Chapter 10

MANAGEMENT AND PALNNING

GROUP 4 | LEA 202 | 2022-2023

Learning Objectives
 At the end of this chapter, the student will be able to:
 Explain cost effectiveness in security management;
 Explain security planning and the development of security policies;
 Explain the financing and budgeting aspects of security management;
 Enumerate the principles to come up with an effective security organization;
 Enumerate the roles of an agency operator or security director:
 Enumerate the ranks and positions in security agencies;
 Explain the staffing pattern prescribed for security agencies; and
 Explain the management principles practiced by security professionals.

Management in General and Planning Function

The security executive is no longer a private practitioner who impresses people with his
courageous deeds, skill in apprehending criminals or expertise in handling weapons.
Rather, he is a modern manager entrusted with the twin tasks of protecting corporate
assets and ensuring that business interruptions, if at all, are kept to the minimum. In fact,
his most challenging role is to predict the opportunities to manageable proportions. In this
role, he is backed by his years and years of technical expertise as well as the seasoning
and sensitivity that come with long years of exposure in the field. In security as in other
fields, the manager's major concern is getting things done. The manager uses
management techniques in getting things done and is familiar with the following
elements of management: planning, financing, organizing, staffing, training and
professional development and communication.

Security Management and Cost Effectiveness

Cost effectiveness means spending the least possible amount consistent with required
results and, at the same time, assuring that each item of expense is fully justified as the
best available way to commit the funds. Akin to profit-center orientation with which it is
closely aligned, cost effectiveness in security management definitely enhances the
profitability of a business enterprise.

Security Planning
Planning is the key factor in the successful management of a security program. A
management expert defines planning as pre- determining a course of action. Another
defines it as deciding in advance what to do, how to do it and who should do it. It is
necessary for a security executive to plan; the alternative is obviously to react to events
that have already occurred or try to solve problems that could have been avoided in the
first place. The first requirement in planning is to identify the overall objective and
purpose of the organization. Afterwards, the executive may start his own planning which

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should be objective and supports the organization's goals. One method of security
planning is to create an overall blueprint for security program based on the identified
vulnerabilities or the result of vulnerability assessment. Another method is to write
several plans such as a comprehensive emergency plan covering various anticipated
contingencies and various operational plans, policies, standards and procedures. Still
another way is the use of Action Plans showing three columns: the first column identifies
the planned activities, the second column identifies the action officer involved, while the
third column shows the time frame.

Development of Security Polices

A policy is a broad guide to management decision-making in situations of a repetitive
nature. Its purpose is to orient decision- making towards the organization's ultimate
objectives. Hence, a policy should reflect the objectives and be flexible and sufficiently
broad enough to be applicable to changing conditions. Nevertheless, security policies
vary from organization to organization. Beyond moral standards there seems to be little
commonality among organizations among organizations as to suggest standard policies
applicable to all.

Illustrations of Security Policies

1. In a Non-Union Company The company recognizes the loyalty of its employees and its
obligation as a corporate citizen to the community and thus fosters a cooperative attitude
in the protection of personnel and property.

2. In a Company with Union The company recognizes its obligation as a corporate citizen
to the community and thus, practices an aggressive policy of prosecution regarding theft
within the company.

3. Information Security Policy The computer center recognizes the proprietary interest of
the client entities who utilize the facilities of the center, hence, strictly controls
dissemination of management information on strictly need-to-know basis and only to
such persons that have been specifically cleared to receive such information.

Operating Level Policies

Major policies and procedures covering various areas of security will have to be
developed. The need to draw up specific policies such as "Access Control", "Key
Control", "How to Handle a Bomb Threat", etc., may be written as short as possible as a
basis for common interpretation or may include specific procedures in implementation of
a particular mandate from management.

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Financing
Managing security requires cash to carry out the various responsibilities involved. A
security executive should be able to have an enlightened view of what activities he plans
for a specific period, the expected operational conditions and the cost involved. A
security executive should have knowledge in forecasting and budgeting to make security
management successful. He should be familiar with the organization's stand on Return on
Investments and spending preferences.

Budgeting
A budget is usually a prepared annual plan stated in financial terms. It is ordinarily
finalized a few months before the start of the budget period. It contains the different items
for which costs are involved. No security organization can operate nor have its program
implemented without the budget.

