A whole new year is upon us – and our thoughts naturally choose thinking ahead to make for new challenges. This website is focused on what we should see as the most crucial trends facing the business executive protection industry – and what they will mean for both corporate clients and the specialist partners that service their EP needs.
We expect the EP industry will mature a lot more in 2016, as specialist partners professionalize their services and operations to keep up with the requirements of demanding corporate clients. We also assume that we will see more consolidation throughout the entire industry, as professional security services who can easily serve major corporations grow in expertise as well as market share, and smaller firms either surrender or experience flat growth.
Like other fragmented industries, Mom and Pops keep having a disproportionate share in the corporate EP market. Security firms that service departmental stores and banks are still called onto provide close personal protection for corporate clients. We believe this may change even more in 2016.
Our industry matures alongside – indeed, is driven by – our client’s growing expectations. Corporations’ target the quality of their EP programs – and therefore around the qualifications of their EP agents and managers – is only going to boost in 2016. The role of your EP manager will probably be more in focus. Consequently more emphasis will probably be positioned on soft skills, training and real corporate EP experience, and less on simply having a background in police force or the military.
Better performance management and ongoing quality improvement programs will have an increasingly vital role about the HR side. Planning that integrates EP into overall corporate strategies, values and culture may well be more commonplace. Even finance departments are often more involved as cost drivers be a little more transparent, and only properly funded specialist partners are able to undertake large-scale projects without worrying about cash flow problems.
Since the businesses of practically each of our corporate customers are inherently global, specialist EP partners must furthermore have a broad international footprint. We need to be ready to serve our clients wherever they go. This, too, indicates that smaller local and regional players will usually come up short when travel needs grow.
2016 may be the year when the term threat assessments gets an overhaul. A far more descriptive reputation for everything we actually do (albeit much less easy to say) will be “executive protection and productivity enhancement”.
We now have known for a long time that good corporate EP must do a lot more than mitigate risk. It needs to also let the principle to get more done a lot sooner. Smooth travel logistics allow “the highest paid person in the room” to be in more rooms in places, get there with less stress, and become as productive on the highway as at home.
We know for this reason increasingly more boards are putting a pencil on the derived benefits associated with best-in-class EP programs. Together with duty of care toward highly prominent execs and protecting shareholder value, enabling better productivity is good for C-suite principles and beneficial to business. Everything else being equal, it even boosts competitiveness.
As globalization and international instability continue to escalate in 2016, more companies will likely be searching for more protection in places.
This trend are only reinforced by other forces for example increasing focus on disparity of revenue and the internet’s insatiable thirst for celebrity stories. The prominence of high net worth and ultra high value individuals in addition to their families improves, creating the need for better idea of the consequent risks, threats and vulnerabilities – and ways to mitigate them.
But we predict that requirements for secure travel will increase not only for individuals the C-suite. Lower-level execs, service technicians yet others may also be furnished with more 87dexhpky support, especially in emerging markets. Travel, HR and legal departments will consider duty of care obligations alongside growth opportunities in unfamiliar territories – which will be reflected in more decisions to mitigate predictable risks for travelers and expats.
We also believe the executive protection service in China will continue to grow. Yes, stocks and shares is tanking, but China still boasts more billionaires than even US. We policy for growth there.
It’s a little-known fact, but probably the most serious risks many corporate executives face derives from inside their particular organizations: disgruntled employees with real or perceived grudges.