Hospitality Risk

What the Vegas Shooting Means for Hotel Security

Hospitality may eventually be compelled to adopt airport-style security measures, but for now training is key to prevention.
By: | October 19, 2017 • 6 min read

Movie theaters, schools, nightclubs, work functions… these are places where no one expects violence to break out, but where mass shooters chose to carry out their crimes. With the shooting in Las Vegas, executed from a suite in the Mandalay Bay Resort and Casino, the hotel industry now joins that list.

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The hospitality sector has long been acknowledged as a soft target, relatively unprotected from shootings, terror attacks and other types of violence. To some degree, that’s not likely to change. Hotels face unique challenges in crafting security plans. They need to have enough visible security to make guests feel safe, but not alarmed. They need to identify and investigate suspicious behavior while respecting patrons’ privacy.

“There’s a fine balance between having security onsite at a hotel and invading guests’ personal space or causing concern,” said Christian Ryan, U.S. Hospitality and Gaming Practice leader, Marsh.

However, some believe that the latest incident, which claimed 59 lives, will spark a culture change. Guests may become more comfortable with and even expect armed guards and metal detectors. They may not mind having their bags scanned if they recognize it could prevent another attack.

Lance Ewing, EVP, Global Risk Management at Cotton Holdings Inc., said that Americans tend to see safety as a right and often take it for granted.

“People in other countries don’t necessarily take safety for granted. In some European, Middle Eastern, and Asian countries, hotels are already using armed guards and metal detectors. Some have bomb-sniffing dogs in the lobby. Some take your bags when you arrive, scan them and deliver them right to your room so you don’t even touch them once you enter the building,” he said.

“Are we ready for those measures in the U.S.?”

Ryan said that scanning luggage could be the “next evolution” of hotel security.

“People in other countries don’t necessarily take safety for granted. In some European, Middle Eastern, and Asian countries, hotels are already using armed guards and metal detectors. Some have bomb-sniffing dogs in the lobby.” — Lance Ewing, EVP, Global Risk Management, Cotton Holdings Inc.

“Some propositions are in the works for hotels to start scanning bags, though it’s not likely in the near future,” he said. “The public may demand some extra security in light of the events in Las Vegas, and there could be legislation down the road.”

Christian Ryan
U.S. Hospitality and Gaming Practice Leader, Marsh

Advanced technology like facial recognition software may also play a larger role in threat identification. So far, development of that technology has focused on making the travel experience more pleasant for hotel guests. Recognizing and keeping tabs on a guest tips the hotel off to his or her particular preferences — what type of drink does he like; what kind of amenities might she be interested in?

But it could also be used to “cross-reference databases to conduct background checks and look for criminal histories,” Ryan said. That could help to counteract the fact that express and mobile
check-in capabilities — also a product of technological advancement — reduce interaction between hotel staff and guests, making it tougher to spot suspicious behavior.

Of course, not every person looking to cause harm will have a criminal history, or at least not one that will raise red flags at the front desk.

Bo Mitchell, founder and president of 911 Consulting, said that often the perpetrators of mass shootings and other high-profile attacks “look like your uncle, your cousin, your sibling,” and that facial recognition software “can’t recognize crazy.”

“You can’t stop these attacks committed by unstable people. Your obligation is to respond to them,” he said.

Adoption of tougher security will depend on a hotel’s type, location, and clientele. Resorts and casinos that aim to entertain as much as to provide accommodation will draw larger crowds than simpler hotels that primarily serve business travelers, airport layovers or people en route to somewhere else.

Current Practices and Challenges

None of this should suggest, however, that hospitality companies haven’t already invested heavily in security and crisis management.

“Safety and security have always been a linchpin of hospitality, and the majority of hotels are extremely safe places,” Ewing said.

Most security planning is and will continue to be focused on training staff to identify suspicious behavior and respond appropriately — though it may be kicked up a notch.

