Bill Bozeman, president and CEO of PSA Security, said that the industry is changing and PSA recognized that. But he pointed out a missing piece as he addressed the audience in his state of the industry address. “PSA has always been good at technical education, but it’s also about running a profitable business. The major challenge is more in tuned to how to run your business more successfully, not necessarily the technical side. It’s a new business model; this is a technical meeting, but business experience is extremely important.” He pointed out that another major issue is that smaller companies have cash flow issues and “each job has to be profitable.” “The banks are unfriendly to the business, so cash flow continues to be an issue. Running your business today is so different than before. You have to focus on being a better integrator.” Bozeman also explained to SD&I magazine that six percent profit margins will become the norm; it will stay that way, so managed services will be the deciding factor on real profitability.
The PSA-TEC conference is at attendance levels similar to last year, according to Lisa Cole, director of Marketing. But the educational sessions, the message, is different or upped from the communications of prior years, because these are critical times and we have to learn to move to a service model now, or we won’t be in business tomorrow. The chasm is definitely being crossed and whether the integration community makes it standing upright and confident is up to all of you out there. – Deborah O’Mara, editor in chief, Security Dealer &Integrator magazine