Chapter 2



Chapter 1

Origins and Development of Security

Learning Objectives

After studying the chapter the student should be able to:

✓ Outline the historical development of security in America

✓ Discuss changing crime trends over the past decades

✓ Understand the roll of professional associations/organizations in the development of a professional security industry

✓ Consider the changing role of security in our 21st Century world

Chapter Outline

Introduction

Security

1 A stable, relatively predictable environment in which an individual or group may pursue its ends without disruption or harm and without fear of disturbance or injury

1 The concept of security in an organizational sense has evolved gradually throughout the history of Western civilization

2 Security holds a mirror up, not to nature, but to society and its institutions

3 As a response to, and a reflection of, a changing society -- mirroring social structure, economic conditions, perception of law and crime, and morality

Security in England

6 Development of systems of security and law enforcement began to come with greater rapidity and sophistication from the 14th – 18th Century

• Some of the forces at work:

o Opening of new markets and trade routes, creating a merchant class

o Acts of enclosure and consolidation, causing migration of small tenants from rural to urban areas

o Increased urbanization led to greater extent of poverty and crime

o By the 1700;s, different kinds of police agencies were privately formed, and attention turned to reaffirmation of laws to protect the common good

• By the 18th Century, it is possible to discern the shape of efforts toward communal security and the kinds of problems that would continue to plague an increasingly urban society into modern times

o The use of tax revenues for common security purposes

o Fielding credited with conceiving the idea of preventing crime instead of seeking to control it

• The impact of the industrial expansion, beginning in the latter half of the 18th Century

o Again, people flocked to the cities, lured by promises of work and wages

o Long hours, crippling work, low wages

o Thievery, crimes of violence, and juvenile delinquency were the order of

the day

o Little was done to alleviate the growing problems

▪ Counterfeiting was so common, it was estimated that more counterfeit money was in circulation than government-issued money

▪ More than 50 false mints were found in London alone

o Backlash: Penalties were increased to deter potential criminals; yet there

was no visible decline in crime

o Private citizens resorted to carrying arms for protection, and they banded

together to hire special police to protect their homes & businesses

Security in the United States

Early days of colonial America – security practices followed the patterns that colonists had been familiar with in England

The need for mutual protection in a new land drew them together in groups much like those of earlier centuries

Inhabiting the Eastern US

The need for protection against hostile Indians and other colonists—French and Spanish—was their principal security interest

Settlements generally consisted of a central fort or stockade surrounded by the farms of the inhabitants

If hostilities threatened, an alarm was sounded

The members of the community left their homes for the protection of the fort, where all able-bodied persons were involved in its defense

Protection of People and Property in Established Towns

Followed English traditions

Sheriffs were elected as chief security officers in colonial Virginia and Georgia;

Constables were appointed in New England

Watchmen were hired to patrol the streets at night

1 Were without training

2 Had no legal authority

3 Were either volunteer or else paid a pittance

4 Were generally held in low regard

Development of Private Security

Followed no predictable pattern

New York City

Little effort to establish formal security agencies was made until the beginnings of a police department were established in New York City in 1783

Adopted Sir Robert Peel’s security initiative

One by one, more cities established police departments:

Detroit in 1801

Cincinnati in 1803

Chicago in 1837

San Francisco in 1846

Los Angeles in 1850

Philadelphia in 1855

Dallas in 1856

• However, by and large, most American police departments of the early 19th Century were inefficient, ill-trained, and corrupt

Allan Pinkerton

From Scotland

Chicago Police Department’s first detective

Established what was to become one of the oldest and largest private security operations in the United States, Pinkerton.

Pinkerton’s North West Police Agency

1 Formed in 1855

2 Provided security and conducted investigations of crimes for various railroads

Henry Wells and William Fargo

Partners in the American Express Company, 1850

Chartered to operate a freight service east of the Mississippi River

By 1852, had expanded their charter westward – Wells Fargo & Company

o Had their own detectives and security personnel

Washington Perry Brink

Founded Brinks, Inc., in 1859, as a freight and package delivery service

30 years later, in 1891, he transported his first payroll—the beginning of armored car and courier service

By 1900, Brinks had a fleet of 85 wagons in the field

William J. Burns

Started the William J. Burns Detective Agency in 1909

Became the sole investigating agency for the American Bankers’ Association and grew to become the second largest (after Pinkerton) contract guard and investigative service in the United States

Edwin Holmes

Offered the first burglar alarm service in the country in 1858

Purchased an alarm system designed by Augustus Pope

American District Telegraph

American District Telegraph (ADT) was founded in 1874

Installed alarms and provided response to alarm situations as well as maintaining their own equipment

