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Terrorism and the MNC (Multinational Company)

NCJ Number
76370
Journal
Business Volume: 30 Issue: 2 Dated: (March-April 1980) Pages: 2-7
Author(s)
J K Ryans; W L Shanklin
Date Published
1980
Length
6 pages
Annotation
The article describes protective measures that multinational corporations take to guard their top executives against terrorist activities.
Abstract
Increasingly, terrorist groups are seeking the financial rewards and publicity that can be obtained through attacks on top executives of large corporations. A high state of readiness for terrorist forays against a multinational corporation (MNC) and its employees abroad can be achieved only through careful contingency planning. A preparedness plan for confronting terrorism encompasses three main, interrelated areas: (1) intelligence gathering, (2) security precautions, and (3) crisis preparation. First, a multinational business should be able to make a reasonable first assessment of the risks that kidnappers and terrorist bombers pose in various countries to the MNC's employees. Second, over 80 percent of large U.S. firms are contemplating or have reportedly started executive protection programs, including threat analysis conducted by the thriving executive protection firms. Third, a contingency plan must spell out what actions are to be taken if and when an MNC is faced with an actual act of terrorism. Top multinational officials have long since recognized the need to select personnel for overseas assignments very carefully and base the decision not only on immediate job qualifications but on motivation; health factors; language ability; family considerations; and resourcefulness, initiative, and adaptability. Despite government efforts to mitigate the terrorism problem, it is ultimately the MNC's responsibility to protect its employees in hostile business environments. The article include 30 footnotes.