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Contemporary Security Management Chapter Nine Managing Risk. United State Air Force Operation Risk Management ( ORM ) project. U.S. Air Force Operational Risk Management. 6 Steps Process. HARD VERSION. EASY VERSION. 1. Identify the Hazard 2. Assess the Risk

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Presentation Transcript
slide1

Contemporary Security Management

Chapter Nine

Managing Risk

Chapter 9 - Managing Risk

6 steps process
6 Steps Process

HARD VERSION

EASYVERSION

1. Identify the Hazard

2. Assess the Risk

3. Analyze Control Measures

4. Make A Control Decision

5. Implement Controls

6. Supervise

1. What’s Gonna Hurt Ya?

2. How Often - How Bad?

3. What YaGonna Do About It?

4. Got Permission?

5. Do The Fix

6. Does It Work?

Chapter 9 - Managing Risk

what s gonna hurt ya step 1
What’s Gonna Hurt Ya?Step 1
  • Look around you…
  • What is likely to hurt you?
  • What has hurt you in the past?
  • Cannot control the hazard if you don’t know what it is?

Chapter 9 - Managing Risk

how often step 2
How Often?Step 2
  • How likely is it to hurt you?
  • Not, very likely - probability?
  • Severity?
  • How badly is it going to hurt you?
  • Exposure – time, proximity, volume or repetition of hazardous task.

DIFFICULT TO DETERMINE

FOR A NEW PROCESS

Chapter 9 - Managing Risk

slide11

I think I got it…

Chapter 9 - Managing Risk

risk assessment matrix
Risk Assessment Matrix

Chapter 9 - Managing Risk

risk ranking
Risk Ranking
  • Rank risks from most to least hazardous
  • Determine if resources are readily available to abate most severe hazards first

Chapter 9 - Managing Risk

what ya gonna do about it step 3
What YaGonna Do About It?Step 3
  • What can you do to keep it from hurting you (again)?
    • Stay away from it
    • Move it
    • Make it go away
  • Pick one – Pick two!

Analyze control measures… Reject, avoid, delay, transfer, spread, reduce.

Determine if the control will reduce the severity, probability, or exposure to the hazard

Chapter 9 - Managing Risk

big barney s towing service
Big Barney’s Towing Service

Chapter 9 - Managing Risk

slide19

Road kill or is it Air kill?

Chapter 9 - Managing Risk

got permission step 4
Got Permission?Step 4
  • Process owner makes control decision based on analysis provided
  • Process owner decides cost versus benefit
  • Control decision maker must be in a position to obtain resources needed to implement control decision selected
  • Keep in mind process age and diminishing returns
  • Did your supervisor tell you it’s OK to make the change?
  • If YES, then go to step 5

Chapter 9 - Managing Risk

slide21

Air Force 40209 to control …. I think I may have hit something.

(Another case of texting while operating a vehicle)

Chapter 9 - Managing Risk

do the fix step 5
Do The FixStep 5
  • Make the change your supervisor gave you permission to make

Chapter 9 - Managing Risk

does it work step 6
Does It Work?Step 6
  • Does the change fix the problem?
  • If YES, good on ya!
  • If NO,
    • Go back to step 3
    • Get your buddy to help you come up with a better fix
    • Ask your supervisor for help
  • Do steps 4, 5, and 6 again

Chapter 9 - Managing Risk

slide24

Do you

think

you really need ORM??

Chapter 9 - Managing Risk

slide25

Think again.

Chapter 9 - Managing Risk

slide26

…and again.

Chapter 9 - Managing Risk

slide27

…and again.

Honest. I was driving along and this plane

ran over me.

Chapter 9 - Managing Risk

slide28

…and again.

Chapter 9 - Managing Risk

easy version or hard version
EASY VERSION ORHARD VERSION
  • Using ORM will help keep you from getting hurt
  • It will help keep you from hurting your buddy
  • Remember, if you see it and don’t fix it, it won’t get fixed
  • Every day, take a couple of minutes and think of a way to use ORM to help keep you or someone else from getting hurt

Not Everyone Understands the Concept!

Chapter 9 - Managing Risk

assignment
Assignment
  • Go on the internet and find me at least five different security checklist. Be prepared to discuss them in class.

