Opinion

CNI: security must be at the top table

18 Jun 08

Protecting the UK's Critical National Infrastructure represents one of the biggest challenges and opportunities the private security industry has ever faced. As Nick Buckles explains, a reasoned and collective response should not only open up new markets and income streams, but also transform the way in which the security sector is perceived by opinion formers, investors and the man and woman on the street the employees of tomorrow.

For many years now, the security industry has been pursuing the Holy Grail how to move on from the provision of basic services to become solutions providers and consultants. It's fair to say that other industries have arrived at the point where they can move on far more rapidly than we have.

What we do know is that an economic downturn adds more urgency to organisations' need to reduce costs and focus on their core businesses. Over the last ten years we've seen Governments in both the developing and developed worlds come to the same conclusion, sometimes driven by the need to cut public spending but also in response to the myriad threats they now face.

Therefore, the timing is right and the environment is right. The good news is that we are already involved in CNI-based work today, whether it's protecting oil pipelines and nuclear facilities, providing security at airports or managing and operating prisons.

Background to CNI security

As is the case with much new thinking, the genesis of CNI protection began in the United States as a direct consequence of the need to respond to Y2K. However, as we all know the real catalyst for action has been the series of terrorist attacks that several countries have suffered, outside of war zones, starting with the simultaneous attacks (in August 1998) on the US embassies in Kenya and Tanzania, and culminating in atrocities such as 9/11, the 2004 Madrid bombings and the 7/7 atrocities in London.

We also know of failed attacks such as that at Glasgow International Airport last year, and Germany narrowly escaping what could have been its worst-ever terrorist attack in July 2006 when two bombs placed on trains failed to detonate.

Some of these outrages have been committed by people who've lived in our communities undetected for many years, or been born and bred in them but have then fallen under the influence of terrorist groups based overseas (notably Al Qaeda).

Again, it became clear that to identify these terrorist networks and protect society from them required not just increased resources for individual countries' security services but an overarching international response. In the post 9/11 world, an individual Government's ability to take sole responsibility for protecting its citizens has diminished as the threats that confront us increase and span the globe. I'd argue that our industry has a legitimate role to play in helping with this intelligence gathering.

In truth, we already fulfil this function. We offer surveillance services, electronic monitoring and risk assessments to our customer base. We have the resources and the global networks to provide intelligence at home and internationally.

Impact of climate change

The threat of terrorism may have alerted Governments to the risks posed to CNI, but that realisation coupled with the efforts made to pinpoint risk also revealed that the impact of climate change would result in extreme weather and natural disaster.

In 2003, there were concerns that SARS a new, highly contagious form of atypical pneumonia might become a pandemic, affecting whole continents. Rapid action by national and international health authorities such as the World Health Organisation helped slow transmission and eventually broke the chain of transmission, ending the localised epidemics before they could become a pandemic.

Following on from this, Governments asked themselves: "How will the populations in affected areas be able to carry on their daily lives? How will the transport system operate? How will food be harvested and delivered?" These are questions national Governments and transnational organisations alike are preparing to answer. Surely our industry will have a role to play?

The last few years should have demonstrated to Governments the finite nature of their resources, and how dependent their societies are on the continuous delivery of essential services (provided by the communications, emergency services, energy, finance, food, health, transport, water and Government sectors). Without these services, any state could suffer serious consequences, including economic damage, social disruption or even the large-scale loss of life.

No wonder Governments have turned their attentions to CNI, but increasingly those assets that are part of it are owned by the private sector or run on a Government's behalf by a private organisation. Consequently, it's critical that the private sector plays a full role in Governments' response strategies. Governments alone cannot protect these CNI assets.

Their emergency service provision is stretched thinly as it is. Where can they find additional resources that can not only protect assets but also help them assess the threats to which they're exposed?

