Concern about the safety of business leaders has risen sharply, as nearly half (42%) of security chiefs from large, global companies say the threat of violence toward company executives has increased in the last two years.

 

This escalating risk is underscored by global institutional investors, with 97% deeming it important for companies to invest in security for their executives and seven in 10 saying that the contributions of senior executives represent 30% or more of the value of the companies they invest in.

These are key findings from the World Security Report published today, commissioned by Allied Universal®, the world’s leading security and facility services provider, and its international business, G4S.

 

The global report surveyed 2,352 chief security officers (CSOs) or those in equivalent roles, working for medium and large, global companies, in 31 countries, with total annual revenue exceeding $25 trillion. The study also incorporates the perspectives of 200 global institutional investors managing over $1 trillion in assets.

 

Misinformation and disinformation (incorrect or purposely false) is pervasive and can put senior executives at greater risk of harm. Three quarters of CSOs (75%) say their companies were targeted by such a campaign last year. And 42% say mis/disinformation motivates at least half of threat actors targeting their businesses. Activist groups, who often deploy this, increasingly pose a physical security risk to facilities and executives, according to 85% of investors.

 

“In a world of increasing polarization, and when mistruths and untruths can be shared instantaneously, companies and their senior leaders face heightened risks. As a CEO, this impacts me personally and professionally. Now more than ever, personal safety is on my mind and the minds of my loved ones. Professionally, I’ve seen an increase in our customers’ concern for the safety of their employees,” said Steve Jones, Allied Universal global chairman and CEO.

 

The report also finds the financial impact of security incidents is substantial.  A quarter of security chiefs (26%) reported revenue losses following an incident last year, with the average company losing at least $9 million. In total the companies surveyed lost close to $1 trillion in revenue due to physical security incidents. This is consistent with the 2023 findings.

 

Investors say a physical security incident could impact the value of a publicly listed company by up to 32%, up 3% compared to 2023.

 

“The ramifications of a security incident can be considerable and go beyond taking a short-term financial hit. Investors say the impact can be much more damaging and long-lasting, particularly when reputation and shareholder value is concerned. Given how high the stakes are, business leaders are increasingly recognizing that robust physical security is a corporate value driver and should be central to their corporate governance and risk management strategy,” said Ashley Almanza, executive chairman of G4S, Allied Universal’s international business.