Chapter 9 - Managing Risk

standards and regulations
Standards and Regulations

Standards

Regulations

Binding legislative rules

Use is mandatory

Available to the public

Providing Technical Specifications directly or by reference - e.g. to standards

Adopted by an Authority

  • Recommendations
  • Use is voluntary
  • Available to the Public
  • Established by consensus of all parties concerned
  • Based on consolidated results of science, technology and experience
  • Approved and published by recognized Standardization Body

Chapter 9 - Managing Risk

standards and regulations1
Standards and Regulations
  • The National Technology Transfer and Advancement Act (NTTAA), 1996, directs federal agencies to adopt private sector standards, wherever possible rather than create proprietary, nonconsensus standards.

Chapter 9 - Managing Risk

standards and regulations2
Standards and Regulations

p. 58

  • Standards can be based on:
    • purpose include terminology standards that standardize nomenclature
    • test and measurement standards that define methods to assess performance
    • product and service standards that promote quality
    • intended user group
    • performance
    • design

Chapter 9 - Managing Risk

standards and regulations3
Standards and Regulations

p. 58

  • Consensus standards: are accepted industry practices developed through a consensus process by experts.
    • Consensus standards do not have the force of law unless a jurisdiction adopts them as law.
  • Guidelines: are often published by professional groups that offer organizations information and factors to consider when developing programs (e.g. security or fire protection)
    • guidelines are without the force of law.
  • Standard of Care: the watchfulness, attention, caution and prudence that a reasonable person in the circumstances would exercise.

Chapter 9 - Managing Risk

standards and regulations4
Standards and Regulations

p. 58

  • Consensus standards: are accepted industry practices developed through a consensus process by experts.
    • Consensus standards do not have the force of law unless a jurisdiction adopts them as law.
  • Guidelines: are often published by professional groups that offer organizations information and factors to consider when developing programs (e.g. security or fire protection)
    • guidelines are without the force of law.

Chapter 9 - Managing Risk

standards and regulations5
Standards and Regulations
  • Standard and Care: standards may be used to establish a standard of care or used during litigation.
    • Angle defines standard of care as “the concept of what a reasonable person with similar training and equipment would do in a similar situation.”
    • Note: an employer can face negligent charges for not adhering to policies, procedures, standards, or legal mandates.

Chapter 9 - Managing Risk

evaluation of loss prevention programs
Evaluation of Loss Prevention Programs
  • Pretest-posttest Design:
    • The rate for an incident is measured by compiling statistics before a program is implemented.
    • The program is implemented and the rate measured again.
    • Robbery rates before and after program implementation are compared.
    • If the particular incident rate is lower then the prevention program may be the causative factor.

Chapter 9 - Managing Risk

evaluation of loss prevention programs1
Evaluation of Loss Prevention Programs

p. 62

  • Experimental Control Group Design
    • Experimental group (plant) gets security
    • The control group (plant) gets no security
    • Before the program is implemented, the rate of crime of each group is measured.
    • After the program has been in effect for a predetermined period of time, the rate of crime is then measured for each group.
      • If the crime rate goes down for the experimental group but remains the same for the control group then crime prevention program may said to be successful.

Chapter 9 - Managing Risk

evaluation of loss prevention programs2
Evaluation of Loss Prevention Programs

p. 62

  • Scientific Method (4 steps)
    • statement of the problem
    • hypothesis
    • testing
    • conclusion

Chapter 9 - Managing Risk

evaluation of loss prevention programs3
Evaluation of Loss Prevention Programs
  • Statement of the Problem
    • Example: employee theft
  • Hypothesis
    • Employee theft can be reduced by using CCTV
  • Testing
    • Control group no CCTV
    • Experimental group gets CCTV
  • Conclusion
    • Control group shows no drop in theft
    • Experimental group shows drop in theft

Chapter 9 - Managing Risk

sources of research assistance
Sources of Research Assistance

p. 63

  • Four potential sources of research assistance:
    • In-house: have you own people conduct research
    • University: contact local colleges and universities
    • Private consulting firms: have highly trained personnel
    • Insurance companies: are active in studying threats, hazards, and risk.

Chapter 9 - Managing Risk