Today’s Economic RealitiesToday’s Economic RealitiesToday’s Economic RealitiesToday’s Economic Realities

4. Economic Realities JobsEconomic Realities JobsEconomic Realities JobsEconomic Realities Jobs
• During the 31 months from
December 2007 through June
2010, the total number of
mass layoff events was
61,852, and the associated
number of initial claims was
6,213,880.
• Today unemployment is at
9.5% and an additional 7% of
Americans are either holding
part-time positions or no
longer looking for work so
they are no longer even
counted as unemployed.

5. Economic RealitiesEconomic RealitiesEconomic RealitiesEconomic Realities
Commercial Real EstateCommercial Real EstateCommercial Real EstateCommercial Real Estate
• Vacancies in the US
retail industry rose to
their highest level in at
least a decade.
• Office vacancy
rates are now at their
highest level in 16
years.
• Source: Reis Inc. 4-7-2010

6. Economic RealitiesEconomic RealitiesEconomic RealitiesEconomic Realities
Residential Real EstateResidential Real EstateResidential Real EstateResidential Real Estate
• Existing Home Sales Dive
27.2% to 15-Year Low*
• Sales of new homes
unexpectedly sank 12.4%
in July to the lowest point
since government records
starting being kept in
1963.**
Source: *Published August 24, 2010
Reuters. **Published August 27,
2010, Los Angeles Times

7. Economic Realities GovernmentEconomic Realities GovernmentEconomic Realities GovernmentEconomic Realities Government
• August 2010 - The Congressional Budget Office
(CBO) estimates that the federal budget deficit for
2010 will exceed $1.3 trillion—$71 billion below
last year's total and $27 billion lower than the
amount that CBO projected in March 2010, when
it issued its previous estimate.
• Relative to the size of the economy, this year's
deficit is expected to be the second largest
shortfall in the past 65 years: At 9.1 percent of
gross domestic product (GDP), it is exceeded only
by last year's deficit of 9.9 percent of GDP.

8. Economic Growth Rate DowngradedEconomic Growth Rate DowngradedEconomic Growth Rate DowngradedEconomic Growth Rate Downgraded
• Economic Growth RateEconomic Growth RateEconomic Growth RateEconomic Growth Rate
Downgraded to Anemic 1.6 PercentDowngraded to Anemic 1.6 PercentDowngraded to Anemic 1.6 PercentDowngraded to Anemic 1.6 Percent
in Second Quarterin Second Quarterin Second Quarterin Second Quarter ---- August 27, 2010August 27, 2010August 27, 2010August 27, 2010
• WASHINGTON – The
Commerce Department is revising
downward the economic growth
from April to June to 1.6 percent
annualized -- a decline from the
original 2.4 percent forecast and
much slower than the 3.7 percent of
the first quarter 2010.
• Source: FOX NEWS

9. How Can These Economic
Realities Affect Your Security?
• The Goal of Most Business Owners, Management,
Loss Prevention Staff, Asset Management and
Security Teams is to
– PredictPredictPredictPredict Loss,
– PreventPreventPreventPrevent Loss and
– ProtectProtectProtectProtect Company Assets!

10. Watch Out America!Watch Out America!Watch Out America!Watch Out America!
• Cutbacks force police toCutbacks force police toCutbacks force police toCutbacks force police to
curtail calls for somecurtail calls for somecurtail calls for somecurtail calls for some
crimescrimescrimescrimes.
– “Budget cuts are forcing police
around the country to stop
responding to fraud, burglary
and theft calls as officers focus
limited resources on violent
crime.”
Source: USA Today, August 24 2010

11. AREAS OF LOSS, THE NEWAREAS OF LOSS, THE NEWAREAS OF LOSS, THE NEWAREAS OF LOSS, THE NEW
NUMBERSNUMBERSNUMBERSNUMBERS
Employee Fraud & Abuse, Organized Retail Crime, Insurance
Fraud, Workplace Violence, Thoughts on Crisis Management

12. 2010 Report to the Nations2010 Report to the Nations2010 Report to the Nations2010 Report to the Nations
• Estimated that the
typical organization
loses 5%5%5%5% of its annual
revenue to fraud.
• Applied to the estimated
2009 Gross World
Product, this figure
translates to a potential
total fraud loss of more
than $2.9$2.9$2.9$2.9 trillion.