Contract Securities

Only private agencies provided contract security services to industrial facilities across the country

Proprietary, or in-house, security forces, hardly existed before the defense-related “plant protection” boom of the early 1940s

Major Leap Forward

Defense Industrial Security Program (DISP)

Formation of the American Society for Industrial Security (ASIS) in 1955

Today the organization is the American Society for Industrial Security International

Reflecting the global emphasis on security operations

1955 signifies the beginning of the modern age of security

Today

Changed climate for increased security services came as businesses undertook expanded operations that in turn needed more protection

A serious need to protect their property and personnel

Retail establishments

Hotels

Restaurants

Theaters

Warehouses

Trucking companies

Industrial companies

Hospitals

Other institutional and service functions

• The largest firm in the 21st Century is Securitas

First Line of Defense

Security officers were the first line of defense

Not long before they were challenged by the increasing complexity of:

1 Fraud

2 Arson

3 Burglary

4 other areas in which more sophisticated criminal practices began to prevail.

Private Consulting was the Result

Consulting agencies and private investigation firms were founded in increasing numbers to handle these special types of cases

The private sector entered security in another form during the 1960s and 1970s

o Created central repositories of security information

Groups became deeply entrenched as providers of valuable information and services

Alliances

Bureaus

Institutes

Some Presently Existing Groups

National Insurance Crime Bureau (NICB)

1. International Association of Arson Investigators (IAAI)

2. Property Loss Research Bureau (PLRB)

Jewelers Security Alliance (JSA)

Internet Assistance

Providing fast service for those looking for information ranging from criminal histories to credit checks

A number of web sites sell information for fees ranging from a low of $15 to over $100 for each search request

The Costs

• Expenditures in private sector exceeded $100 billion annually in 2000, up from $66 billion in 1998

• Expenditures continued to grow, due to

Threat of terrorism

Kidnapping of executives assigned outside the US

Drugs and violence in the workplace

Crime Trends and Security

1950s to the late 1970s: Crime epidemic

Continuing steady increase in crimes of all types until 1981

Then, a modest overall decrease which continued through the beginning of the 21st Century

2005 – 2006: Violent crime slightly up; property crime slightly down

• 2007 – 2009: Violent crime and property crime both down

Decline of Offenses

NCVS indicates a decline in the number of crime offenses, but the cost of business crime continues to increase

Still, the extent of, and cost of, crime against businesses has not been adequately measured since the 1980s

Most Serious Economic Crimes

• According to a 2002 Joint Conference of the National White Collar Crime Center and the Coalition for the Prevention of Economic Crime, the most serious economic crime problems:

Money laundering

Identity fraud

E-commerce crime

Insurance crime

Victim services

Terrorism

• The amount of “dirty money” worldwide tops $3 trillion

• According to the US Department of Treasury, 99.9% of foreign criminal and terrorist money which the US attempts to stop, gets deposited into secure accounts

• Much internal crime in particular is never reported to the police

• Security concerns remain for employee theft, property crime, and issues related to safety

• Newest problems revolve around fraud, computer crime, workplace violence, and terrorism

• In addition, the rapidly changing technology is often far out ahead of security measures

o Example: The Internet has provided unheard-of opportunities to seal or manipulate intellectual property

Link Between Cultural & Social Changes and Crime

There is always an intimate link between cultural and social change and crime, just as there is between crime and the security measures adopted to combat the threat

A variety of causes, both social and economic, are cited for rising crime in this era, including:

An erosion of family and religious restraints

The trend toward permissiveness

The increasing anonymity of business at every level of commerce

The decline in feelings of worker loyalty toward the company

A general decline in morality accompanied by the pervasive attitude that there is no such thing as right and wrong

Changes in Attitudes, Personal Values, and Technology

Changes in attitudes, personal values, and technology advances have created new problems for security managers

Examples:

1 McDonnell Douglas Corporation fired 150 employees who allegedly used interest-free company loans intended for the purchase of computers to buy stereo equipment and other luxury items

2 These problems are dwarfed by the recent problems created by accounting practices at World Com, Enron, and others

Sarbanes-Oxley Act of 2002

Passed in the wake of the Enron scandal

Requires greater financial disclosure and audits

Since the Stock Market Crash of 2007

Additional regulations of financial businesses by the federal government

Magnitude of Crime

The sheer magnitude of crime in our society prevents the criminal justice system by itself from adequately controlling or preventing crime

Public law enforcement agencies have increasingly been compelled to be reactive and to concentrate more of their activities on the maintenance of public order and the apprehension of criminals

Growth of Private Security

In recent times, society has relied almost exclusively on the police and other arms of the criminal justice system to prevent and control crime

But the sheer volume of crime and its cost, along with budget cutbacks in the public sector, have overstrained public law enforcement agencies

Private security must play a greater role

In 2009, there were 1.2 million protective service employees, compared to only 64,590 police officers

o Thus, security employees outnumbered public police officers by a ratio of almost 2:1

Growing Pains and Government Involvement

Inevitably, the explosive growth of the security industry in response to the world terrorism will not be without its problems.

o Among these are issues leading to rising concern for the quality of selection, training, and performance of security personnel.

