ADVoO, INC.:
INTEGRATING IT AND PHYSICAL SecuRITY
omplacency is often the greatest threat to security. It is
easy to overlook or underestimate potential security
threats until they become a reality, and it is equally easy
to lose focus on those security threats once the immediate crisis
has passed. Advo, Inc., successfully overcame these challenges.
This case study describes how two national crise:
S triggered
immediate changes in
Advo’s physical security and process
Security controls. It also describes Advo’s treatment of infor-
mation technology (IT) and physical security as interconnected
components of the organization’s evolving security
=
structure. To provide necessary background information, the
case study begins with an overview of Advo, Inc., its opera-
tions, and the security controls that were in place before the
occurrence of the 9/11 terrorist attacks and t
he subsequent
anthrax attacks.‘Advo, Ine.
dvo, Inc. is he largest provider of direct mail Advertsing services in
the United States. Advo processes and distributes printed adversising
from its 25000 clients to more than 112 milion consume households
throughout the Unite States and Canada. ts clients are the manuf
_srelets, and service companies whose products and services are
tsed by the general public. They include supermarkets, drugstores, quick
serve restaurants, home Furnishing cetalrs, and discount and depart-
"advo! 2004 reported net income was $48.7 milion on otal revenue
of $1.2 billion, Headquartered in Windsor, Connecticut, Advo currently
has ewenty-one mail processing fclitiesTocted throughout the United
Sais. The company employs approxtately 3900 fll and part-time
employees Tc as hires outside temporary employees fr certain pro-
duction jobs and for assistance during busy seasons. *
Founded asa delivery company in 1929, Advo entered the direct
mail industry as asolo marin 1946. Avo’ shared mal program began
in 1980, when it combined advertisements from diferent businesses and
distributed chem together!
{nm 1985, Advo partnered withthe National Cente for Missing and
Exploited Children and the United States Postal Service (USPS) to estab-
lish the Ameria Looking For Its Missing Children program. Its the
most successful private-secto program of its kind. Is Have You Seen
Me? cards, which show the names andl faces of missing children, are
viewed by more than 120 million people each week and have become
the nation’s most ecognized piece of mail?
‘Within the past decade, Advo has expanded it sie through com:
pany acquisitions, One ofits most significant acquisitions occured in
February 1998, when it purchated The Malhouse, In, fanchise-based,
‘cooperative coupon mail company. It was renamed MailCoups, Inc.
shortly afte its acquisition. Headquartered in Taunton, Massachusets,
_MallCoups, nc. operates ta wholy owned subsidiary of Advo. Franchise
Operations a
licenses ate sold under the brand name SuperCoups. Te ranchises cente
‘coupons for local merchants and mal the coupons ina distnctive-ooking
Ceavelope hit www supercatips com). By the end of Septersber 2004,
‘there were 225 franchise units in eweacy-theee states.
In November 2000, Advo acquired Mail Marketing Systems, Ins. 4
ail advertising company located in Maryland, It operates 363
ie
wholly owned subsidiary of Adv, and it provides mail coverage 0
approximately 4.5 million households Advo acquired the New Jersey
‘Shoppers Gide in Apel 2001. Te direct mail shopping guides 1
weekly circulation of approximately 400,000 households in Southern
New Jere Avo most recent acquisition occurred in June 2002, when
itpurchased FACC Corporation a direct mail advertising frm based in
Canada, Shorty after its acquisition, FACC Corporation was renamed,
‘Adwo Canada, ln 2004, Advo Canada was renamed First Avenue, The
company. which operates as a wholly owned subsidiary of Advo, mails
‘approximately 220 million pices of advertising each year to targeted
segments of Canada’s twelve million households
Avo aso has formed several newspaper alliances, which it uss fr
ther expand the distribution ofits client’ adversing material Its aliances
‘ith Gannétt Company, Ine, MediaNews Group, Inc, Knight Ridder [nc
Freedom Communications The New York Times Company, St Petersburg
‘Times, LW. Scripps Company and The Tribune Company! enable Adicis
‘vers material tobe distributed to the newspaper’ subsribers
Operations
Ado nei te ge comme eof USPS sanded i The
Frnt aversng fom 3500 cen is dtd ome ton
1L2 millon ensomerhowetalds hough he sous
shared mail services. eset eter
‘do lo mil evi os of a
st of eng and poe nd
‘dual client brochures and circulars for dstbution through the USPS
Th csc be prceed ing the mang ne poel be Ao8 Cae? Advo, In
‘the cle. Solo mal er-icetends to be chosenby two rps fle hose
wo want co maintain a separate mage and total control over when and°0
inom their averiseents are mailed, or those who want thes advertise:
rents Sen 10 areas were Ad's shared mail service des nt ext?
