Hi-Tech-Consulting

Workers Behaving Badly
The Conference Board Review (02/10) Liberman, Vadim

In the wake of market crashes and company frauds, many organizations have called for a zero-tolerance policy on unethical workplace behavior. There is always a line, however, somewhere between the unethical actions of taking an office pencil and that of committing Enron-sized fraud. Some studies have shown that about one-third of company employees steal supplies occasionally, half of them do it regularly, and about one-fifth of them steal large amounts, meaning that nearly everyone does this at some point. Sociologists have suggested that companies may want to look the other way when workers commit small infractions, allowing them to let off some steam, rather than crack down on minor thefts that could fuel resentment and prompt a larger act of retribution. Other businesses have simply accepted the losses of stolen office supplies as a cost of doing business. Experts also acknowledge, however, that too much permission may lead to even greater infractions and losses in profit, while drawing the line between small problems and significant ones is usually difficult, if not impossible. To rein in smaller unethical actions, managers and executives may want to address specific problems that they have witnessed, such as a suspicious expense accounts. This carries additional problems, says the article’s author, Vadim Liberman, as a company may risk an even larger loss if their best workers are reprimanded, so “playing dumb to his self-appointed ‘perks’ might be not only your smartest move but also your most ethical if it means making enough money to keep other workers employed.” At the same time, other employees may resent what they see as preferential treatments, so companies must engage in a cost-benefit analysis even when it comes to office ethics. Business-ethics consultant Lauren Bloom pointed out, “Unless you’re talking about illegal things, ethics are always to some degree a bit of a judgment call.” Ultimately, companies may not want to try drawing a line at all, but instead make sure their employees know what is generally expected, and are aware of the organization’s overall values.

How to Handle Poison Pen Letters
Security Management (02/10) Vol. 54, No. 2, P. 52; Brenzinger, Mark ; Flora, Timothy; Rush, Henry

Companies that receive letters threatening their executives should take these messages seriously, instead of simply ignoring them as they often do. One of the first things that a company can to do to respond to a potential threat to an executive is to hire a firm that can provide it with logistical support and threat assessment services. During this assessment, the firm will try to determine whether the threat is credible and whether the writer of a threatening letter is preparing to take action on his threats. If investigators determine that the letter writer is preparing to commit a violent act, they should try to determine when and where the attack will take place. The assessment will also try to determine what is motivating the person who wrote the threatening letter. Once companies have an idea about what may be motivating the person to commit a violent act, they can take steps to mitigate the threat, including trying to resolve any issues that the person may have with the company. Companies should also implement policies for dealing with threatening letters to ensure that any threats do not go overlooked. Finally, companies may want to consider forming a threat assessment team made up of existing security personnel to analyze threats and determine how serious they are.

Wanted: Defense Against Online Bank Fraud
Wall Street Journal (02/08/10) Richmond, Riva

A growing number of small businesses are losing large sums of money through attacks on their online banking accounts. In these attacks, hackers send an e-mail with a link to a malicious site to employees who handle their company’s financial accounts. These malicious sites then steal the username and passwords the employees use to log in to their online banking accounts. Once they have broken into the accounts, the hackers send payments to so-called “money mules” in Eastern Europe, who handle money for online criminal organizations. Over the past year, hundreds of millions of dollars have been stolen from businesses in this manner, according to Shawn Henry, the assistant director of the FBI’s Cyber Division. Much of this money is being stolen from small businesses, because they tend to use smaller, regional banks that do not have the resources to stop attacks. There are a number of steps that small businesses can take to protect themselves from attacks on their online banking accounts. In addition to using security features on Web browsers, companies should also ask their banks to establish “dual controls” on their accounts so that all transactions must be approved by two people. Companies can also create restrictions on adding new payees to their online banking accounts. Finally, companies should be sure to check their bank balances and scheduled payments at the end of each workday, since doing so allows the bank to stop any fraudulent payments before they are made.

Heists Targeting Truckers on Rise
Wall Street Journal (02/01/10) P. A3; Levitz, Jennifer

Criminals are increasingly stealing tractor trailers filled with cargo such as electronics, food and beverages, clothing, pharmaceuticals, and cigarettes, statistics show. According to the Austin, Texas-based supply-chain security firm FreightWatch International, 859 truckloads of items were stolen last year, up from 767 in 2008. The collective value of the items in the trucks stolen in 2009 totaled $487 million, up 67 percent over the $290 million worth of items that were stolen in 2008. Sgt. Sid Belk of the California Highway Patrol, whose state has been one of the hardest hit by the wave of tractor trailer thefts, said many of the tractor trailers are being stolen by amateurs, though organized-crime rings may be involved as well. In response to the problem, freight shippers have been holding more meetings with police departments and have been trying to persuade owners of truck stops and drop lots to boost security. In addition, shippers have begun sharing information about the kinds of items that are stolen the most, so that everyone throughout the supply chain can pay extra attention when those items are shipped.

Tough Times Leave Employers on Edge About Workplace Violence
GateHouse News Service (02/02/10) Adams, Steve

Although data released by the federal government shows that the number of workplace killings is on the decline, the threat of workplace violence is up due to the economic stress many employees are under, experts say. “As people get more stressed, they start thinking about their survival skills and don’t take a look at how their behavior is affecting their co-workers,” said Mark Lies, a partner with the Chicago law firm Seyfarth Shaw and an expert in workplace violence issues. Lies and others say there are a number of steps employers can take to mitigate this threat. For instance, employers should adopt anti-bullying policies that prohibit employees from doing things such as verbally demeaning their colleagues at meetings or sending out e-mails that are extremely critical of others, Lies said. He noted that such policies are important because those who are bullied in the workplace are usually the ones who are most likely to respond with violence. In addition, employers need to watch for signs that an employee might be prone to engage in violent behavior, said Tim Horner, a managing director for the security consultancy Kroll Inc. Horner noted that being observant about potential warning signs is important because those who commit acts of violence in the workplace rarely do so because they just snapped. Finally, employers can reduce the risk of workplace violence by screening out potential troublemakers during the hiring process.