Training of Security Personnel

Considering the importance of private security personnel in the anticrime effort and their quasi-law enforcement functions, it is ironic that they receive so little training in comparison to their public-sector contemporaries

Police officers receive on an average of 720 pre-service training hours, prior to licensing or certification by state police training boards

Security officers, on the average, receive less than eight hours of pre-job training; and often this training is completed through an orientation video

• On the other hand, some security companies provide excellent pre-service and in-service training

Increased Federal Interest in Setting Minimum Standards

The Sundquist Bill: Introduced in 1993 by Representative Don Sundquist (R, TN)

spelled out specific training requirements for security personnel

recommended 16 hours of training for unarmed officers and 40 hours for armed personnel

Private Security Officer Employment Standards Act of 2002

o Allowed all security employers access to federal employment background

checks

Professionalism

Private security has moved toward a new professionalism

Code of Ethics

Credentials

Education and training

Experience

Membership in a professional society

Organizations Supporting the Efforts toward Professionalism

ASIS (defined earlier)

Academy of Security Educators and Trainers (ASET)

International Association for Healthcare Security and Safety (IAHSS)

National Association of School Security Safety and Law Enforcement Officers (NASSLEO)

Security Industry Association (SIA)

Still, More Effort Needed

Many security officers underpaid, undertrained, and under-supervised

ASIS

Established the Certified Protection Professional (CPP) program

Requires security managers desiring certification to be nominated by a CPP member and to complete a rigorous test

International Foundation for Protection Officers

Development of the Certified Protection Officer (CPO) program in 1986

o Being offered at a number of colleges

C. West Churchman

Outlined a systems approach

The process of focusing on central objectives rather than on attempting to solve individual problems within an organization

The management team can address specific problems that will lead toward the accomplishment of the central objective

These problems must be approached from a team perspective – e.g.:

o Development of joint councils, to improve communication between public and private sector

o Cooperation among various law enforcement agencies at all levels, as well as private security organizations

o Establishment of the Department of Homeland Security, to increase the interoperability of all areas of the Criminal Justice System

Summary

The basic theory of protection has changed little over the past centuries

Not every security measure has kept pace with the development of technology

The one thing that has changed as we enter the Twenty-first Century is the need to consider terrorism as a major threat to our country and its businesses

Suggested Activities

Discuss the Critical Thinking exercise.

Ask individual students to research and report on the key figures mentioned in this chapter.

Discussion Questions

In addition to the review questions

1. What are the major factors leading to professionalizing the security field?

2. Has the concept of security changed since the days of feudalism? If so, discuss the major differences.

3. What impact have the events of 9/11 and its aftermath had on the security field?

Additional Resources

Internet Sources

Department of Homeland Security

Academy of Security Educators &Trainers

American Society for Industrial Security

Federal Bureau of Investigation

National Institute of Justice

National Criminal Justice Reference Service

Bureau of Justice Statistics ojp.

National Insurance Crime Bureau

Books

Churchman, C. West, The Systems Approach, Dell Publishing, New York, 1968.

Cox, Steven M. and William P. McCamey, Introduction to Criminal Justice, 5th edition, Carolina Academic Press, 2008.

Sample Test Questions

True or False

T* F One of the oldest contract security companies in the United States is Pinkerton.

T F* Expenditures on private security have decreased significantly in the past 15 years.

T* F Security implies a stable, relatively predictable environment in which an individual or group may pursue its ends without disruption or harm and without fear of disturbance or injury.

T F* As a whole, most American police departments of the early nineteenth century

were efficient, well-trained, and free of corruption.

T F* The first federal bill attempting to regulate private security was presented to

Congress in 1951 by Representative Matthew Martinez.

T* F Henry Fielding is credited with conceiving the idea of preventing crime instead of

seeking to control it.

T* F Proprietary, or in house, security forces hardly existed before the defense-related

“plant protection” boom of the early 1940s.

T* F The largest US security firm in the 21st Century is Securitas.

