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Trends in Competitive Intelligence

NCJ Number
140842
Journal
Security Management Volume: 37 Issue: 1 Dated: (January 1993) Pages: 70-73
Author(s)
R J Heffernan; D T Swartwood
Date Published
1993
Length
4 pages
Annotation
This article presents the results of a nationwide survey of 246 companies by the American Society for Industrial Security's Standing Committee on Safeguarding Proprietary Information, so as to obtain information on the nature of and losses attributed to the theft of business information, as well as countermeasures adopted.
Abstract
The survey indicates that the per month incidence of proprietary business-information theft has risen 260 percent since 1985, and foreign involvement has increased nearly fourfold. Customer lists were the most frequently reported target of proprietary information thieves; pricing data were considered more financially damaging when stolen, however. In all, the 246 companies reported 589 misappropriation attempts that targeted U.S. technology, trade secrets, and business plans. The combined losses for 32 of the companies that reported exact figures were $1.8 billion. Of the 817 methods that were used to obtain information, 33 percent involved the actual theft of information; break-ins accounted for only 12 of the methods reported; current or former unauthorized use and reproduction accounted for 43 percent of the methods reported. These methods were used primarily by those who had authorized access but exceeded their responsibilities. Bribery was reported in less than 8 percent of all incidents. Electronic surveillance and communication intercept was used in approximately 8 percent of the cases. Preventive measures used include access restrictions, marking of documents and other materials, computer security measures, copy restrictions, exit briefings and interviews, internal inspections, external audits, and electronic eavesdropping. 6 figures

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