‘Addvo's shared mal sevice is brand named ShopWis. a four-page
colored magazine surrounds 1 mail package, which consis of dvertise-
‘ments from business locted in aspeific malig rea, Lager business
usually provide Advo sith printed adverssing materia in preset quanti-
ties, wheres smaller ret clients rely on Advo to perform graphics
oes orto acts broker fe printing operations. The mal packages ae
suddressed using Advo's maling stand the company sorts and tanspors
the mailings for USPS delivery! In Apri 2000, Adve established a com=
‘anion, optin website named Shop Wise.com (http wshopwise com)
‘The sie enables retalers to supplement deir mailed advertisements by
providing consumer wih online coupons and special e-mail offers!
Most of Advos revenues derived fom its ShopWise program, which
is believed to be the largest advertising program ofits kind. Shared mal
advertisements ate delivered each week co approximately seventy-eght,
milion consumer household in mose than 130 diferent markets. An
auditional thirty-four milion househols are reached through the Advo
National Netwark Extension program! Ths program allows Advo to
provide its liens with a wider advertising distribution through the net
‘work's membership of gional shared mail companies.
‘Advo's mailing lists used by the company to target mailings to spe-
«Bc consumers Avo als rents portions of ts mailing listo oer direct
marketing organizations. Believed tobe the largest residential mailing ist
in the nation, i contains the addresses of almost al ofthe households
inthe United States. n addition ois more than 130 milion household
adresses, it includes more than 12.6 million business addresses all
sanged in mail delivery sequence order!
‘The printed advertising materials from Adwos clients are processed
‘byapproximately 1,700 production employees who work twenty-one
Secanity Controls Bere the Terrors attacks
‘mail processing faites throughout the United Sates. The locations of
‘these facies are shown in Table2-I.At each ofthe company's cite,
inserting machines are used to collate the individual advertising pieces
into packages, and addressing and labeling equipments used proces
‘the materials or mailing. The madings are sorted bythe company’s rans
Portation department, verified by the USPS at an on-site Detached Ma
Unis located at each facility, and transported to a local post otic
‘mel delivery by individual posal carriers
Security Controls Before the Terrorist
and Bioterrorist-Related Attacks
‘Until September 2001 Advo's security controls were indiscriminate and
!noncobesiv? No formal security policies or procedures had been eteb-
lished, and everyone viewed security as a low priority. At
porate
TAME? Locations of Adv Mail Processing Faces®
Alana, Coorg Crlaido, on
‘Gincirn, Oho Priladloha, Penmsyvanin
Dolla, Texas Presb, Pennsylvania
Denver Coieddo Phoenix ceo
Detroit Michigan Salt ake iy, Utah
House, Teas 2 San Francisco, California
LopAngles(0, Calon Seat: Warhogon
os Angeles (23, California ‘Taunton, Massachusens
arose Washington, OC.
iar, lord Windsor Connecticut
Minaukes, Wacosin
{Ade omni the Windsor, Connect fact, The reining nseny
‘aes se eased
‘Sure: Fan ahora Caf Sei oe3m Cate? Aho, ne
Ieadguaters the cons primar consisted of scuity guard se
seer and emplovebacground ches, oth were prove by onside
sgencies Bara International Sries Corporation (known today as
Scars Secu Series USA. Ine) had ben hie provide se
‘iy ged services Guat were present at night but minimal scary
ced dorng business hours A tomporary agency had been iced 0
perorm a pre-emplowment bcksround check onalemplaest