17 Outsourcing Security Services Pros and Cons

There are two options available to you when you want to provide security for your clients. You can choose to offer them proprietary security which means you are going to recruit and oversee your own officers, or you can choose to outsource your security services. When you choose the outsourcing option, then an outside company provides the security services you need by providing their own guards. They choose the workers, but you are choosing the company with whom you wish to work.

Outsourcing this need to be critical for the success of an organization. It is an effective way to maintain company objectives because the expense can be up to 50% less than what it would be when providing in-house solutions. You can choose to outsource one component of your security needs or multiple areas all at once.

Common tasks that receive a lot of attention in this industry include vulnerability assessments, data archiving, information risk assessments, content filtering services, and intrusion detection.

The decision to choose outsourcing security services is never an easy one. Here are the pros and cons to expect as you work through this process.

List of the Pros of Outsourcing Security Services

1. It saves time while lowering the stress levels of your organization.

When you decide to start outsourcing your security service needs, then you can free up the time you have to pursue other pressing business matters. It reduces the need to advertise for open positions, interview applicants, and go through the new employee orientation process. You get to focus on what makes your business great, while the security contractor gets to earn a living by ensuring that your resources remain protected.

2. You can step away from the minutia of handling personnel issues.

When you decide to hire a security firm to outsource this need, then you get the opportunity to step away from the small details that are necessary for this asset to be effective. The security company will handle all of the issues with schedules and salaries outside of your corporation. They will take care of the uniforms that are worn on your grounds. If one of the officers get sick on duty or decides to abruptly quit, then it is up to them to find a temporary replacement instead of it being your headache.

You get to avoid all of the issues with payroll taxes, benefit costs, and the other requirements to come when you hire your own people.

3. It is a way to reduce your expenses.

When you start outsourcing security services to third-party vendors, then you can start saving on this employment expense. It is the contractor who will be supplying the cards with their insurance and benefits while they work to protect you. They are on the hook for any mistakes or inappropriate behavior that occurs. You even get to avoid the cost of purchasing all of the tools that are necessary to complete the work, including whatever vehicles are necessary to patrol your grounds.

4. Security contractors provide you with industry expertise immediately.

Another significant advantage of outsourcing your security services is that you get to take immediate advantage of the contractor’s expertise at your place of business. Their staff and leadership can provide you with advice on how many staff would be necessary to secure your property, where they should be stations to create useful results, and what kind of touring system would be beneficial to keep your assets safe. This advantage implements immediately on the first day that they start to provide services.

5. It gives you an opportunity to use modern technology in the workplace.

When you decide to contract outside of the company for your security needs, that it is up to the agency to provide its employees with the tools they need to complete their job. You will get to benefit from the availability of modern technology in the security industry without investing in these equipment assets yourself. When you combine this advantage with the expertise that a third-party provider brings, then your security can receive a tremendous upgrade for a minimal investment.

6. It offers around-the-clock coverage for your assets.

Imagine that you have an attack that occurs at 9 PM on a Friday evening. If you did not have any security present, then your assets would be at risk for the entire weekend. What could a DDOS issue do if it was allowed to happen for more than 48 hours? Or what if someone got into your building to cause havoc for two days without anyone’s knowledge? Your productivity for the next couple of business days would be minimal at best. When you contract with security providers, then they can offer you around-the-clock coverage that will ensure that your asset losses are always kept to a minimum.

7. You can still protect your intellectual property with this arrangement.

Proprietary information and intellectual property are what keep your business going strong. Confidentiality is always a concern when outsourcing because you’re reducing a layer of protection for your agency. Even if your security officers are not transmitting secured information, there is the possibility that they could encounter your IP during their work to protect it. You should be including a penalty clause in any contract if an incident occurs which could put this asset at risk for your agency.

8. It can reduce your cash outflow while optimizing your resource allocation.

When you make the decision to outsource your security needs, then it can provide you with a reduction in cash outflows when you can account for all of the potential expenses involved in the transaction. You will want to carefully review each line item in the agreement before finalizing this arrangement to ensure that your budget costs can beat the price of providing this service internally. You can also optimize resource utilization with this advantage because the contractor will set up your security up and provide the necessary items to fulfill their obligations without additional contributions from you – unless you agree to a different format.

