Online discussion questions – Oct 3
- How would you quantify the benefits in reduced security risks and improved security compliance from SFO SAFE? How would you put a dollar figure on it?
- How would you quantify the benefits in improved service from OTISLINE? How would you put a dollar figure on it?
In order to quantify the benefits in reduced security risk and improved security compliance from SFO SAFE, data prior to these improvements would be required. For example, data from previous security risks incidents can be compared to present security risks, if any, after the implementation of the SFO SAFE. By comparing new data with prior data, you can determine the quality in improvements and decide if any further improvements are required.
Just as you would quantify the benefits for SFO SAFE, quantifying the benefits in improved service from OTISLINE have many similarities. Otis can further quantify the benefits through conducting an analysis in operational efficiency and/or customer satisfaction. Otis can put a dollar figure on it after determining how beneficial OTISLINE was for the company especially in the area of customer retention.
To quantify benefits in reduced security risks and improved security compliance, you should compare the cost of the worst case scenario to the cost of improving compliance. In other words, compare the cost of a disaster such as 9/11 to the cost of implementing security measures. To put a dollar figure on it, calculate the difference between current systems and compare it to the productivity levels of the proposed system. From there, you can create “what-if” scenarios to show a variety of different outcomes.
In order to quantify the benefits of the new security system for SFO, I would consider how much a potential disaster could cost the airport. Even though that cost may never happen, if it did it would be so devastating that it is worth investing in reducing the risk.
For OTISLINE, it would be much easier to quantify the benefits because you could simply compare operational effectiveness metrics before and after the implementation of OTISLINE. If you did this you would probably see that there is much less wasted time and increased customer satisfaction.
In attempt to quantify benefits in the new security system at SFO, we will look at previous security breaches in other airports. By evaluating crisis management records at other airports similar in size, this will be a base to compare to. To calculate a dollar amount we will issue two reports. One report will be the do nothing approach, and calculate what cost will occur if two security breaches occur in three years. First breach will involve a vendor gaining access to SFO server systems, and the cost it will take to update all systems to regain functionality. Second will be to calculate based on an unauthorized vehicle breaking down on the run way while a flight is landing.
The Second report is going to be based on the findings and comparison of our base-airport. This is going to show the cost savings that they have witnessed since implementing SAFE systems.
In order to quantify the benefits in reduced security risk and improved security compliance SFO SAFE, the SFO must conduct their data or information and use those data to improve their security systems. For example, we can use security data from previous year to compare with the current situation and figure out what should we need to improve and how should we reduce risk in the airport.
For OTISLINE, we can conduct correct data to analysis in operational efficiency and improve customers’ needs and satisfaction. By conducting accurate data, Otis can see significant improve in less wasted time and improve on customer services
In order to quantify the benefit in reduced security risk and improved security compliance from SFO SAFE, it is important to compare data without new project to data with new project. By comparing these two sets of data, you can find which improvements are brought by new project and which data do not have many effects. Therefore, the company can decide further improvements needed in the system. Some projects might bring significant improvement in the long term rather than the short term. The company needs to be careful when it analyze data.
Similar to OTISLINE project, to quantify the benefit in OTISLINE project, Otis can compare current data to prior data to analysis changes in its services. By conducting current data, Otis can see the improvement in operational efficiency and customer service by saving time and cost through more efficient information share, deleting useless departments or groups and automation.
To quantify the benefits of SFO SAFE, SFO would need to compare the number of intrusions and any other kind of security incident in a restricted area, and known security risks in the past to an interval where SFO SAFE was used. Some security incidents are significant enough that they result in the airport being fined. To put a dollar value on this, you would first need to calculate how much money was saved from damages and fines after SFO SAFE was implemented. Then you would subtract the total cost of the SFO SAFE initiative.
In order to quantify the benefits for the SFO SAFE, I would look at previous threats that have occurred across the country as well as hypothetical threats that could be catastrophic. As a result we can compare the data of what could be destroyed minus the deprecation on the certain material to be recreated. Some of the security incidents could be more likely to occur which would result in a fine if they were infractions against federal guidelines which would be quantifiable as well.
In order to quantify the benefits of the SFO SAFE, I would compare the previous data vs the data with the SFO SAFE. I would put a dollar amount on the cost of each potential risk.
I would quantify the benefits of OTISLINE by comparing the before and after on the time and cost of the implementation. The dollar figure would be the cost associated with implementing OTISLINE and the savings made so far from OTISLINE.
In order to quantify the benefits in reduced security risk and improved security compliance from SFO SAFE is to compare to other airport’s potential disaster so we can base a budget off of past information. In comparing the historical data can better dictate how much security compliances is need to keep the public safe. To put it in a dollar figure, you calculate how the amount of years of usage divided into years.
To quantify the benefits in reduce security risks and improved security compliance from SFO safe, we need a metric to measure it. We can have a risk management team come in to evaluate the different type risks and the probability of the risks before and after the SFO SAFE project. If I would put a dollar figure on it, I may associate the risk with financial loss and replacements in dollar value to quantify it.
If I would quantify the benefits in improved services from OTSLINE, I will use the metric about competitive advantage and operational efficiency to measure the investment in OTSLINE. If I want to put a dollar value on the benefit, it would be better to measure the cost saving on the operational expense.
In order to quantify the benefits in reduced security risks and improved security compliance from SFO SAFE, we need to list all of the dangers that are eliminated and calculate all the potential costs associated with them. Then, we need to assign weights to those costs, based on a chance of happening, or risk. After we sum these potential costs, you are left with the amount of risk saved from the new system. In addition to the dangers that were stopped, we also need to deal with a reduction in the risk of certain events. Use a similar approach, but do not forget about the leftover risk. As a note, you could also weight the costs based on time, since dangers later on are lower costs. (Interest rates)
In order to quantify the benefits in improved service from OTISLINE we need to find the value of the improved operational systems. This includes operational cost and added benefit to the customer. To find the value of costs, simply find out the reduction in operational costs and hours spent working before the system. We can also benchmark future profits and compare our current growth of the number of passengers to future years.