Bo Mitchell, founder and president, 911 Consulting

Housekeeping staff plays a key role in noticing anything suspicious in a guest’s room, including weapons, drugs, extra wires, signs of human trafficking, or an unusually large amount of luggage. They can also keep tabs on how long a guest has kept their ‘do not disturb’ sign on the doorknob.

“How long can someone leave up a ‘do not disturb’ sign? If they’re staying for a week and no one’s been in the room, that should be a red flag,” Ryan said.

Active shooter training is also a mainstay of hospitality risk management, and has been since Columbine put mass shooting on everyone’s radar.

“Chances are if someone notices something suspicious, other people have too. But you can’t put those pieces of the puzzle together if you haven’t trained employees to say something.” — Michelle Colosimo, director, BlackSwan Solutions

High turnover rates make it difficult to get that training to stick, however, and hotels have to continually bring new employees up to speed. Ewing also noted that at some franchise hotels owned by flagship hospitality companies, training doesn’t always “trickle down” to the housekeeping and food and beverage staff as it should. Mitchell has also observed a lack of emergency training among hotels employees, even though such training is required by OSHA.

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“The leadership level might know what to look for and what actions to take, but that needs to be pushed down through the ranks,” said Michelle Colosimo, director, BlackSwan Solutions. “And people need to comfortable airing their concerns, without worrying if they’ll be perceived as overreacting or be retaliated against. Chances are if someone notices something suspicious, other people have too. But you can’t put those pieces of the puzzle together if you haven’t trained employees to say something.”

Hotels typically work closely with local police departments, who in many cases will provide active shooter training for free if requested, Marsh’s Ryan said.

“The magnitude of people that come in and out of the casinos and hotels in Las Vegas requires a robust security force, and heads of security are in close contact with police,” he said.

Open carry laws that vary state by state have always posed a challenge, but could complicate security policies going forward.

What Lies Ahead

Las Vegas police have generally been credited with good instincts and fast response in locating the shooter on the 32nd floor. But other reports cite slow communication between hotel staff and officers. Could better planning have prevented loss of life?

Michelle Colosimo, director, Black Swan Solutions

“Security in some ways runs counter to the culture of a hotel. They want to embrace, nourish and nurture their guests. No one wants to think about bullets and bodies,” Mitchell said.

“Active shooter scenarios are not necessarily the types of events venues are preparing for. It’s a risk you take on that you expect to be small, but that can have huge implications,” Black Swan’s Colosimo said.

High profile locations with casinos and entertainment venues, or those close to concert halls, arenas, parades or other gathering places will need to expand their security scope to include non-traditional threats.

Hospitality companies can look to other sectors for lessons learned. Universities, for example, have been targeted in several shootings.

“They have the job of training students, staff and security police, but it’s not invasive. You don’t see armed guards standing at the entrance of every lecture hall. They’ve developed some best practices that could be introduced into the hospitality space,” Ryan said.

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One of those best practices is a mass alert or notification system. Universities can notify students and staff of everything from a school closing to active shooter or shelter-in place situation via text message. Likewise, hotels could employ such a system to remind employees what to do in the event of an emergency – whether they should shelter-in-place or evacuate and where to go.

“You don’t think as clearly in a crisis situation as you do when you’re calm. Having that alert that tells you what to do or where to go can help you make a decision,” Colosimo said. “You can also segment those messages to send different communications specifically to your crisis response team if you want to. Managing your communication channels is key.”

Some industry experts compared upcoming changes in hospitality risk management to the response by airports after the 9/11 attacks. Security got noticeably tighter, and has become a fact of life. But the changes were not always made quickly, and it took time for the public to adjust. &

Katie Dwyer is an associate editor at Risk & Insurance®. She can be reached at kdwyer@lrp.com.

More from Risk & Insurance

More from Risk & Insurance

In the Fast-Paced World of Retail, This Risk Manager Strives to Mitigate Risks Proactively and Keep Senior Leaders Informed

Janine Kral works to identify and mitigate risks, building strong partnerships with leaders and ensuring they see her as support rather than a blocker. 
By: | October 29, 2018 • 4 min read

R&I: What was your first job?