List of the Cons of Outsourcing Security Services

1. You must give up some of your control when outsourcing.

If you decide to outsource your security services, then you are giving up a certain degree of control over the outcomes that are possible. It is no longer up to you to set the rules about how employees appear when on your property. The contractor will set rules about the use of uniforms, the presence of facial hair, or even what happens when a security guard is tardy to their position. You must stay out of the situation since the individuals involved are not actually employees of yours.

2. It requires you to handle complaints at a managerial level or above.

If you have a problem with the conduct of a security officer on your grounds, then you must manage the issue through the executive team of the agency you chose when outsourcing the services. Even when the concern involves the attitude or language that the officer uses while on duty, your only outcome is to register a complaint with that person’s manager with a request that they do not return to the position that they were assigned. It may not be possible to have some guards replaced, even if they do not respect your wishes, unless they violate the regulations of the security company.

3. There can be inter-agency disputes that occur.

If one of your employees finds themselves in a disagreement with a security officer from an outside contractor, then this is another issue where you must work at an executive level to resolve the problem. This process can be time-consuming because each party will feel like they approached situation in the most appropriate way. It may take weeks, or even months, to settle significant disputes that may occur between the officers and your workers.

4. It can make the security officers feel like an outsider.

People are loyal to their employer above most other interactions. The only exceptions to this rule involve religion or family for many people. When you outsource security services, then you will have people protecting you that may not have the same loyalty toward your organization as they would to the security contractor. It is not unusual for people in this situation to not see your employees as colleagues, and this is a favor that is often returned. Many might feel like they are just visiting your place of business, which means they might choose to do the bare minimum to earn their paycheck.

5. You might be forced to stick with lackluster services.

You decide to outsource your security needs, then you are signing a contract with a third-party provider which is enforceable for a specific amount of time. If you discover that the service they provide is lackluster, then there may be nothing you can do to resolve this issue until you have the ability to revoke the agreement after it expires. There may be an option to stop having certain guards appear on your property, but you may also need to keep paying for the in adequate service until the end of the contract.

6. There can be a lot of hidden costs to consider when outsourcing.

If you are thinking about outsourcing your security services, then it is critical that you stay aware of all of the potential costs that are involved. Every cost should be cited in the agreement that you sign with your contractor of choice, covering each detail of the service that they provide to you. Anything not covered in that agreement could constitute an additional charge that you may be required to pay. Because it is the security contractor will likely be drawing up the arrangements and contract, any gray areas in the agreement are likely to favor them.

7. You will not have a team that is familiar with your business-specific activities.

When you hire people to fulfill your security needs, then they will have intimate knowledge of what your business requires to stay safe. The orientation process will allow each guard to understand the seasonal cycles of your company, the initiatives that you hope to achieve, and the challenges which are in place four a 100% protection experience. Even when you contract with an agency that has expertise in these areas, it will take time for them to get to know these processes. If there is a high turnover rate for the guards, then this process may happen multiple times – and that might place your experience at risk.

8. It creates a dependency on the provider over time.

If you are frequently outsourcing your security needs to an outside contractor, then this need can be challenging to resume if you end up losing the contract for some reason. There are never any guarantees in this business. A provider might file for bankruptcy, stop showing up for work, or violate the terms of your contract in other ways. When you must resume these activities internally after it has been outsourced, then it can sometimes take several years to reach the same levels of performance.

9. You can experience issues with transparency.

When you begin working with a security contractor, then you are forming a partnership of sorts. They agree to meet the protection needs you have for a cost that you’re willing to pay. There must be open lines of communication from both parties to ensure that the results are mutually beneficial. Far too often, both companies stop sharing information with one another, and then this results in ill feelings toward one another because each thinks the other isn’t living up to their end of the deal.

These outsourcing security services pros and cons rely on whatever comfort level you have for this need in any capacity. If you prefer to have control over the entire situation, then you will want to hire personnel internally to resolve the concerns that you may have over your assets or client requirements and avoid the outsourcing process. Should your preference be to have the most affordable and convenient option that will improve your security profile, then outsourcing is a possibility to consider. Perform your due diligence with the managed services in your region before selecting a contractor who has the capacity to meet your needs.