13. 2010 Report to the Nations2010 Report to the Nations2010 Report to the Nations2010 Report to the Nations
• Asset misappropriation schemes were the most common
form of fraud in our study by a wide margin, representing
90% of cases.
• The median loss caused by the occupational fraud cases in
their study was $160,000. Nearly one-quarter of the frauds
involved losses of at least $1 million.
• The frauds lasted a median of 18 months before being
detected.
• Victim organizations that had Anti-Fraud controls in place
had significantly lower losses and time-to-detection than
organizations without the controls.
• Read More at www.ACFE.com

14. 2010 ORC Survey2010 ORC Survey2010 ORC Survey2010 ORC Survey
• According to Congressional
testimony and industry
experts, ORC losses in the
USA total an estimated $15$15$15$15----
30 billion annually.30 billion annually.30 billion annually.30 billion annually.
• This year’s survey features
responses from 124
executives representing
department/large box stores,
discount, drug, grocery,
restaurant and specialty
retailers.

15. What is ORC?What is ORC?What is ORC?What is ORC?
• Organized Retail Crime (ORC) refers to groups,
gangs and sometimes individualsindividualsindividualsindividuals who are
engaged in illegally obtaining merchandise
through both theft and fraud in substantial
quantities as part of a criminal enterprise.
• These crime rings generally consist of “boosters” -
who methodically steal merchandise from retail
stores – and fence operators who convert the
product to cash or drugs as part of the criminal
enterprise or individuals working on their ownindividuals working on their ownindividuals working on their ownindividuals working on their own....

16. Where Do The Products Go?Where Do The Products Go?Where Do The Products Go?Where Do The Products Go?
• Online marketplaces, such as websites and
online auction sitesonline auction sitesonline auction sitesonline auction sites, are providing a national or
even international platform to liquidate goods.
• The most popular items targeted by these
groups are goods in high demand
commanding up to a near-retail resale price,
such as designer clothing, gift cards, over-the-
counter medicines, electronics, batteries or
whatever your company inventories.

17. How ORC WorksHow ORC WorksHow ORC WorksHow ORC Works

18. What’s New for 2010What’s New for 2010What’s New for 2010What’s New for 2010
• When asked, “Within the past year, what
trends in organized retail crime have you
noticed,” answers included:
– Less fear of getting caught
– Smash and grab activity significantly increased
– Criminals are getting more violent, more bold
– Steady increase in activity

19. 2010 Insurance Fraud2010 Insurance Fraud2010 Insurance Fraud2010 Insurance Fraud
• Aug. 2, 2010 — The National
Insurance Crime Bureau (NICB)
Reports 14 Percent Rise in First
Half 2010 Questionable Claims.
• The report examines six referral
reason categories of claims—
property, casualty, commercial,
workers’ compensation, vehicle
and miscellaneous.

20. Workplace ViolenceWorkplace ViolenceWorkplace ViolenceWorkplace Violence
• There have been enough
incidents of workplace violence
over the past two decades — 500
to 1,000 workplace homicides a
year, according to the U.S.
Bureau of Labor Statistics, plus
countless assaults, threats and
coercive acts — that a body of
research has developed on the
subject, and it includes data on
the harm done to those who
witness the violence.

21. CRISIS MANAGEMENTCRISIS MANAGEMENTCRISIS MANAGEMENTCRISIS MANAGEMENT
• In the past two decades, crisis
management has become one of the
fastest emerging of the business sciences.
• The reason for this interest is that a single
crisis—any unexpected, negative event that
could impair an organization—could lead to
a loss of life as well as injure the reputation
and profitability of a business. Develop a
Plan, it could save your organization.

22. A Crisis Can Cost Billions of DollarsA Crisis Can Cost Billions of DollarsA Crisis Can Cost Billions of DollarsA Crisis Can Cost Billions of Dollars

23. Workplace Violence PlanWorkplace Violence PlanWorkplace Violence PlanWorkplace Violence Plan
• Part of your Crisis Management Plan should
include dealing with a Workplace Violence.
• Allow employees control to help reduce stress.
• Train managers and employees to resolve
conflict in a peaceful manner.
• Implement security programs that protect
employees from internal and external risk.
• Provide counseling for laid-off employees.

24. Workplace Violence PlanWorkplace Violence PlanWorkplace Violence PlanWorkplace Violence Plan
• Create a supportive work environment in
which violence is not tolerated.
• Develop managers that respect workers.
• Train supervisors to recognize signs of a
troubled employee.
• Provide personal counseling for workers.
• Establish procedures for handling grievances.