My very first paid job was working on my uncle’s ranch in British Columbia in the summers. He had cattle, horses and grapes — an unusual combo. But my first real job out of college was as a multi-line claims adjuster at Liberty Mutual.

R&I: How did you come to work in risk management?

Right out of college I applied for a job that turned out to be a claims adjuster at Liberty Mutual. I accepted because they were offering six weeks of training in Southern California, and at the time that sounded really fun. I spent about three years at Liberty Mutual and then I spent a short period of time at a smaller regional insurance company that hired me to start a workers’ compensation claims administration program.

I was hired at Nordstrom as the Washington Region Risk Manager, which was my first job in risk management. When I started at Nordstrom, the risk management department had about five people, and over the years it has grown to about 75. I’ve been vice president for 11 years.

R&I: What’s been the biggest change in the risk management and insurance industry since you’ve been in it?

I would say that technology has probably been the biggest change. When I started many years ago, it was all paper and no RMIS.

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R&I: What risks does the retail industry face that are unique?

We deal with a lot of people — employees and customers. With physical brick and mortar settings, there are the unique exposures with people moving in and out in a public environment. And of course, with ecommerce, we have a lot of customer and employee data, which creates cyber risk — which is not necessarily a unique risk in today’s environment.

R&I: Can you describe your approach to working with senior leaders and front-line staff alike to further risk management initiatives?

It starts with keeping the pulse of what’s happening with the business. Retail moves really fast. In order to identify and mitigate risks proactively, we identify top risk areas and topics, and then we ensure that we have strong partnerships with the leaders responsible for those areas. Trust is critical, ensuring that leaders see us as a support rather than a blocker.

R&I: What role does technology play in your company’s approach to risk management?

Janine Kral, claims adjuster, Nordstrom

We have an internal risk management information system that all of our locations report events into — every type of incident is reported, whether insured or uninsured. Most of these events are managed internally by risk management, and our guidelines require that prevention be analyzed on each one. Having all event data in one system allows us to use the data for trending and also helps us better predict what may happen in the future, and who we need to work with to mitigate risks.

R&I: What advice might you give to students or other aspiring risk managers?

My son is a sophomore in college, and I tell him and his friends all the time not to rule out insurance as a career opportunity. My advice is to cast a wide net and do your homework. Research all the different types of opportunities. Read a lot — articles, industry magazines, LinkedIn. Be proactive and reach out to people you find interesting and ask them about their careers. Don’t be shy and wait for people and opportunities to come to you. Ask questions. Build networks. Be curious and keep an open mind.

R&I: What are your goals for the next five to 10 years of your career?

I have always been passionate about continuous improvement. I want to continue to find ways to add value to my company and to this industry.

R&I: What is your favorite book or movie?

My favorite book is Shantaram by Gregory David Roberts. It’s a true story about a man who was in prison in Australia after being convicted of armed robbery, and he escaped to India. While in India, he passed himself off as a doctor in a slum. It’s a really interesting story, because this is a convicted criminal who ends up helping others. I am not always successful in getting others to read the book because it’s 1,000 pages and definitely a commitment.

R&I: What’s the best restaurant you’ve ever eaten at?

Fiorella’s in Newton, Massachusetts. Great Italian food and a great overall experience.

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R&I: What is your favorite drink?

“Sister Carol.” I have no idea what is in it, and I can only get it at a local bar in Seattle. It’s green but it’s delicious.

R&I: What is the riskiest activity you ever engaged in?

Skydiving. Not tandem and without any sort of communication from the ground. Scary standing on a wing of a plane, but very peaceful once the chute opened, slowly floating down by myself.

R&I: If the world has a modern hero, who is it and why?

I can’t think of one individual person. For me, the real heroes are people who have a positive attitude in the face of adversity. People who are resilient no matter what life brings them.

R&I: What about this work do you find the most fulfilling or rewarding?

It’s rewarding to help solve problems and help people. I am proud of the support that my team provides others. &




Katie Dwyer is an associate editor at Risk & Insurance®. She can be reached at kdwyer@lrp.com.