T F* According to the US Department of Treasury, less than 50% of foreign criminal

and terrorist money which the US attempts to stop, gets deposited into secure

accounts.

T* F There is always an intimate link between cultural and social change and crime.

T F* In 2009, the number of public police officers outnumbered protective service

employees by a ratio of almost 2:1.

T* F On average, police officers receive significantly more pre-service training than

security officers.

T F* The Private Security Officer Employment Standards Act of 2002 spelled out

specific training requirements for security personnel.

Multiple Choice

In what year was the American Society for Industrial Security (ASIS) formed?

a) 1950

b) 1955*

c) 1960

d) 1965

e) 1970

All of the following are reasons for the recent increase in expenditures for security in the US, except:

a) drugs and violence in the workplace

b) the significant, steady increase in all types of crime in the past 10 years *

c) the threat of terrorism

d) the kidnapping of executives assigned outside the United States

Development of security in England increased greatly during the 14th – 18th Centuries due to which of the following factors?

a) the decrease in markets and trade routes

b) increased urbanization, which led to a greater extent of poverty and crime *

c) a decrease in the number of acts of enclosure and consolidation, affecting

tenant farmers

d) all of the above

Beginning in the latter half of the 18th Century in England, which of the following was/were true?

a) Workers were exposed to long hours, crippling work, and low wages

b) Thievery, cries of violence, and juvenile delinquency were the order of the day

c) More counterfeit money was in circulation than government-issued money

d) All of the above *

e) Both a and c

Which city was the first to establish a police department in the US?

a) New York City *

b) Chicago

c) San Francisco

d) Philadelphia

Henry Wells and William Fargo were partners in what company, initially established in 1850 and eventually becoming Wells Fargo?

a) American District Telegraph

b) Enron

c) American Express *

d) Brinks

Who established the first armored car and courier service?

a) Washington Perry Brink *

b) William J. Burns

c) Edwin Holmes

d) West Churchman

What former Secret Service investigator started a major detective agency in 1909?

a) William Fargo

b) William J. Burns *

c) Edwin Holmes

d) West Churchman

What was the first major company to install alarms and provide response to alarm situations?

a) Brinks

b) PerMar

c) American District Telegraph *

d) American Express

What year signifies the beginning of the modern age of security?

a) 1940

b) 1955 *

c) 1971

d) 2001

Which of the following industries currently has/have a serious need to protect its/ their property and personnel?

a) hotels

b) retail establishments

c) trucking companies

d) hospitals

e) all of the above *

Due to the recent increased complexity of fraud, arson, burglary, and other areas of sophisticated criminal practices, which of the following has/have occurred as a response?

a) There has been an increase in the number of consulting agencies and private

investigative firms

b) Central repositories of security information have been created

c) There has been an increase in the number of websites selling information

ranging from criminal histories to credit checks

d) All of the above *

e) Both b and c

Since 1981, there has been a modest overall decrease in crime, except for which years?

a) 2001-2001, when terrorism caused all types of crime to significantly increase

b) 2005-2006, when violent crime was slightly up but property crime was slightly

down *

c) 2005-2006, when property crime was significantly up and violent crime

significantly decreased

d) None of the above

According to 2002 statistics, all of the following is/are among the most serious of economic crime problems except:

a) DVD piracy *

b) money laundering

c) identity fraud

d) insurance crime

e) E-commerce crime

Reasons cited for rising crime in this era include all except:

a) an erosion of family and religious restraints

b) the trend toward permissiveness

c) an increase in feelings of worker loyalty toward the company *

d) the increasing anonymity of business at every level of commerce

e) a general decline in morality accompanied by the pervasive attitude that there is

no such thing as right and wrong

An act passed in 2002, in the wake of the Enron scandal, requires greater financial disclosure and audits for public companies. What is the name of this act?

a) Gore bill

b) Sarbanes-Oxley Act *

c) Sundquist Act

d) Shepard Act

Organizations supporting efforts toward professionalism of security personnel include:

a) Academy of Security Educators and Trainers (ASET)

b) American Society for Industrial Security (ASIS)

c) Security Industry Association (SIA)

d) All of the above *

e) Both b and c

What was C. West Churchman’s contribution to security management?

a) He sponsored the Sundquist bill

b) He developed the Code of Ethics for the security profession

c) He outlined a systems approach, which focuses on central objectives within an

organization *

d) He conceived the idea of preventing crime instead of controlling it

Essay

Describe the historical development of private security in the United States?

Main Points:

Night Watch

Allan Pinkerton

Henry Wells and William Fargo

Washington Brink

William Burns

Edwin Homes

The American Society for Industrial Security (ASIS)

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