25. OPPORTUNITY, TEMPTATIONOPPORTUNITY, TEMPTATIONOPPORTUNITY, TEMPTATIONOPPORTUNITY, TEMPTATION
AND THE FRAUD TRIANGLEAND THE FRAUD TRIANGLEAND THE FRAUD TRIANGLEAND THE FRAUD TRIANGLE
Why do many of these negative behaviors happen?

26. OPPORTUNITY &OPPORTUNITY &OPPORTUNITY &OPPORTUNITY &
TEMPTATIONTEMPTATIONTEMPTATIONTEMPTATION

27. Fraud TriangleFraud TriangleFraud TriangleFraud Triangle
• Dr. Donald R. Cressey
• He was especially
interested in the
circumstances that lead
otherwise honest people
to become overcome by
opportunity & temptation.

28. Fraud TriangleFraud TriangleFraud TriangleFraud Triangle
• The key is that all three
of these elements must
exist for the trust violation
to occur.
• My motivation has
always been to eliminate
the opportunity leg to
create the perception that
if you try you will be
detected.

29. Public View Monitor (PVM)Public View Monitor (PVM)Public View Monitor (PVM)Public View Monitor (PVM)
• In the 1990’s when
Public View
Monitors (PVM)
first showed up a
major C-Store
chain had a 63%
reduction in violent
crime.

30. PHYSICAL SECURITYPHYSICAL SECURITYPHYSICAL SECURITYPHYSICAL SECURITY
BUDGET POLICIESBUDGET POLICIESBUDGET POLICIESBUDGET POLICIES

31. How Do You Budget SecurityHow Do You Budget SecurityHow Do You Budget SecurityHow Do You Budget Security
• Is your Physical Security Budget a
percentage of overall budget?
• Is it a Fixed Cost?
• In many organizations, the cost of physical
security is a shared expense —or at least it
should be.
• Security investments can have two kinds of
payoffs: an improved security picture and an
improved financial picture

32. Security Budget & ROISecurity Budget & ROISecurity Budget & ROISecurity Budget & ROI
• What is the value of an Integrated Physical
Security System to the whole organization?
• How do you justify the expense and what is
the ROI on a new physical security
countermeasure?
• How can a Physical Security System be use
as a Tool for the entire organization?
• “Crede Sed Proba” - “Trust But Verify”

33. Why Do MajorWhy Do MajorWhy Do MajorWhy Do Major
OrganizationsOrganizationsOrganizationsOrganizations
• Install Integrated
Video Surveillance
Systems that go
from 32 Cameras
to 240 Cameras?
There are many
reasons here are
my Top 10!

34. Top 10 Reasons for Physical SecurityTop 10 Reasons for Physical SecurityTop 10 Reasons for Physical SecurityTop 10 Reasons for Physical Security
• Remote Viewing - Multiple Locations
• Workplace Violence
• Security for the Facility
• Improve Employee Productivity
• Policy & Procedure Verification (Security,
Asset Protection, HR, IT, Operations)

35. Top 10 Reasons for Physical SecurityTop 10 Reasons for Physical SecurityTop 10 Reasons for Physical SecurityTop 10 Reasons for Physical Security
• Frivolous Law Suits & General Liability
• Customer/Vendor Theft
• Workers Compensation Fraud
• Employee Theft & Financial Fraud
• Enhancing Risk ManagementEnhancing Risk ManagementEnhancing Risk ManagementEnhancing Risk Management

36. PHYSICAL SECURITY = RISKPHYSICAL SECURITY = RISKPHYSICAL SECURITY = RISKPHYSICAL SECURITY = RISK
MANAGEMENTMANAGEMENTMANAGEMENTMANAGEMENT
Risk Management is the Number One Reason

37. What is Risk Management?What is Risk Management?What is Risk Management?What is Risk Management?
• Risk management is the identification,
assessment, and prioritization of risks,
followed by coordinated and economical
application of resources to minimize, monitor,
and control the probability and/or impact of
unfortunate events.

38. Risk Potential LossRisk Potential LossRisk Potential LossRisk Potential Loss
RISKRISKRISKRISK = [= [= [= [
Threats X VulnerabilitiesThreats X VulnerabilitiesThreats X VulnerabilitiesThreats X Vulnerabilities
] X Assets] X Assets] X Assets] X Assets
Countermeasures TCOCountermeasures TCOCountermeasures TCOCountermeasures TCO
Assets = Anything tangible or intangible that is capable of
being owned or controlled to produce value and that is
held to have positive economic value to the organization.

