India Inc ill-prepared for terror

Survey shows that 53 per cent have not conducted threat analysis

Survey shows that 53 per cent have not conducted threat analysis

EVEN after two months of hullabaloo over security, corporate India remains unprepared for the threat of terror, says a new nationwide survey report.

The report, titled 'Corporate India and Changing Face of Terrorism' by KPMG, highlighted the fact that a whopping 53 per cent respondent companies did not conduct threat analysis for a terror attack. This means they have no maps of their premises in case terrorists break in, they haven't apprised employees on how to react in an emergency and few even consider terror a risk.

Moreover, only IT companies remained conscious in their efforts towards employee checks, while healthcare and real estate businesses are slowly beginning to conduct stringent checks post 26/11.
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Preparedness is key
The global view is that cosmopolitan areas have become prime targets for terrorism. "7/7 was a massive wake up call for us in the same way 26/11 was for Mumbai," said Richard Barnes, deputy mayor of London, who was in the city this week for the Bombay First and London First security conference. "Security should be the responsibility of not only a police force of 2,000 men, but of 7 million residents."

Terror perception remains an ignored aspect for corporates. Only 18 per cent in the survey considered terror a high risk, just 24 per cent had a comprehensive terror response plan and 49 per cent respondents admitted that their employees had no idea of how to react in case an incident took place.

"When the NSG commandos arrived at the Taj Hotel, there were no maps, no lists or briefings," said Captain Raghu Raman, CEO of Mahindra Special Services Group. "We're already facing a shortage of over 10,000 officers in the Indian Army, so personal security has to be our own responsibility," said Raman.

Tightening purse-strings
Unfortunately, with recession eating into annual turnovers, spending on security seems an unnecessary expense. "We don't need security subsidies, we need financial security," said Anand Gupta, general secretary of the Builder's Association of India. Like Gupta, several establishments feel that security spending is not an investment. "Unemployment that could lead to a greater problem," he said.

The situation is no different across the globe. "The downturn has and will affect the way the world looks at security, but rationally, it should remain in the budget. Yes, scanners and metal detectors are expensive but your life is more valuable than that," said Emily Landis Walker, who served on the 9/11 Commission. Walker added that states in the US post 9/11 get funding from the government to enable security installation, but only if they meet standards. Appropriations for Homeland Security in the United States for 2008 ran into 37.67 billion dollars (Rs 1.83 lakh crore). On the other hand, small establishments in Mumbai are required to bear this expense, so they often decide to give it a slip.

Indian lessons to learn
And even as 7/7 and 9/11 serve as terror benchmarks, the city's post disaster recovery has a lesson or two for security experts abroad. David Olive is rated one of the US top Homeland Security advisors. "Take this hotel for instance," said Olive, talking to this paper at the Taj Mahal Palace and Tower. "In three weeks, this hotel is up and running, but when I or any other US citizen visits Ground Zero, we still see a hole in the ground. This city and how it is coping with a new normal is noteworthy."

What India Inc says
Air India: Jitendra Bharghava, executive director, said that security had been a prime concern ever since the 1985 Kanishka bomb incident. "For many years, we remained the only building at Nariman Point with X-ray scanners for baggage and metal detectors for visitors. Recession will not effect security budgeting as security has never fallen in the cost control area."