Lesson 2: The Business of the Private Security Industry (Printer Friendly Format)


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Introduction

Lesson Overview

The purpose of this lesson is to emphasize that at the core of the private security industry is a growing business enterprise. By reviewing the nature and scope of the industry, students should grasp the magnitude of the security responsibilities parlayed to private corporations from the public sector. This transfer of responsibilities from public to private has resulted in the private sector being the primary security provider in the United States. As such, there has been a push to professionalize the industry through licensing, regulation, more stringent hiring practices, and better training practices. Each of these approached is reviewed in this lesson. Besides reviewing these standards, the lesson also examines the major security corporations

Lesson Objectives

At the end of this lesson, you should be able to:

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The Growth of Private Security

The growth of private security has been well documented in two reports referred to as the Hallcrest Reports. Hallcrest I (Cunningham & Taylor, 1985) and Hallcrest II (Cunningham, Strauchs & Van Meter, 1990) both noted the tremendous growth in private security and revealed that there were three times as many private security professionals as there were public police.

private v.s. public
Figure 2.1 Private security v.s. public police

This growth has continued. In fact, the Department of Labor estimates that by 2012, there will be more private security guards in America than high school teachers. Taking note of this dramatic figure, economists have suggested that "roughly one in four in the United States economy is now engaged in guard labor -- providing security for people and property and imposing work discipline" (Bowles & Jayadev, 2007, p. 1). Notably, from 1890 to 2002, the guard labor force went from being 6 percent to 26 percent of the overall labor force (see Figure 2.2).

guard labor force
Figure 2.2 Increase of guard labor force as a percentage of the labor force

Observers of this trend argue that the increase has very little to do with rising expenditures for homeland security, but more to do with America's dependence on formal or official entities to handle order maintenance (Bowles & Jayadev, 2007). Unlike the United States, other countries rely less on the police and security guards; therefore, they have much smaller guard workforces. In the end, whatever the reason for the growth, the private security industry has become rather formidable and, because of quality control issues, has garnered attention from the public and state legislatures around the country.

Concerns regarding quality control have led to two significant developments. First, there has been an attempt within the industry to professionalize security workers. To do so, organizations such as the American Society for Industrial Security (ASIS) (link) have created training programs for security professionals to enhance their skills in various areas of the professions. Also, various certifications, such as the Certified Protection Professional (CPP), have resulted in an increased focus on the standardization of knowledge for those persons who work in the security industry. Second, outside observers have also taken on the issue of ensuring quality in the security industry (click to see the requirements for CPPs). This has come in the form of state regulation of private security personnel, especially security guards. There is, however, no national standard related to minimum requirements for security personnel. Each employer follows the state guidelines along with their own on-the-job training. In most instances, on-the-job training tends to work because there is a preference in the industry for those with military backgrounds and/or prior experience as a police officer. The emphasis on hiring former military or municipal police has largely been found either in those positions requiring weapons training or for management level positions in which their specialized training in investi gations and other facets of police work is viewed as a big plus.

There has been a downside to this hiring practice, though. In short, the problem that develops with hiring former military and security personnel is one of disparate approaches between how the private and public policing institutions operate. As outlined in Table 2.1 (see below), the typology categorizes the two distinct types of security personnel. As you can see, the security guards who fit the "crime fighter" type, alligning in some ways with the policing profession, are less satisfied with their jobs than those who fall into the "guard" type.

table 2.1
Table 2.1: The Rank And File Security Groups

Overall, private security professionals tend to provide a great service to corporations and citizens. And, as with the public sector, they have their fair share of problems. Even so, it is incumbent on the numerous private security corporations to ensue they hire the most qualified employees to meet the needs of society.

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Knowledge Base

reading assignment Reading

  1. The assigned reading is chapter 2 in Dempsey's Introduction to Private Security.
  1. Review the PowerPoint slides for Chapters 2. It will open up as a video clip in a new window. You may click on the "pause" icon pause on the left end of the control panel bar to pause the video at any time. You may also click here to download the PowerPoint file. (Copyright 2008 Wadsworth, a division of Thomson learning, and its licensors. All righs reserved.)
  1. Read this article through the library's electornic reserves system. To access course reserves, please choose the Resources tab from the course menu, and then under Penn State Library Tools , click on the Library Reserves link.

    • Collins, S. C., Britto, S., and Britto, M. High School Private Security Programs: The Wave of the Future? Security Journal.

videoVideo Time

Watch video clips on the following two Web sites:

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Learning Activity

discussionforum Thought-Provoking Discussion

As noted in the assigned chapter and the lesson herein, improving the standards for private security professionals has, over the years, led to a variety of approaches to raising standards. Consequently, just about every state has enacted some guidelines for private security guards. To familiarize yourself with the requirements in your jurisdiction, do the following:

  1. Find out if there exists any laws that speak to security guards in your state;

  2. Discuss the particular approach being used by your state;

  3. If there is currently no laws, discuss whether there has been any legislative debate on the topic; and if so, summarize that debate; and

  4. Based on what you've learned thus far, critique your state's policy on security guards.

Post the results of your search to the Lesson 2: My State's Security Guard Legislation discussion forum under the Lessons tab.

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Summary

This lesson familiarized you with the business side of private security in America. Without a doubt, private security will remain one of the largest security providers in the United States. Its growth will likely continue because of the seemingly insatiable desire for the feeling of security by Americans. Because this desire cannot be met by the public sector, there are now three times as many security guards as there are public police. As such, there have been concerns about the industry and the quality of the services being provided. In response to these concerns, professional organizations such as ASIS along with public entities such as state legislatures have moved to raise the level of professionalism within the industry. Even so, the industry remains one that very few people know much about other than the stereotypical portrait of the security guard patrolling a facility or peering into a closed-circuit television cameras (CCTV). Private security professionals do much more than that. And in general, private security, incorporates numerous concepts, tools, and systems, many of which -- you guessed it -- are reviewed in the next lesson!