39. Risk TreatmentsRisk TreatmentsRisk TreatmentsRisk Treatments
• AvoidanceAvoidanceAvoidanceAvoidance (eliminate, withdraw from or not
become involved)
• ReductionReductionReductionReduction (optimize - mitigate)
• SharingSharingSharingSharing (transfer - outsource or insure)
• RetentionRetentionRetentionRetention (accept and budget)

40. 10101010 –––– 80808080 –––– 10 Rule10 Rule10 Rule10 Rule
• The 10The 10The 10The 10----80808080----10 Rule States10 Rule States10 Rule States10 Rule States
– 10% of your employees will never steal from
your organization.
– 10% of your employees will always steal from
your organization.
– 80% of your employees can be influenced,
depending on company culture and the
opportunity and temptation that existed within
the workplace.

41. Optimizing RiskOptimizing RiskOptimizing RiskOptimizing Risk
• The Goal of the Security Program is to choose and implement cost
effective Countermeasures that will mitigate the Vulnerabilities that
will most likely lead to loss.
• You can never remove all Risk and you never be completely secure.
My goal is to Optimize, not Minimize Risk.
• Thru the Optimization of Risk you decide which potential risks are
critical and which are not reasonable. You never ignore any threat
or vulnerability but make a conscious decision that the likelihood of
loss with the value of cannot be cost effectively mitigated.
• Assuming you implement Physical Security Countermeasures that
address your Key Vulnerabilities, just like the 80/20 Rule, when you
apply the 10/80/10 rule, I suggest that you can improve 95% of your
Risk or Potential Loss with 5% of the effort.

42. TODAY’S PHYSICAL SECURITYTODAY’S PHYSICAL SECURITYTODAY’S PHYSICAL SECURITYTODAY’S PHYSICAL SECURITY
SOLUTIONSSOLUTIONSSOLUTIONSSOLUTIONS
Solutions to mitigate the organizations risk and reduce opportunity and
temptation. Video, Access Control, Network Communications, Cabling
Infrastructure, Visitor & Employee Management, Monitoring & Control
Rooms, Design, Installation, Integration, Training and Maintenance.

43. Physical Security SolutionsPhysical Security SolutionsPhysical Security SolutionsPhysical Security Solutions
• Physical security is not a modern
phenomenon since before the time of the
Roman Empire physical security exists in
order to deter threats and vulnerabilities
from entering or damaging a physical facility
or asset. Historical examples of physical
security include city walls, moats, etc.

44. Physical Security SolutionsPhysical Security SolutionsPhysical Security SolutionsPhysical Security Solutions
• Physical security today describes both counter-
measures that protect all assets, personnel and prevent
or deter attackers from accessing a facility, resource, or
information stored on physical media and guidance on
how to design structures to resist various hostile acts.
• To create an environment that gives the potential
perpetrator the “Perception of Detection”“Perception of Detection”“Perception of Detection”“Perception of Detection”
• It can be as simple as a locked door or as elaborate as
multiple layers of armed Security Guards.

45. Video Surveillance MarketVideo Surveillance MarketVideo Surveillance MarketVideo Surveillance Market
• The US surveillance market contains a complex
system that includes cameras, storage,
software, miscellaneous hardware, and
professional services. Traditional analog
solutions increasingly face challenges from
newer IP products. New technologies such as
high-definition cameras are spurring growth.
United States Market is Estimated at $17 Billion
for 2010.

46. Get the Full Picture
Intrusion
Detector
Access
Control
Asset
Protection
Digital Video
Operators Station
with Off-Site
Monitoring
Elevator
Access
Control
Parking
Access
Control
Visitor
Management
Station
Sprinkler/
Waterflow
Monitor
Fire Alarm Control
Panel
Smoke Detector Manual Pull
Station
Compliance Horn/Strobe

47. Video SolutionsVideo SolutionsVideo SolutionsVideo Solutions
• CamerasCamerasCamerasCameras
– Analog Cameras
– IP Cameras
– Mega Pixel Cameras
– HD Cameras
• VCRs, DVRs and NVRsVCRs, DVRs and NVRsVCRs, DVRs and NVRsVCRs, DVRs and NVRs
• MonitorsMonitorsMonitorsMonitors
• EncodersEncodersEncodersEncoders
• Mass StorageMass StorageMass StorageMass Storage
• TransceiversTransceiversTransceiversTransceivers

48. Video AnalyticsVideo AnalyticsVideo AnalyticsVideo Analytics
• Most video is recorded only for use when an
incident arises. In this case, video would
then be analyzed at the date and time of the
incident and used for prosecution purposes.
• This process has its drawbacks as there is a
lot of recorded video and security personnel
will need to sort through the irrelevant
recorded data to find the appropriate
recorded video for the incident.

