Value of Enhanced Hotel Security


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Enhanced Security functions as a way of managing the roles, relationships, processes and systems that are unique to directing and controlling outcomes within security in order to achieve the organization’s goals, cut costs, drive performance and increase the organization’s value.

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Value of Enhanced Hotel Security

  1. 1. Hotel security demands moreinvestment in enhanced security processesCommon vulnerabilities the reasonhoteliers should give security a higherpriority
  2. 2. This basic security is not enough to address the kind of security breaches occurring in hotels around the worldProblem
  3. 3. Background: Hotels face many security threats There are attractive targets for criminal acts, and if not properly protected, hotel premises are an easy targets for criminal acts with devastating consequences.
  4. 4. The vulnerability that Hotels faceCrime against hotels have gotten more viral, as evidenced by that mostunfortunate terrorist attack in Mumbai, India where scores were killed andinjured in a horrific assault at the Taj Mahal and Oberoi Hotels. While thisrepresents an extreme it also illustrates the vulnerability that Hotels face.
  5. 5. More common vulnerabilities include: • the lone physical attack on Hotel guests and employees • theft of merchandise and services • injuries and claims due to both real and alleged circumstancesHotels are the primary target of credit card fraudsters • the devastating effect of fire and natural disaster
  6. 6. For hotel operators, relying on such basic security is particularlydangerous, given that a serious security breach can significantly damagea hotel operators brand name.RISK OF TYPICAL HOTEL SECURITY
  7. 7. What is ultimately at stake, in the worst case scenario • Possibility of death or injury • Damage and destruction of property • Adverse publicity from an incident • Ruined brand reputations • Business failure • Adverse effects to tourism in Barbados
  8. 8. In reality the security measures employed by the majority of hotels isvery simplistic: security cameras in the lobby or other public areas andcoded access control cards for elevators and rooms. This is an approachwhich is pretty typical today.TYPICAL HOTEL SECURITY NOT ENOUGH
  9. 9. 1. Based on CCTVtechnology that isproven to beineffective atpreventing crimestudy after study has concludedthat CCTVs dont deter most crime.A study done by research in the UKwho examined 44 studies done onthe effectiveness of CCTV andfound that the vast majorityagreed that CCTV was generallyineffective at preventing crime.The only instance where CCTV wasmoderately effective was inparking lots, preventing somevehicle crimes. But thateffectiveness was also found to begreater when accompanied byincreased lighting and guards.
  10. 10. 2. Reliant on a small  Lack of training means guards lackdedicated security knowledge of modern security bestforce that is often not practices, fail to present a reassuringmanaged properly security image to guest  No processes in place leads to inability to handle security and safety situation  Focused on guest & visitor issues while staff issues cause the largest drain on resources (workplace safety, staff theft)  No executive/senior management level oversight means no one to Even when outsourced to champion development professional security firms  Creates Them vs. Us organization hotel security tends to function in an ad hoc culture, which alienated other staff manner from participation in hotel protection
  11. 11. 3. Lacks appropriate security processes Relevant processes  disaster recovery  emergency management  physical security  workplace health and safety  food safety programThe main issue is the lack ofappropriate security processes. In  incident management processother words in a case of a guest having  accounting internal controlsa medical emergency, for example,there are usually no people  food and beverage safety processesprofessionally trained to handle suchsituations, even if certain tasks areoutsourced to security professionals.
  12. 12. Security investment inadequate because: Faced with competition for resources, most hotel operators are unwilling to spend money on security beyond basic systems, despite numerous attacks, thefts and break-ins.
  13. 13. The focus on contribution to profit is one of the major reasons whysecurity is often seen almost as an afterthought by hoteliers. Becausesecurity is seen as not profitable, investors and hotel operators arereluctant to invest in safety and security beyond the basics.REASON FOR LACK OF INVESTMENT IN SECURITY
  14. 14. ROI Unlike basic security, investing in Enhanced Security provides contributions to return on investment while improving the safety and security of the hotel.ENHANCED SECURITY CONTRIBUTES TO PROFITABILITY
  15. 15. Enhanced Security functions as a way of managing the roles, relationships, processes and systems that are unique to directing and controlling outcomes within security in order to achieve the organization’s goals, cut costs, drive performance and increase the organization’s value.ENHANCED SECURITY: ROI CONTRIBUTOR
  16. 16. Features of enhanced hotel security  Intelligent Security Technology  Involvement of workforce at large in protection of the property  Processes and training for all security operations: – disaster recovery – emergency management – Physical security – workplace health and safety – food safety – incident management – accounting internal controls – food and beverage safety
  17. 17. Security that contributes to hotel ROI  In addition to providing more protection for people, property and information the following benefits bring contributions to the financial returns of hotel operations through cost reductions and improvements in marketability of the hotel:
  18. 18. Reduces the rate of employee theft Theft and inventory shrinkage is a primary concern for most hotel operators and employee crime is the chief source of such loss. More theft occurs from employees than with guests of the hotel. More value is$ Employee theft accounted for 35.3% of shrinkage walking out the back door than the front.
  19. 19. Reduced Insurance Rates Insurance rates in the hospitality sector are impacted directly with security measures undertaken by each establishment. North American industry statistics suggests that establishments with fully functional physical security solutions can lower their liability rates by 5-10% annually.
  20. 20. Reduced workers’ compensation cost for workplace accidents Workplace accidents place a significant burden on employment costs; in terms of insurance cost, lost productivity and low morale. Slips, trips and falls is among the most common causes of workplace injury in the hospitality industry. The average workers’ compensation cost for these types of injuries exceeds the average cost of other injuries by 14%.
  21. 21. Adds Hotel Security as an Amenity Security as another amenity, a value-adding service - just like the bar, restaurant, health centre, turn-down or valet- parking - that can be showcased to promote the hotel as a safe haven and secure environment. A Cornell University study on hotel security found that hotel guests have a high acceptance of enhanced security measures, along with a willingness to pay extra for some of them.
  22. 22. Increased Market Share Hotel safety and security is a growing concern among international travelers throughout the world. Effective security shows customers that your hotel cares about protecting their safety and security and people are willing to pay more for the assurance of safety.
  23. 23. Results in a well run, efficient hotel with an excellent reputation Protection of the property, its guest, staff and information as a shared responsibility by all, with everyone aware of their individual roles and responsibilities. When all staff takes security seriously as a service, the result is a well run, efficient hotel with an excellent reputation that is attractive to travelers
  24. 24. Builds Organization culture of vigilance Organization wide security awareness training when conducted regularly does more than merely safeguard hotel premises. It also helps to build up and sustain a culture of vigilance
  25. 25. Other Benefits of enhanced security • Guests feel safe and secure • Criminals and are deterred • Improvement in staff morale, trust and teamwork • Can dramatically reduce the financial repercussions of a claim following a serious incident. • Better service to guests • Better publicity and improved reputation for the brand • Increased occupancy and higher repeat business • Increased respect and collaboration with local government and police • Everybody benefits, hotel guests, staff and managers. • Nothing out of the ordinary happens, hotel security is successful.
  26. 26. CONCLUSIONRather than following the typical emphasis on more expensive hardwareEnhanced Security is all about bringing more secure business practicesinto all aspects of your hotel operations by engaging the workforce atlarge and creating the optimum connection between their job functionsand the overall security needs of the hotel. In addition to providing moreprotection for people, property and information this sustainable strategyhas a positive effect on the financial returns of the operation, as well ason employee morale and job satisfaction