The Process of Budgeting

1. Setting up of goals and objectives for a particular period, usually a year.
2. Budget development involving an evaluation of current activities, identification of
projected new activities, development of alternatives and determination of costs.
3. An evaluation and review of the recommendation

4. Budget establishment or allocation of funds

The process is set off by appropriate guidelines from senior management. The security
executive then prepares his program and various activities and costs. He develops and
recommends alternative courses of action.
The senior management then reviews the recommendations and makes decision on the
fund’s allocation.

Budget Costs and Justification

1. Salary Expense - Refers to total personnel costs. It is computed by adding up the total
monthly compensation of each employee and multiplying the total by 13 considering the
provision for the 13th month pay. Provision for expected salary increases should also be
made.

2. Sundry Expense - These are non-salary expenses such as supplies, uniforms, travel,
transportation, representation, contract services, professional fees, membership fees,
publications and subscriptions.

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3. Capital Expenditures - These are one-time expenses for physical improvements or
acquisition of equipment such as the purchase of communication equipment, computers,
firearms, vaults, alarm systems and construction of firing range.To justify the budget, the
following questions must be resolved:

•What must be done?

•How are we going to do it?
•When must it be done?
•How much will it cost?

Organizing
An organization is the orderly arrangement of manpower and material resources to
effectively carry out their intended purposes. It molds the activities of many people into a
smooth working team and could mean the difference between the success and failure of a
security department or company. A security organization must be planned in such a way
that it meets the needs of the enterprise it is responsible to secure. It must be designed
with the aim of helping a company fulfill its mission. Each sub-unit must be able to carry
out its assigned tasks at an acceptable level of efficiency. A security organization must
also be flexible in such a way that the structure must be able to adapt to necessary
changes without interfering with the major objectives of the organization. In other words,
the structure should enhance instead of impede the work of the department or agency.

Organizational Relationship
The following are the basic forms of organizational relationship:

1. Line Authority-Line authority is based in the relationship between a superior and a

subordinate level. It is formal managerial authority with the right and power to issue
commands, to exact accountability, and to discipline for violations.

2. Staff Authority - It is based on relationship between managers of auxiliary and

facilitating groups and the line organization. It is limited by absence of the right to
command beyond the staff group itself.

3. Functional Authority - Between the above-mentioned authorities is the functional

authority which is the formal power to command, limited to a specified area of expertise
which may be organization-wide and directed across substructures as sections,
departments and divisions.

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Organizational Principle
To come out with an effective security organization, the executive should be aware of the
following principles:

1. The work should be divided according to some logical plan. The five primary ways
are: purpose, process or method, clientele, time and geography.

2. Lines of authority and responsibility should be made as clear as possible. These are
reflected in the pyramid-like structure with blocks and lines known as "organization
chart" and with the positions of greater authority and responsibility located in the upper
levels.

3. There should be a "unity of command" in the organization. This means that an

employee should be under the direct control of one and only one supervisor at any given
time.

4. One supervisor can effectively control only a number of people, and that limit should
not exceed. This is known as the principle of span of control. At the highest level the
number is normally three and at the lowest level the maximum is 12.

5. Responsibility cannot be given without delegating commensurate authority, and there

must be accountability.
6. All efforts of sub-units and personnel must be coordinated into the harmonious
achievement of the organization's objectives.

Reporting Levels
Oftentimes, the security director/manager may report directly to the president or at least
one of the senior executives. He may also report to a middle management executive
which tends to limit his stature, authority and scope of his responsibility.

Typical Security Organization

There are factors that could dictate the type of security organization that an enterprise
may adopt. Among these are the corporate philosophy and purpose, the customers that
the security organization is serving, the particular nature of business activities, the
identified vulnerabilities and the location of a company's facilities.

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The Agency Operator/Security Director
The security executive usually wears two hats. First, the perception that he is an expert in
security; and second is the awareness that he is the highest management guy in the
hierarchy. Thus, he should be backed by a track record of success in handling people,
problem solving and professional competence.

1. Leader - His most basic role is to provide leadership, set the right climate, establish
the directions to take, motivate his people and try to bring out the best in them.

2. Company Executive - He is accepted by his senior management and peers as part of

the management team. He is discerned as a modern-day manager.

