NCJ Number
53003
Journal
Security Management Volume: 22 Issue: 12 Dated: (DECEMBER 1978) Pages: 24,26,27
Date Published
1978
Length
3 pages
Annotation
BANK SECURITY AND PROTECTION EVALUATION IS DISCUSSED AS IT RELATES TO SENIOR MANAGEMENT, BANK SECURITY OFFICERS, AND CONTACT PERSONNEL. RISK MANAGEMENT IS AN IMPORTANT CONCEPT IN MODERN BANK SECURITY PROGRAMS.
Abstract
EVALUATING SECURITY PROTECTION IS IMPORTANT TO SENIOR MANAGEMENT BECAUSE OF THE NEED TO REDUCE RISK AND LOSSES BY OBTAINING THE MOST PROTECTION FOR THE LEAST COST. BANK SECURITY OFFICERS ON LIMITED BUDGETS NEED TO IDENTIFY AREAS OF HIGH RISK SO THAT THEY CAN USE AVAILABLE RESOURCES IN THE MOST COST-EFFECTIVE MANNER. CONTACT EMPLOYEES, INCLUDING TELLERS, RAIL PERSONNEL, AND BRANCH MANAGERS ARE CONCERNED WITH PHYSICAL SAFETY BECAUSE THEY ARE THE ONES MOST FREQUENTLY EXPOSED TO EXTERNAL ATTACKS. EMPLOYEE PROTECTION IS A MAJOR COMPONENT OF RISK ASSESSMENT, AND IT IS IMPORTANT FOR BANKS TO ACHIEVE A GOOD BALANCE BETWEEN PEOPLE PROTECTION PROGRAMS AND ASSET PROTECTION PROGRAMS. FINANCIAL INSTITUTIONS NEED TO DEVELOP EVALUATION CRITERIA AND CONDUCT PERIODIC EVALUATIONS OF THEIR SECURITY PROGRAMS. A TOTALLY OBJECTIVE EVALUATION OF SECURITY PROTECTION MAY BE DIFFICULT TO ATTAIN, HOWEVER, BECAUSE INDIVIDUALS IN THE BANKING STRUCTURE MAY HAVE VESTED INTERESTS THAT PRECLUDE OBJECTIVITY. MANAGERS MAY BE INTERESTED IN INCREASED PROFITS, AND CONTACT PERSONNEL, PARTICULARLY TELLERS, MAY EVALUATE SECURITY PROTECTION MAINLY IN TERMS OF PEOPLE PROTECTION, WITH LITTLE EMPHASIS ON ASSET PROTECTION. SECURITY OFFICERS ON THE OTHER HAND MAY EVALUATE PROTECTION IN TERMS OF HARDWARE (VAULTS, ALARMS, BRICKS AND MORTAR, AND GUARDS) RATHER THAN IN TERMS OF THE TOTAL SECURITY SYSTEM. RISK MANAGEMENT, WHEN APPLIED TO BANK SAFETY AND SECURITY, MAY BE DEFINED AS THE ART OF ASSESSING, CONTROLLING, AND REDUCING BANK FATALITIES, INJURIES, AND LOSSES DUE TO CRIMINAL ATTACKS AND OTHER EMERGENCIES OR DISASTERS. THE GOALS OF RISK MANAGEMENT INCLUDE THE FOLLOWING: MEASURING KNOWN RISKS IN INDIVIDUAL BANKS; DETERMINING AREAS OF HIGHEST RISK TO PEOPLE AND ASSETS; DEVELOPING CRIME PREDICTION CAPABILITIES AND PLANS; ASSIGNING PRIORITIES IN RELATION TO BUDGET; MAINTAINING A BALANCE BETWEEN PEOPLE PROTECTION AND ASSET PROTECTION PROGRAMS; AND CONTROLLING AND REDUCING LOSSES DUE TO CRIME. TO AVOID INCREASED FEDERAL REGULATION, BANKS ARE ADVISED TO INCREASE THEIR INTERNAL MANAGEMENT CONTROLS TO PREVENT TRANSFERRING RISKS TO OTHER BANKS. SAFETY AND SECURITY PRINCIPLES ARE INCLUDED. (KJM)