49. Video AnalyticsVideo AnalyticsVideo AnalyticsVideo Analytics
• With Video Analytics and Intelligent Video
Surveillance (IVS) software, security
personnel can record only relevant data
and be able to access it quicker when
needed.
• Live viewing can also be more productive
and proactive as live security alerts can be
configured to notify security personnel
when threats are detected on camera

50. Access ControlAccess ControlAccess ControlAccess Control
• Control PanelsControl PanelsControl PanelsControl Panels
• Door Systems and LocksDoor Systems and LocksDoor Systems and LocksDoor Systems and Locks
• BiometricsBiometricsBiometricsBiometrics
• ReadersReadersReadersReaders
• Barriers and GatesBarriers and GatesBarriers and GatesBarriers and Gates
• TurnstilesTurnstilesTurnstilesTurnstiles
• Other SensorsOther SensorsOther SensorsOther Sensors

51. Intrusion SystemsIntrusion SystemsIntrusion SystemsIntrusion Systems
• Property crime makes up slightly more than three-
quarters of all crime in the United States
• Among burglaries of nonresidential structures when
time of occurrence was known, 58.0 percent
occurred at night.
• Intrusion Alarm SystemsIntrusion Alarm SystemsIntrusion Alarm SystemsIntrusion Alarm Systems offer flexible protection
against internal and external theft. When your
security staff can’t be everywhere at once—your
security system can. Include digital, audio and
video within your system.

52. Alarm & MonitoringAlarm & MonitoringAlarm & MonitoringAlarm & Monitoring
• Fire & Life Safety
• Alarm Monitoring Solutions
• Control Rooms
• Crisis Operations Center
• Physical Security Information Management
(PSIM)
• Real-Time Situational Awareness
• End-User System, Integration, Monitoring
and Alerts

53. Network CommunicationsNetwork CommunicationsNetwork CommunicationsNetwork Communications
• Local Area Networks (LANs)
• Wide Area Networks (WANs)
• Line Costs
• Cabling and Power Supplies
• Infrastructure and Maintenance

54. Fire ProtectionFire ProtectionFire ProtectionFire Protection
• Every year fires cost businesses more
than $10 billion in damage and injure more
than 17,000 people.
• I recommend a full-service company that
offers full-fire protection system, providing
multiple services, simplifying compliance
tracking and emergency service.

55. Design & IntegrationDesign & IntegrationDesign & IntegrationDesign & Integration
• Engineering & Design
• Infrastructure Upgrades
• Hardware & Software Solutions
• Deployment Planning
• Integration Engineering
• Administration
• Maintenance Solutions
• Initial & Continuous User Training and
Awareness

56. Integration & MonitoringIntegration & MonitoringIntegration & MonitoringIntegration & Monitoring
• Today’s enterprise system approach integrates
intrusion, automatic fire alarm, video surveillance,
access control and monitoring into a single, user-
friendly platform. Accessible in Real-Time.
• You can also include other critical systems such
as HVAC, IT Data Centers, Restaurant Freezers
or anything that can send a signal from a detector,
which can send an alert that can be confirmed by
the system, by you or by a third party vendor.

57. Who Should You Choose?Who Should You Choose?Who Should You Choose?Who Should You Choose?
• National RelationshipsNational RelationshipsNational RelationshipsNational Relationships
– Covering All Major US
Cities Offering Installation,
Service and Maintenance
• Full Service CapabilitiesFull Service CapabilitiesFull Service CapabilitiesFull Service Capabilities
– Site Survey, Design &
Engineering
– Installation, Maintenance,
Monitoring and High
Security
• Full SpectrumFull SpectrumFull SpectrumFull Spectrum
– Access Control
– Intrusion Detection
– Remote Video
Surveillance
– Central Station
– Fire

