One of the greatest challenges to corporate security directors is demonstrating the value of their security budget to decision makers, who are, in turn, trying to determine necessary operational expenses and investments. Through our experience, corporate security can be considered a business enabler due to the prevalence of risk management and the role that corporate security plays in mitigating risk. It is a common practice, however, for corporate security to be considered a cost center.
At Pinkerton we help our clients build a business case that quantifies their return on investment on security and risk management spend. For instance, the impact of just one significant incident — such as physical security breach, theft, or workplace violence — could far exceed an organization’s total annual security budget with direct financial losses and legal implications as well as the loss of assets, inventory, and employee productivity. And depending on the severity of the incident, there may be longer-term consequences such as decreased consumer confidence, reputational damage, increased insurance premiums, and facility closures.
Assess and design methodology
While there is no universal answer to how much an organization should spend on its security, Pinkerton is here to assist you in protecting what you value most and to demonstrate how your security budget can deliver an efficient ROI.
Our team works with your team to review program, incident, threat, and expenditure data to identify qualitative and quantitative trends and build threat scenarios. Then, we calculate the cost impact to determine the ROI range per security initiative, deliver a detailed analysis of findings and benchmarks, and provide Pinkerton initiative recommendations and implementation roadmaps aligned with your chosen option.
When you can empirically demonstrate the value of your holistic security program and tie your security budget to people and increased profits, you are helping your organization achieve its business goals and work toward an innovative future.
Connect with a trusted risk advisor to start your Return on Investment Analysis.