3. Executive with High Visibility - He is visibly recognized and participates in various

company activities and is a much sought-after speaker in his area of expertise.

4. Innovator - He is expected to be always on the lookout for better and less expensive
ways to do the job. He is not fearful of trying new ways and take risks.

5. Counselor/Adviser - He is able to provide advice, suggests alternatives, helps solve

problems.

6. Trainer-He establishes professional development and keeps his people attuned with
times and various requirements,

7. Contemporary Professional - He keeps abreast with current developments in the

profession by participating in meetings, conferences, and seminars, and subscribes to
security magazines periodicals.

8. Goal-Setter- He establishes objectives and defines the goals to be achieved. It starts

with the setting up of goals and objectives for a particular period, usually a
year.Afterwards, budget development follows.This involves an evaluation of current
activities, identification of projected new activities, and development of alternatives and
determination of costs. After these, an evaluation and review

Staffing and Administration

Ranks and Positions
The security agency operator/owner must observe the required major ranks and positions
in the organization of the agency, a prescribed by the implementing rules and regulation
of RA 5487, as amended.

A. Security Management Staff

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1. Security Director (SD) - Agency Manager/Chief Security Officer

2. Security Executive Director (SED) - Assistant Agency Manager/Assistant Chief

Security Officer.

3. Security Staff Director (SSD) - Staff Director for Operations and Staff Director for
Administration.

4. Security Staff Director for Training - Staff in- charge for Training
B. Line Leader Staff
1. Security Supervisor 3 - Detachment Commander
2. Security Supervisor 2 - Chief Inspector
3. Security Supervisor 1 – Inspector

C. Security Guard
1. Security Guard 1 - Watchman/guard
2. Security Guard 2-Shift-In-Charge
3. Security Guard 3-Post-in-Charge

D. Security Consultant (Optional)

Staffing Pattern
All security agency owners/managers shall follow the required staffing pattern as
prescribed under Rule IX, Sec. 2, NIRR of RA 5487, as amended.

1. The agency manager is automatically the Security Director who shall be responsible
for the entire operation and administration/management of the security agency. He shall
be the authorized signatory to all Duty Detail Orders, and all other documents and
communications pertinent to the operation and management of a security agency. He may
delegate certain functions to a subordinate, provided the subordinate is qualified to
discharge the given function in accordance with law.

2. Security Agency shall appoint a staff officer as Security Training Officer, who shall
be responsible for the training of the Agency's security personnel in accordance with the
requirements of RA 5487 and the IRR. The Training Officer shall be licensed as a
security officer and likewise accredited as such by the Training and Education Branch of
SOSIA.

3. Staff Director for Operations is the staff assistant of the security manager for the
efficient operation of the agency. This position includes the responsibility to canvass
clientele and the implementation of contract and agreement. He is also responsible for the
conduct of investigation and the conduct of training,

4. The Staff Director for Administration is the staff assistant of the agency manager for
the effective and efficient administration and management of the agency. He is

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responsible for the professionalization of the personal, procurement/recruitment,
confirming of awards, mobility and issuance of FA's.

5. The Detachment Commander is the field or area commander of the agency. The
Detachment shall consist of several posts.

6. The Chief Inspector shall be responsible for inspecting the entire area covered by the
detachment.

7. The Security Inspector is responsible for the area assigned by the Chief Inspector of
the Detachment Commander,

8. The Post-in-charge is responsible for the entire detailed security office within a
certain establishment.

9. The Shift-in-charge is responsible for the security officers who are scheduled in a
certain shift for a particular period.

10. The Security Guard is the one actually posted as watchman and or guard.

Position Standards
One of the major tasks of the corporate security executive which cannot be delegated is
the setting up of standards for key positions in his organization. Also, more often than
not, he himself would establish the standards for his own position especially if it is a
newly created one. Among the areas defined by the Job Description are the job functions,
reporting relationship, skills required, managerial capabilities, education and training,
years of experience and personal circumstance.

Hiring
This process involves sourcing of candidates through advertisements or referrals,
interviewing, short listing, background investigation, selection of the best candidates and
finally preparing the job offer.

Training and Professional Development

Although there have been state-of the-art developments in the field of security as far as
technologies and various literature are concerned, it is quite obvious that these will not
immediately take place in the country. The assurance of professional development that a
junior security officer could hope for is to do research of his own and to associate himself
with and be an understudy of somebody with recognized professional competence.