58. American Alarm

59. BEST WAY TO ACHIEVE YOURBEST WAY TO ACHIEVE YOURBEST WAY TO ACHIEVE YOURBEST WAY TO ACHIEVE YOUR
RETURN ON INVESTMENTRETURN ON INVESTMENTRETURN ON INVESTMENTRETURN ON INVESTMENT
Include Everyone (All Departments) in the Assessment phase, Use the
security tools eliminate Opportunity & Temptation, Capture Direct & In-
Direct Benefits, Capture Costs, Analyze Cost & Benefits, Calculate and
Express the ROI
ACHIEVE YOUR ROIACHIEVE YOUR ROIACHIEVE YOUR ROIACHIEVE YOUR ROI

60. Include All DepartmentsInclude All DepartmentsInclude All DepartmentsInclude All Departments
• Security Department
• Legal/Risk Management
• Loss Prevention / Asset Protection
• Facilities
• Operations
• IT
• Marketing
• Human Resources

61. Capture All Potential BenefitsCapture All Potential BenefitsCapture All Potential BenefitsCapture All Potential Benefits
• Direct BenefitsDirect BenefitsDirect BenefitsDirect Benefits
– More Efficient Security Department
– Better LP/AP Audits (Theft & Fraud Reduction)
– Better Facility Awareness
– Better Operational Awareness
– More Secure IT Department
– Marketing Confirmation
– HR Policy Confirmation
• InInInIn----Direct BenefitsDirect BenefitsDirect BenefitsDirect Benefits
– Employee Awareness
– Risk Reduction (Frivolous and Unfounded Lawsuits)
– Better Customer Service
– Proactive Tool to Attack Fraud and Theft

62. Express the ROIExpress the ROIExpress the ROIExpress the ROI
• How is ROI Measured?How is ROI Measured?How is ROI Measured?How is ROI Measured?
– Capture the Purpose
– Total Cost of Ownership
• Cost to Buy +
• Cost to Install +
• Cost to Operate +
• Cost to Maintain = TCO
– Capture the Benefits (Direct & In-Direct)
– Analyze the Costs and Benefits
– Express the ROI

63. Our ROI ExperienceOur ROI ExperienceOur ROI ExperienceOur ROI Experience
• In our experience the more departments that
are involved in the process the more of a top
priority the total solution becomes to the
profitability of the organization.
• The needs and potential for loss are clear,
most of my installations over the years, with
proper and consistent use have paid for
themselves in a matter of months not years.

64. Our ROI ExperienceOur ROI ExperienceOur ROI ExperienceOur ROI Experience
• The Key to ROI success is proper proactive
use and consistent training.
• Just because someone can go to a Big-Box
lumber store and buy a hammer and saw, that
does not make him a carpenter.
• Proactive use of a Physical Security
Countermeasure vs. a Reactive use of the
same technology is how together we create
ROI.

65. THE BEST PROCESS FORTHE BEST PROCESS FORTHE BEST PROCESS FORTHE BEST PROCESS FOR
SUCCESSSUCCESSSUCCESSSUCCESS
Pre-Installation, Installation and Post-Installation Activities

66. The ProcessThe ProcessThe ProcessThe Process
• PrePrePrePre----Installation ActivitiesInstallation ActivitiesInstallation ActivitiesInstallation Activities
– Define Assets and Goals
– Assessments (Physical Security, Loss Prevention, Etc.)
– Design Concept (Hardware, Software, Personnel, Operational & Support)
– Finalize Plan, Installation Requirements & Quote
– Acquire Hardware, Software, Prepare Facilities, Establish Support
Requirements
• Installation ActivitiesInstallation ActivitiesInstallation ActivitiesInstallation Activities
– Contractor Walk-Thru & Administration
– Project Management
– System Commissioning
• PostPostPostPost----Installation ActivitiesInstallation ActivitiesInstallation ActivitiesInstallation Activities
– Training
– Service
– Billing
– Monitoring

67. AssessmentsAssessmentsAssessmentsAssessments
• Physical Security Assessments, LossPhysical Security Assessments, LossPhysical Security Assessments, LossPhysical Security Assessments, Loss
Prevention Awareness Assessment, RiskPrevention Awareness Assessment, RiskPrevention Awareness Assessment, RiskPrevention Awareness Assessment, Risk
Management AssessmentManagement AssessmentManagement AssessmentManagement Assessment
– Identification of critical assets
– Threat environment evaluation
– Policies and procedures
– Physical security
– Operations security
– Consequence analysis
– Risk Characterization

68. Document BenefitsDocument BenefitsDocument BenefitsDocument Benefits
• During the Assessment Phase discuss
potential uses of Physical Security Solution to
enforce polices, procedures, compliance
concerns and potential exposure from all
departments.
• The Surveillance part of the solution has 100’s
of uses to verify proper behaviors, actions and
activities.