Genuine support to Government

“If we view CNI protection as a major commercial opportunity, so will new competitors for us like Boeing and Lockheed Martin, the business process outsourcers, the management and risk consultancies even the insurers. We may say they don't have our expertise, but there's nothing to stop them buying it”

The resounding answer is the international security industry. Companies within this industry already have the expertise to handle these assignments, both domestically and when necessary overseas. We protect CNI airports, power stations and banks, etc in many countries and, in some of them, we also build and operate critical infrastructure such as prisons, youth offender facilities and cash centres. As both CNI operator and protector, this puts us in a strong position to deliver real support to Governments seeking to improve national resilience.

This expertise isn't confined to the developed world. In fact, we might contend that the developing markets have been quick to envision how we might assist them. Even the Armed Forces have begun to realise that they need to define their mission more tightly. Recently, the chairman of the European Union's (EU) Military Committee stated that, in order to fill critical logistical gaps in EU forces' crisis management missions, the best solution could be provided by outsourcing security logistics contracts to the private sector.

Although the private sector already plays a sizeable role in many missions, chiefly in supplying services such as catering and fuel, the chairmanGeneral Henri Bentégeat feels the EU forces would benefit from an increase in that support. Aside from being a more financially efficient service than the one Armed Forces can provide for themselves, outsourcing logistical tasks frees up much-needed manpower for actual military duty.

During the fighting in the Lebanon in 2006, private security companies not Government agencies were called upon by the French, Canadian and Norwegian Governments, as well as the United Nations, to evacuate their citizens. We can also protect humanitarian missions and take on the essential task of mine clearance to protect civilian populations.

Economic and political stability

Is there a need for this type of 'surge' capability? Climate change represents a new type of national security threat, requiring innovative institutional arrangements and unprecedented levels of international co-operation.

No coherent framework exists for protecting critical infrastructure against the seemingly more pressing threats of extreme weather. The threat which climate change presents for the global population is immense, and should pose key concerns to Governments across the planet. Events in New Orleans illustrated that sudden, high impact weather conditions can not only kill many hundreds of people, but also lead to mass displacement of populations with disastrous consequences.

The economic and security impacts of such events in the developing world have the potential to cause even more dramatic outcomes. A decline in fundamental resources coupled with variations in climate threatens a nation's ability to maintain its economic, political and security stability.

Nationally and internationally, plans for CNI protection and recovery must recognise the security industry's pivotal role. We have been campaigning for legislation and regulation to ensure that private sector operators protect critical infrastructure, and that Governments insist all organisations that are tendering to operate CNI assets are also obliged to protect them.

I hope I've made the case that our industry can become a global additional emergency service, but at the same time we should realise that there will be countries that will never let a private sector company or, worse still, a foreign private sector company protect and operate its CNI assets. That said, those nations should be the exception to the rule.

If we view CNI protection as a major commercial opportunity, so will new competitors for us like Boeing and Lockheed Martin, the business process outsourcers, the management and risk consultancies even the insurers. We may say they don't have our expertise, but there's nothing to stop them buying it. We must not be complacent. If we don't capitalise on this opportunity there may never be another with this level of global potential.

The CNI Mandate

The CNI Mandate could transform our industry and the way in which we think as an industry. We can secure long term revenue streams and build consultancy capabilities which would attract highly-skilled and talented people to our companies. We will become more attractive investments.

The Ligue and the industry's other professional organisations have worked hard to improve standards and the reputation and authority of the security sector, but now we need to re-engineer our businesses such that they're in a position to provide our customers with the end-to-end security solutions they seek. If we can seize this opportunity we will revolutionise the industry.

We feel the Ligue is a very important Forum for developing like-minded approaches to the industry so that we can cohesively progress the markets together. It's our responsibility to find the markets of the future for the interests of all our Stakeholders.

We should be known as essential solutions providers for Governments and customers that take security seriously. When that is truly the case we will continue to evolve and prosper. We need to be at the top table, not eating the crumbs that fall from it.

Postscript :

Nick Buckles is chief executive of Group 4 Securicor plc (www.g4s.com/uk)

This is an abridged version of the Keynote Address given at the General Assembly of the Ligue Internationales des Sociétés de Surveillance (held in Brussels on 8 April)

Credits :

Photographs courtesy of Group 4 Securicor plc