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Discipline
Below are some of the basic rules of discipline:

1. Put rules in writing and ensure that employees understood them. Employees are
entitled to know what is expected of them.

2. Do the disciplining in the privacy of the office. Do not chastise one in the presence of
others.

3. Be objective and consistent. Discipline condemns the act and not the person.

4. Educate and do not humiliate. The idea is to help, not to hurt.

5. Keep a file of all employees' infractions. This can come handy later on.

5. Exercise discipline promptly. Delay raises questions.

Appraisal of Results
A performance appraisal should be done to measure and evaluate the performance of
subordinates on a regular basis. It can be done annually or semi-annually. This is the
usual basis for administrative actions such as promotions or salary increase or on the
extreme, the basis for separation from the organization.

Promotions
Promoting deserving employees is one of the important functions of a security executive.
If there's a vacancy, he has the option to fill tup by promoting a staff member based on
his track record and his expected performance in the higher position.

Morale and Welfare

In security, all things being equal, employee welfare should be en the utmost importance
along with morale. The security executive should be able to motivate his subordinates,
make them function as Beam and instill pride in and identification with their
organization. The security executive should realize that the manpower is "product" thus,
the people's well-being, welfare and morale should their principal considerations.These
include the achiever's recognition professional development, fairness and consistency.

Communication
Continuing communication within the security organization and with other subdivisions
of the company is major responsibility of the security executive. He should be able to
communicate upward, downward and laterally; as well as receive communications from
above below and laterally.

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Some Management Principles
Security practitioners should be conversant with the following
"Ten Management Rules."

1. Definite and clean-cut responsibilities should be assigned to each executive

2. Responsibility should always be coupled with corresponding authority.

3. No change should be made in the scope or responsibilities of a position without a

definite understanding to that effect on the part of all persons concerned.

4. No executive, or employees, occupying a single position in the organization should be

subject to definite orders from more than one source.

5. Orders should never be given to subordinates over the head of a responsible executive.
The management should instead supplant the officer-in-question.

6. Criticisms of subordinates should, whenever possible, be made privately, and in no

case should be criticized in the presence of executives or employees of equal or lower
rank.

7. No dispute or difference between executives or employees as to authority or

responsibilities should be considered too trivial for prompt and careful adjudication.

8. Promotions, wage adjustments and disciplinary actions should always be approved by

the executive immediately superior to the one directly responsible.

9. No executive or employee should ever be required or expected to be at the same time

an assistant to, and critic of, another.

10. Any executive whose work is subject to regular inspection should whenever
practicable, be given the assistance and facilities necessary to enable him to maintain an
independent check of the quality of his work.

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 Chapter 11
IMPLEMENTAION, PROBLEM-SOLVING AND AUDIT/INSPICTION

GROUP 4 | LEA 202 | 2022-2023

Learning Objectives

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At the end of this chapter, the student will be able to:

•Enumerate the top management's responsibilities in the implementation of security

programs; Enumerate problem solving techniques and pitfalls in decision making;

•Enumerate factors that affect a decision;

•Enumerate the question to be used in conducting a security audit; and

•Explain formal, informal, structured and unstructured security audits.

Program Implementation
Top Management's Responsibility
The top management should always be interested in the implementation of any security
program. They must extend complete support to the program on a continuing basis. They
must be willing to take actions to ensure that employees at the other levels comply with
requirements that have been established for the protection of personnel and other assets.
The responsibility and accountability for the implementation are delegated to the security
executive. Thus, he would function as a steward doing the necessary management work
for and on behalf of top management. Involvement of Others Non-security employees
can be of great assistance in the implementation of the security program and their active
participation can contribute to its success. Thus, it is important to keep other employees
aware and involved.

Setting Priorities and Meeting Schedules The higher the criticality rating of the identified
vulnerability, the higher is its priority in the implementation of countermeasures. It is
important also that the time frame established be met otherwise it could affect the entire
program.

Drills and Rehearsals

Some areas of the security program would need regular drill or rehearsals which
stimulate anticipated conditions, i.e. crisis management, fire drill, bomb threat handling,
and response to a robbery.