69. Management ReviewManagement ReviewManagement ReviewManagement Review
• Review with management what they perceive as security
concerns and possibly meet with selected employees to
determine if the perceptions correlate. We will deliver a
report with pictures detailing both the current situation and
any recommendations necessary to correct deficiencies.
The deficiencies will be noted with practical steps and
recommendations to correct the situation.
• The action plan would be the Project Management Plan and
Quote that can be used to implement the solution to fix the
problem. We interface with vendors and work with the
installer for installation and training.

70. MAXIMIZING PROACTIVE PHYSICALMAXIMIZING PROACTIVE PHYSICALMAXIMIZING PROACTIVE PHYSICALMAXIMIZING PROACTIVE PHYSICAL
SECURITY TECHNOLOGYSECURITY TECHNOLOGYSECURITY TECHNOLOGYSECURITY TECHNOLOGY
Positive Feedback to Employees Creates Positive Results

71. The Expectancy TheoryThe Expectancy TheoryThe Expectancy TheoryThe Expectancy Theory
• Dr. Victor Vroom’s model is based on three concepts:
• ValenceValenceValenceValence - Strength of an individual’s preference for a
particular outcome. For the valence to be positive, the
person must prefer attaining the outcome to not attaining it.
• InstrumentalityInstrumentalityInstrumentalityInstrumentality – Means of the first level outcome in
obtaining the desired second level outcome; the degree to
which a first level outcome will lead to the second level
outcome. (Effort)
• ExpectancyExpectancyExpectancyExpectancy - Probability or strength of belief that a
particular action will lead to a particular first level outcome.

72. The Expectancy TheoryThe Expectancy TheoryThe Expectancy TheoryThe Expectancy Theory
• As we constantly are predicting likely
futures, we create expectations about
future events. If things seem
reasonably likely and attractive, we
know how to get there and we believe
we can 'make the difference' then this
will motivate us to act to make this
future come true.

73. I Learned It This WayI Learned It This WayI Learned It This WayI Learned It This Way
• The “Expectancy Theory of Motivation”“Expectancy Theory of Motivation”“Expectancy Theory of Motivation”“Expectancy Theory of Motivation”
can be understood by examining the
relationship between the attitudes of the
employees, their perception regarding
the feasibility of achieving the targets
and the rewards they hope to receive as
a consequence of elevated
performance.

74. The Expectancy TheoryThe Expectancy TheoryThe Expectancy TheoryThe Expectancy Theory
• EffortEffortEffortEffort +
• Better PerformanceBetter PerformanceBetter PerformanceBetter Performance =
• Better OutcomeBetter OutcomeBetter OutcomeBetter Outcome.
• Example: A Server or Bartender will get better
tipstipstipstips the harder they work. As a Manager, I
would say “are you going to have a $300.00
night tonight?”

75. The Expectancy TheoryThe Expectancy TheoryThe Expectancy TheoryThe Expectancy Theory
• When applied to the Surveillance System, when
you are viewing remotely, and you call the
location. Always find something positive that you
see and thank your employee’s for their hard work.
• They will be reminded they are not alone and
someone could always be watching, but they will
just go off and do their job. If you are negative,
they will feel abused and threatened and you will
not get the positive results that you want.

76. The Expectancy TheoryThe Expectancy TheoryThe Expectancy TheoryThe Expectancy Theory
• Additional research findings suggest
interesting work and good pay are key to
higher employee motivation.
• And, a carefully designed reward systems that
include job enlargement, job enrichment,
promotions, internal and external stipends,
monetary, and non-monetary compensation
should be considered. (Gift Cards are Great)

77. Thank You
Questions?

78. Contact InformationContact InformationContact InformationContact Information
James McDonaldJames McDonaldJames McDonaldJames McDonald
Executive Physical Security Consultant
C-774-239-1128
Email: James.McDonald@PST-Mail.com
My Blog: www.SecurityTalkingPoints.com
My Twitter: www.twitter.com/physectech
“A proactive approach to physical security is key to pro-
tecting critical assets and reducing business liability risks.”