1. WMD Threats & Counterproliferation:
The Role of Private Industry and the
Global South in Maritime Security
20 September 2012
Rome, Italy
Brian D. Finlay
Managing Director
Managing Across Boundaries Program
The Stimson Center
1111 19th St., NW 12th Floor
Washington, DC 20036
(202) 478-3444
bfinlay@stimson.org
Managing
Across
Boundaries

2. Stimson: Managing Across Boundaries
MANAGING ACROSS
STIMSON BOUNDARIES
NONPROFIT NATIONAL SECURITY AN INCREASING ARRAY OF
THINK TANK TRANSNATIONAL CHALLENGES -
FROM WMD PROLIFERATION AND THE
THE STIMSON CENTER'S WORK IS GLOBAL DRUG TRADE, TO
FOCUSED ON THREE PRIORITIES CONTEMPORARY HUMAN SLAVERY,
THAT ARE ESSENTIAL TO GLOBAL SMALL ARMS TRAFFICKING, AND
SECURITY: COUNTERFEIT INTELLECTUAL
PROPERTY - HAVE BECOME SO
•STRENGTHENING INSTITUTIONS FOR WIDESPREAD THEY THREATEN TO
INTERNATIONAL PEACE AND OVERWHELM THE CAPABILITIES OF
SECURITY EVEN THE MOST WELL-INTENTIONED
•BUILDING REGIONAL SECURITY, AND GOVERNMENTS TO MITIGATE THEIR
•REDUCING WEAPONS OF MASS DESTRUCTIVE EFFECTS.
DESTRUCTION AND TRANSNATIONAL
THREATS THE MANAGING ACROSS
BOUNDARIES PROGRAM LOOKS FOR
STIMSON'S APPROACH IS PRAGMATIC INNOVATIVE GOVERNMENT
- GEARED TOWARD PROVIDING RESPONSES - AT THE NATIONAL,
POLICY ALTERNATIVES, SOLVING REGIONAL, AND INTERNATIONAL
PROBLEMS, AND OVERCOMING LEVELS - AND FOR SMART PUBLIC-
OBSTACLES TO A MORE PEACEFUL PRIVATE PARTNERSHIPS TO
AND SECURE WORLD. MITIGATE THESE THREATS.
OUR EXPERTS AND RESEARCHERS
WORK TO CONCEPTUALIZE AND
CATALYZE "WHOLE OF SOCIETY"
SOLUTIONS TO THE MOST PRESSING
TRANSNATIONAL CHALLENGES OF
OUR DAY. Managing
Across
Boundaries

3. The Benefits of Globalization
Foreign Direct Investment
International Trade Expansion
Globalized Business Practices
Spread of Innovation
Global Supply Chaining
Cold War Demobilization
Managing
Across
Boundaries

4. Maturation of Global Supply Chain
Managing
Across
Boundaries

5. Global Narcotics Supply Routes
Managing
Across
Boundaries

6. Global Supply Routes for Conventional Arms
Managing
Across
Boundaries

7. Global Human Trafficking Routes
Managing
Across
Boundaries

8. Global Proliferation Supply Chain
Managing
Across
Boundaries

9. Fusion of the Licit and Illicit Global Supply Chains
Managing
Across
Boundaries

10. Critical Untapped Partners
THE GLOBAL SOUTH SUPPLY CHAIN INDUSTRY
• Lacking border and maritime security capacity;
• Lack of financial resources to manage threat;
• Lacking political interest in the global WMD
nonproliferation agenda
• Enhanced information sharing
• Greater transparency
• Reasonable screening standards
• Profitable thickening of the supply chain
Managing
Across
Boundaries

11. Yemen Printer Bomb Plot
 October 28, 2010, AQAP attempts to load
explosive devices hidden in printer cartridges
from Yemen to the USA;
 Technical screening, canines, physical inspection
all fail to detect devices;
 Plot disrupted by specific human intelligence
allowing companies to identify and neutralize
the shipments.
 October 29th, 2010, Express Association of
America (EEA) brings four express carriers into
conversation with Customs and Border Patrol
and Transportation Security Administration;
 All agree that providing information on cargo
shipments earlier would help enhance
transparency;
 Companies were allowed to take the lead in
developing the right solution.
Managing
Across
Boundaries

12. Air Cargo Advanced Screening (ACAS)
An Example of Effective Cooperation
RESULT
•By January 2011, all four express firms transmitting data con shipments from
identified list of countries;
•Seven key data elements part of new information sharing system;
•Transmission time expanded from 4 hours to 24 hours;
•Express companies provide access to proprietary information and targeting systems
to help CBP/TSA resolve anomalies;
•Each company develops own IT solutions;
•To date, more than 33 million air cargo shipments analyzed;
•Nearly 3000 have been identified for additional screening.
•Key factor for success is flexibility by both public and private sectors;
•Government agrees NO TIME DEADLINES, NO PENALTIES for inaccurate or
incomplete data
•All achieved without federal register notices, no new regulations, no legislation;
•No Congressional overreaction;
•Seen in mutual interest of private companies and US Government.
Source: Express Association, Michael Mullen
http://www.expressassociation.org/
Managing
Across
Boundaries

13. TASK FOR CE MEMB ER S
R ADM (ret) Jay Cohen*
Core Objectives of the Task Force:
Principal, Chertoff Group
Task Force Chairman
 enhanced information flows between the private sector and government in
B arry B lechman**
Former CEO,
support of identifying and preventing illicit activities; and
DFI International
Task Force Vice-Chairman
 development of new mechanisms for industry self-regulation consistent with
Valer ie Abend
Managing Director,
government security needs.
BNY Mellon
Ann B eauchesne GUIDING PRINCIPLES for ENGAGEMENT
VP of National Security & Emergency
Preparedness, US Chamber of Commerce
Kenneth Br ill oPublic-private collaborations must be responsive to market characteristics and security gaps.
Former Director, National Counterproliferation
Center Even when modeled on past successes, static, formulaic approaches will not keep pace with today’s
John Cogliano
VP, Homeland Security Solutions, Lexington economic and security dynamics. The key to mutually beneficial collaboration is a flexible process and
Insurance Company
incentive structure that satisfies the economic concerns of industry and the regulatory concerns of
B rad Gary
Former VP, Allergan government. Market forces, in themselves, are not a panacea . Respect for proprietary business
R onnie Goldberg
Executive VP, U.S. Council operations and the profit motive must be balanced with sufficient transparency for oversight in service
for International Business
of security challenges.
G ary Gregg
Former President and CEO, oInformation-sharing must be an ongoing priority. Properly calibrating the roles and responsibilities
Liberty Mutual Agency Corp.
R upert Herbert -B urns of government and private sector actors depends on an institutionalized information-sharing framework
Former Director of Intelligence, Lloyd’s List
Intelligence that benefits both constituencies. Moreover, when effective public-private collaborations already exist,
P eter Lichtenbaum new initiatives should strengthen and complement them rather than duplicating effort.
Partner, Covington & Burling
Michael C. Mullen
oSecurity and profitability can be mutually reinforcing goals. Companies can maintain existing
Executive Director, Express Association of America
advantages and unlock new market opportunities by improving security within their organizations and
R ADM (ret) David Oliver
Former COO, respective industries, and by contributing to the security and resilience of the wider global trading and
EADS North America
R ob R osenberg
financial systems.
CFO, NTELX
Managing
Across
Boundaries