Validation and Updating of Plans

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During program implementation, opportunities arise to improve countermeasures or
reinforce those found effective. If new conditions present themselves, necessary
adjustments sometimes need to be made in the security program.

Program Evaluation
At the end of the timetable or drills, rehearsals, the security program or part of it need to
be evaluated. Issues such as relevance or adequacy of countermeasures, cost
effectiveness, etc, need to be addressed to check the existence of vulnerability which may
trigger the need for a much responsive security program.

PROBLEM SOLVING AND DECISION- MAKING

Problem Solving Techniques
The successful security executive is a problem solver. He is able to solve most of the
problems through quick evaluation of the situation against experience and logic
employing the following seven steps of problem solving:

1. Clearly Defining Problem - He ensures he has the complete grasp of the problem
at hand. He is able to define and clarify issues involved.

2 Gathering Information He gathers information through research and interviews. It

may require putting the information gathered in document form, in tapes or indexes

3.Interpretation - The gathered information is put together to arrive at a clearer

picture and try to ascertain the meaning and related implications.

4. Developing Solutions - The security executive may come out with a solution and
several alternatives. In this step he should be guided by the principles and techniques
of effective management and company polices.

5. Selecting the Best Solution - From several alternatives the security executive
selects the best practical solution considering the short- and long-term effect of each
possible solution.

6. Putting the Solution into Operation-One the most appropriate solution is chosen,
implementation is next. This is critical as it may involve changes be difficult to
accept. There might be a need to sell the solution to others.

7. Evaluating the Effectiveness - The plan or solution should be reviewed

periodically for effectiveness. A comparison between the ideal solution and the actual
practice may be made.

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Some Pitfalls in Decision Making
The appropriate decision and taking responsibility for it is a critical function of any
executive, much more a security professional, The security executive should avoid
the following:

1. Jumping into conclusion

2. Accepting the first choice

3. Accepting the easiest way out

4. Procrastinating

5. Letting prejudices or emotions influence

6. Failing to get the facts

7. Failing to weigh the alternatives

8. Failing to consider consequences

9. Fearing to take risks and assume responsibility

Factors Affecting a Decision

1. Prior Experience - A tried and reliable course of action that worked before may
very much work again in similar situation.

2. Self Interest-One's own interest may not be the best for others. The ideal situation
here is to balance one's interest with those of the others.

3. Tradition - There are good traditions but there are those that limit the way of
doing things and become the basis for decision because they form the easiest way out.

4. Creativity - This is the opposite of tradition. It has resulted in a lot of good in

some areas but for the sake of change is not a healthy way to arrive at a decision.

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5. Authority or Expert Opinion -This should be given great consideration.
However, the security executive should make certain that they are really experts
rather than products of media hype.

6. Logical Thinking - The decision is based on sufficient facts and thorough analysis
leading to clear conclusion and good decision.

7. Emotion and Prejudice - The decision should be free from bias and sentiment. It
may lead to favoritism and irrational decision-making.

8. Ease of Execution-All things being equal, security executives confronted with

problems would like an easy way out, but the easy way out is not usually the best way
out. Security Audit/Inspection

Rationale for Security Audit

There usually is a need for a formal audit or inspection to: check the degree of
compliance with the recommended countermeasures and to determine the
effectiveness and adequacy of the countermeasures in effect.

Conduct of the Audit

A security audit has for its basis the security survey and the vulnerability assessment
reports prepared during the previous period. A checklist for the purpose ensures that
all areas are covered. The following questions should also be used:

1. Why are we doing it?

2. Must we do it all?

3. If we must, is there a better way?

4. Is there a less expensive or more cost-effective way?

Formal and Informal Security Audit

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 A formal security inspection is announced and is communicated to the organization
or unit in advance. All documents needed are prepared beforehand. An informal audit
is the result of an entrenched and institutionalized system understood and accepted as
part of the organizational life conducted in the spirit of cooperation and
understanding.

Structured and Unstructured Audit

A Structured audit has a format or logical sequence to the process. The unstructured
audit is conducted in a random manner without any formal or logical sequencing.
Ascertaining Compliance

The inspector should establish that the countermeasures are as they ought to be. It is
possible that the unit or people being audit do not do what is expected of them.
Deficiencies note should always be highlighted and follow through scheduled and
implemented, otherwise, vulnerabilities will persist.

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